Comparison of the Society of Animal Farm and America Today :: comparison compare contrast essays

Comparison of the Society of Animal Farm and America Today Humankind has always had a thirst for power; over its peers, environment and spiritual beliefs. To quench this thirst it has gone as far as genocide; but has often employed more subtle techniques, such as mind control. In today’s socio-economical and political worlds, mind control plays a key role in dictating tastes and lifestyles; as well as controlling political thoughts, views, and people’s understanding of the world. It is accomplished using various channels to condition people’s thinking. Publicity and advertisement campaigns saturate people with products, broadcasting over radio, and television which in itself is a prime example. Many religions employ mind control, conditioning their followers to obey without questioning. Â  With nearly global use of the television; it has become a preferred method with which to influence and regulate people’s thinking, creating an unreal and idealistic, hypothetical reality which people strive to emulate. This is accomplished through shows and movies; the majority of which emphasize a perfect world, entirely free of corruption and poverty; where everyone is physically attractive, emotionally stable, and economically wealthy; a distorted reflection of our own world. This leads real people to attempt to create this imaginary world, only to fail; thus generating in themselves a sense of unworthiness, which in turn prompts them to try harder, to stop being individuals and become uniform. Â  Another controlling method that is diffused through television, radio and written publications; is any reported information about world politics and news. Powerful political groups narrow people’s views of what is going on around them by tainting and twisting information to their own device. They decide what to say and when to say it, revealing as much or little information as desired, in ‘befitting’ instances; thus enabling them to hide information they consider deleterious to themselves, from the public. It also permits them to depict opponents in overly negative terms. Â  Similar to news in its widespread marketing, publicity is another method in which people’s minds are reprogrammed, this time by the merchandisers. Publicity attempts to ingrain concepts and transmit political and commercial messages into the consumer’s minds, in an endeavor to make them buy specific goods. They do this by constantly exposing the people to the products through their repeated displayal on various mediums. Billboards and posters can be found on most highways, and in nearly all cities around the world. Consequently they push ideas at the consumer any time he/she travels on foot, by car, or even uses the public transport systems.

Satanism Essay -- social issues

Satanism The occult is on the rise; many young people are seeking their spiritual identity through Satanism. Satanism has become an issue of great concern in our society. It is a phenomenon that crosses the city limits into the rural areas of our nation. Satanism is not just a big city problem. The news wires carry story after story about young children being kidnapped, only to be found later as victims of some bizarre ritualistic crime. This paper will analyze and will come to a conclusion to the most frequently asked question â€Å"What makes a person to convert his/her religion to Satanism?† To do so, this paper will examine the following areas: Effects of Satanism on our youth and society, does power attracts young people to become a Satanist? And is music a factor in changing one’s religion to Satanism? As satanic involvement among our youth increases, we begin to see the primary goal of such activity. It has become clear, according to the data so far analyzed by those who investigate satanic involvement, that the primary goal is to alter people's values and turn them against themselves, their beliefs, family, God, and society. C. S. Lewis, a famous English writer, in his book Screwtape Letters, says this about Satan: There are two equal and opposite errors into which our race can fall about the devils. One is to disbelieve in their existence. The other is to believe and to feel an unhealthy interest in them. They themselves are equally pleased by both errors and hail a materialist or a magician with the same delight. The term occult means "hidden" or those things or teachings that are "unknown" or secret. This might build some interest or curiosity in some people who want to know what these things are. The occult is the seeking knowledge of unknown information, knowledge that is gained beyond the five senses. Therefore, it is believed that this knowledge is received by some supernatural involvement or connection. Anton LaVey of the First Church of Satan in San Francisco, California, says that: Satanism is a blatantly selfish, brutal religion. It is based on the belief that man is inherently a selfish, violent creature... that the earth will be ruled by those who fight to win. Young Satanists believe that the strong will rule with Satan. Once they are sufficiently involved, they often make a deal with Satan. They commit themselves to a future... ... acceptable in a civilized society. In conclusion, after examining the three focus areas i.e. the effects of Satanism on our youth and society, does power attracts young people to become Satanists and if music is one of the factor in changing one’s religion into Satanism. I have reached the conclusion that there are a lot of others things besides the one mentioned above, that can force a person to change his/her religion to Satanism, which includes lack of social skills, physical or emotional abusing, media/music, obsession with power, etc. BIBLIOGRAPHY Book Sources Cavendish, Richard. The Black Arts, London, Pan Books Ltd, 1967. Kahaner, Larry. Cults that kill, San Francisco, Warner Prints, 1994. LaVey, Anton Szandor. The Satanic Rituals, New York, Avon Books, 1972. Marron, Kevin. Ritual Abuse, Canada, McClelland-Bantam, Inc., 1989. Internet Sources Lavey, Anton. â€Å"Church of Satan†, http://www.churchofsatan.com, (January 8th, 2004) â€Å"Satanism†, April 1999, http://www.dpjs.co.uk/, (January 8th, 2004) â€Å"Satanism Exposed†, http://www.exposingsatanism.com, (january8th, 2004) â€Å"Satanism†, http://altreligion.about.com/cs/satanism/, (January8th, 2004)

Gilgamesh and Odyssey Essay

Gilgamesh is an ancient poem that significantly marked its name as somehow being the first major heroic narrative in the world literature. Fractions of this literature were discovered uniquely carved in tablets even before the Roman, Hebrew and Greek civilization appeared. Gilgamesh depicts a unique and propinquity story of Gilgamesh and his companion Enkidu that transcribed a complex and moving gist of bonds of friendship, of the pursuit for prominence and of the enduring and timeless attempt to escape death, of which considered to be the common fate of humankind. On the other hand, Odyssey, an epic story by Homer, is concerned on the idyllic events proceeded after a war and mainly on the significant return of the heroes who survived the war. The main subject of this written epic work somehow focus on the enduring, drawn-out return of one of the heroes named Odysseus of Ithaca, whose fate is to amble in unknown seas for ten years before he returned to his rocky kingdom. This paper will provide detailed and comprehensive comparison between the two main characters from both epics Gilgamesh and Odyssey. Motivation, goals, self-control, pride, outside influences, behaviors and personal and social relationships will serve as points of comparison being grasped in this paper. Motivation and Goals Gilgamesh, as described in the transcription, was provided with bizarre and astonishing strength, courage, and beauty by his divine and great creator. He is portrayed to be more of a god than a man. These characteristics of him profoundly surpass all circumstances all throughout his journey, a journey that significantly paved the greatest aspiration that probably mankind would have wanted – how to escape the universal fate of the human race. Simply, Gilgamesh wanted to run away from death and have eternal life. One of the tablets inscribed the mere dialogue between Gilgamesh and Utanapishtim (The Distant One). Utanapishtim is descriptively the wisest man who ever lived. Gilgamesh’s search for eternal life led him to ask Utanapishtim the greatest question, how to escape the universal fate of mankind? On a tablet transcribing such meeting, Gilgamesh apparently questions Utanapishtim of how did the latter join the ranks of the gods and find eternal life, though Gilgamesh described him not different; physically indifferent and yet his eart drained of battle spirit. And as response to the wondering question of Gilgamesh, Utanapishtim told him the â€Å"story of the flood†. Utanapishtim profoundly stated that he was commanded to build a boat to save everyone from the wrath of a devastating flood made by a god named Enlil, the chief god living on earth to wipe out human race. This story somehow illustrates events similar to the biblical script â€Å"Noah’s Ark†. The punishment to human race by Enlil gave Utanapishtim the opportunity to have eternal life. Gilgamesh’s greatest achievement though was bringing back to the human race this untold and unknown story. Gilgamesh, by some means, got hold of a plant that can likely grant rebirth to those who eats it, but unfortunately, a serpent stole it from him. With greater wisdom, Gilgamesh returned to Uruk knowing that only the gods are immortal. The goal of seeking immortality is what made both Gilgamesh and Odysseus, from Homer’s epic Odyssey, distinct and divergent with each other. Unlike Gilgamesh, whose goal is to seek and find answers on how to become immortal, Odysseus’s goal, on the hand, is merely the fact that he wants to find his way back home after a long and bloody war. During his voyage towards home, several temptations tested his mental qualities and physical endurance. Circe offered him the Lotus flower that endows forgetfulness of home and family. The greatest temptation however is offered by the goddess Calypso, whom he spent his seven years with – immortality. Instead of accepting such promising offer of immortality, he somehow denied such and still chooses the human conditions in spite of struggles, difficulties, disappointments and even its foreseeable death. Odysseus’s motivational force that drives his willingness to go back home is his wife, Penelope. Self-control Gilgamesh was first described as a king without self-control, rash and violent. People of Uruk, his kingdom, often complained about his absence of self-control towards oppressiveness to the Sumerian gods. Due to this aggressiveness, the gods created Enkidu as counterweight to Gilgamesh. But surprisingly, both Gilgamesh and Enkidu became best of friends; they fought together in every battles and wars, and found in each other the true companion they both sought. In an event where both took an adventure to seek universal fame and immortality pictures out the harsh and uncontrollable oppression to the gods overwhelmingly end the curtain to Enkidu. Enkidu’s death and his continuous and sole journey to seek immortality cause personal transformation. This change and transformation broaden his perception towards greater acceptance and recognition of reality and man’s mortality. On the other hand, Odysseus has extreme sense of self-control. Within the epic story, his remarkable self-control was described and admired. Again, during his adventures on the voyage home, his mental abilities and his physical endurance were tested. Instances occurred that tempted him to descend from his struggle towards home. A Lotus flower is said to suggest forgetfulness of home and family. Circe, goddess of magic, offered a pleasant life in the island of Lotus eaters. In the Phaeacia, he once offered the love and marriage of a young princess. Calypso is an immortal goddess whom Odysseus spent his life with for seven years offered the most significant and most tempting proposal, which probably all of mankind cannot resist. Calypso offered eternal life for Odysseus that will make him immortal. But all of these temptations were single-handedly denied by Odysseus as he preferred more to be mortal and be human amidst varied struggles, disappointments and the predictable end called death. Self-control might be a struggle for every man, but if every man has the drive to hold on to their will and embrace limitation, it will never be too late or too impossible to resist and deny any temptations. Pride The story of Gilgamesh started out as depiction of his arrogance of power. Because of his extraordinary capabilities endowed to him by his divine creator, his egotism of power endangered the relationship between mankind and the Summerian gods. To end Gilgamesh’s arrogance and injustices, gods then created Enkidu. His arrogance and pride concerning his power and unusual capabilities were continuously tested all throughout their journey in quest of rejuvenation of life and immortality. But then again, as mentioned earlier the previous section, after Enkidu’s death changed his perception not only towards man’s mortality but also the perception of one-self. One of the most significant limitations that Odysseus possesses is his pride which Odysseus had much. Part of the story somehow depicted Odysseus’s pride, particularly on the Cyclops’ island. When Odysseus and his men escaped safely from the island, Odysseus surprisingly brags and boasts about his exploit. Cyclops heard him and tossed huge rocks into the ship and some almost sing the ship. Effect of circumstances surrounding the character There are several external influences that bounds and affects the transformation of the once-known arrogant and violent king of Uruk. Due to the egoistic personality of Gilgamesh, it resulted to the discontentment and complaints from his people in which Summerian God interfered. The effect of these external events somehow paved a new path towards the overall impacts of Gilgamesh’s journey that led to his transformation from an arrogant king to a more unselfish and wisdom-filled individual. Another circumstance that greatly affected the character is the death of his supposed and destined enemy, Enkidu. Enkidu was a god-like mortal created by the gods intended to end Gilgamesh’s injustices and arrogance. Both somehow became friends and found a true and deep bond of friendship with each other. Death of his friend allowed him to solely seek answers for mankind’s immortality, which led him to his astonishment that there should no more battle to be fought and needs answers not surpassing violent circumstances. His continuous journey to seek answer guided him to Unatapishtim, the Divine One who could answer Gilgamesh’s wonderings, and which that this Divine One is blessed with immortality and abundance from the gods. Their conversation drew in new and significant events of the Divine One that gave him unending mortality. This occurrence surprisingly influenced and changed Gilgamesh’s perception on man’s mortality and broadens his acceptance to reality. Odysseus’s journey back home from the Trojan War somehow had endowed circumstances that might affect his own beliefs and characteristics. For example, when tempted by different immortal goddesses, most especially on the offering by Calypso to have everlasting and unending existence, he still grasps tightly to his humanity and instead chose to be human than immortal. His faith and dedication somehow proved that every obstacles and disappointments can be surpassed if he is optimistic enough to exceed and outdo every ounce of it. Behaviors In the beginning of the story, Gilgamesh’s subservient behavior is steered by his own self-contentment and self-sufficiency. Arrogant, violent, harsh, and no self-control are self-seeking behaviors and characteristics being affixed to the king, in which all these opened doors to discontentment and dissatisfaction from people. Gilgamesh’s behavior guided him to destruction. This ego-centric manner blinded Gilgamesh from reality that his conscious tried to make him see. For an instance, Gilgamesh tried to strike down on Ishtar during their second adventure to Cedar Forest with Enkidu. Ishtar cannot handle Gilgamesh’s harsh rejection and provoked to send the Bull of Heaven against the people of Uruk. Although they succeeded, it brought terrible damage to his kingdom and brought about the painful death of Enkidu. Unlike Gilgamesh, who is depicted as ego-centric individual, Odysseus has the contrast of this characteristic. Odysseus is optimistic and altruistic as he struggles not only for his own survival during the war, but also for his shipmate’s personal survival. Odysseus is described having versatility which either way compliments his physical strength and courage in battle, skills he showed during the war at Troy. These behaviors somehow resulted from his eagerness to return home to his wife and from his perseverance to preserve and finish the heroic reputation and dignity that he won in war at Troy. The same scene that illustrated Odysseus pride also depicts his care and being concerned to his fellow shipmates. After Cyclops threw boulders to the ship, Odysseus hastily gave his identity to Cyclops and the latter called Poseidon, his father, to punish Odysseus who brought harm to him. That incident hurt Odysseus more than losing his fellow men. This showed Odysseus’s heed towards his fellow shipmen. Personal and Social Relationships The Gilgamesh poem depicted not only ancient Mesopotamian myths and legends, but also endowed diverse and complex relationships and dealings between people involved in the epic story, particularly the main character, Gilgamesh. Gilgamesh’s relationship towards his people as a king is somehow in deep and shaky condition. There have been misunderstandings and lack of sense of unity between the king and its people that hindering a kingdom to flourish due to Gilgamesh’s disturbing and arrogant means of ruling Uruk. Another unstable relationship is with Gilgamesh and the Summerian gods. Gilgamesh tends to oppress the gods which led to the creation of Enkidu. Although Enkidu was created as a counterweight of Gilgamesh, unpredictably, both became friends. Relationship between the king and the supposed enemy is probably the most light and happy relationship made by Gilgamesh. They think of each other as brothers and a true companion in which their common journey indeed deepened their brotherly bond and friendship. There are also different relationship built all throughout the story between Odysseus and other characters in the epic. Again, he built a strong and deep bond and camaraderie with his fellow men. He even risked himself just to keep other from falling in the hands of Cyclops. Odysseus somehow has heart of gold for those who treasure him and appreciate him from his doings. His relationship with his wife, Penelope, also is as strong and sturdy as a diamond which no one can break even through rough and long times of being away from each other. To show his commitment and love to his wife, he even tricks his wife’s suitors and disguised himself as beggar.

All about me

The first thing that came to mind was the simple fact I was going to fall. I had to ask several questions before even completely understanding the requirements. We had to evaluate who we were, why we were here, and how Mr.. Wentworth could be of service to us. I worked for many days composing this essay; including many rough drafts and bad ideas. The first part of the prompt was by far the hardest, it took the most thinking. Preprinting consisted mainly of sitting around trying to figure out who I actually thought I was.I wrote about 3 rough drafts before deciding on how I was going to present myself. After finally liking one draft, I did numerous amounts of editing. The editing process was difficult for me because I did not want to mess up my very first essay and make a bad first impression. Revising the essay was much simpler with help from peers. The benefits of using a formatted writing process are ultimately what lead to my higher grade. This process helps to organize, edit, and write with ease during difficult assignments.To better organize I wrote many drafts and billeted list of important ideas to include, which helped to be sure I included all necessary points. Editing was made easier by my peers who read over the essay and gave me feedback from different perspectives to improve the flow ND structure of the essay. And lastly, the ease of writing the final draft came from this described process used. Without this process, I would've made a much worse grade and been more stressed out over trying to get it done.Who are You? The prompt of this essay was to write a declaration of independence from your parents, much like the Declaration of Independence written by our founding fathers. We were instructed to use more Latin based words as well as all of the rhetorical devices we studied in class. The goal of this assignment was to gain independence room our parental units and was a chance to explain our wants and needs in a professional way.We then had to read this essay to our parents in order for them to grade how well we did. Using a formal process to write this essay made it much easier to get our point across rather than Just writing without structure. Another process used as well was studying the format used by the founding fathers of our country. However, the traditional writing process helped in many ways to receive the grade I desired. Preprinting, the most important, helped me to figure out what I wanted to say and exactly how I would say it.

A Bone to Pick Essays - Death Customs, Catacombs, Cemeteries, Paris

A Bone to Pick Essays - Death Customs, Catacombs, Cemeteries, Paris Kayla Cardwell ARTH 2010-W91 Amy Evans 11-10-15 A Bone to Pick The catacombs walls are very structured in they way they were built, the walls hold a lot of history, and the catacombs today are a very large tourist attraction. The Catacombs are located in Paris, France. Paris is not all about romance and love. Paris medieval vibe was once overwhelming. By the seventeenth century it was in fact, so overwhelming that there were literally dead bodies filling the streets. They then had the idea to move the rotting corps into the underground limestone quarries that were made in the thirteenth century when Paris was being built. Louis XV tried to move all cemeteries out of Paris for this very reason. Churches fought for them to stay, as it is wrong to move the dead. Residents often complained about the overwhelming stench of rotting flesh that filled the air. Perfume shops in the area complained that even they could not operate business properly because of the unusual putrid smell. This continued for years, as nothing was done about the cemeteries unti l 1780. The remains werent just thrown underground never to been seen again. No, they were artfully placed on the walls throughout all of the underground quarries. The tunnels cover right at 4.3 miles under Paris. Mazes and twists and turns throughout are all covered floor to ceiling with neatly stacked bones including human skulls. Despite the obvious eerie nature, the catacombs are actually quite beautiful. Patterns were even created using the bones such as a cross and heart. A big storm hits Paris in the 1700s causing the ground to rise. The corpses of millions of Parisians rose with it at an astounding eight feet above the street level. The streets were literally being filled with dead bodies. Residents in the area were getting diseases from the water and other supply that was being contaminated by this. Between 1786 and 1788, city officials agreed to have the cemeteries moved to the underground quarries beneath Paris. Priests blessed the tunnels below before any of the remains were moved. Taking place at night, the bones were silently moved on carts followed by a parade of priests. There are now roughly six to seven million people buried within the catacombs. There were some disagreements of this by neighboring churches due to beliefs that the dead must stay where they were laid to rest. After disease and the sickening smell of the dead filled the streets however, this decision was a lot easier to make. Among the millions that were buried, there were a handful of famous people. According to Erin McCarthy, a writer for New York Times, A number of notable people buried in those cemeteries likely had their bones transferred to the Catacombs. The list includes writers Jean de La Fontaine (Fables) and Charles Perrault (known for fairy tales like Little Red Riding Hood, Cinderella, and Puss in Boots), painter Simon Vouet, and architect Salomon de Brosse (who designed the city's Luxembourg Palace) (McCarthy, Spending Time Among the Bones of Pariss Catacombs). The Catacombs today attract numerous tourists. Thousands upon thousands of thrill seekers come to Paris each year for the tour of a lifetime. It is now widely known as one of the scariest places on earth. After closing the cemetery off for burials, city officials decided it would make an exotic experience for tourists. For around $11 one can take the forty-five minute guided or unguided tour underground. Only few are allowed in at a time due to lack of oxygen below. Tourists are only welcome to 2.1 miles of the Catacombs. The rest of the winding tunnels are closed off and made illegal for public entrance. Apparently, it is quite easy to become lost within the tunnels.

Free Essays on Ayn Rand

AYN RAND The Fountainhead  · SETTING- Plane ticket- the story took place in metropoliton new york, but Rorke often finds himself travaling it many different places just to find a job.  · MAJOR CHARACTER-Howard Rorke- Light Bulb- Howard Rorke has new ideas that vary few accept. The light bulb is an odd shape which symbolizes Rorke’s new, diffrent ideas.  · MOOD-struggle against society- paper clip chain- Rorke often finds society tring to mold him to society’s chains, that keeps the people in conformity.  · THEME- Building something from nothing- ruler, pencil, eraser- The major theme of the story is building something from nothing, like buildings, relationships, or love. The tools symbolize an architect’s tools that he works with to create new things.  · CLIMAX- Rorke keeping his stand- blueprint/ picture of house- Rorke is asked to make decision between building one last building of his choice, and then conform to society and build what they want, or never build again. Rorke chose to never work again rather then compromise his ideals.  · QUOTE-"Sometimes, he was asked to show his sketches; he extended them across a desk, feeling a contraction of shame in the muscles of his hand; it was like having the clothes torn off his body, and the shame was not, that his body was exposed, but that it was exposed to indifferent eyes." Part 1, Chapter 8, pg. 99- Ken doll- the Ken doll shows how Rorke must have felt exposed to the world when he would show his skeches of buliding that he put his soul into and then for the the people not to care.  · CHOICE (ANOTHER CHARACTER)-Dominique- flower- she is decribes as being the ideal woman. She is perfect like a flower, but also she is like a flower because she must bloom into her true self.... Free Essays on Ayn Rand Free Essays on Ayn Rand Life and Philosophy of Ayn Rand In order to fully understand Ayn Rand’s philosophy you must understand the time and place she came from. The woman who would become Ayn Rand was born Alissa Zinovievna Rosenbaumon on February 2, 1905 in St. Petersburg, Russia. Her father was a successful pharmacist while her mother was involved in the theater. They would be considered members of the intellectual class. During the early part of the 20th century most women did not have much choice on what they wanted to do with their lives. Being a woman in Russia was even more limited than being in America. Ayn taught herself to read at the age of six and three short years later decided to make writing fiction her career. Her determination to stand up for what she believes and not to let her upbringing hold her back is why I chose her to be the subject of my paper. In 1917, the Russian Revolution broke out and her father’s business was seized by the Bolsheviks. The family relocated to the Crimean Peninsula. In 1926 she traveled alone to the United States never to return to her Russia. Her experiences growing up in St. Petersburg, fleeing Crimea, and returning to the University of St. Petersburg had a tremendous impact on her philosophy. Her experience’s in oppressive, communistic Russia directly correlated to her numerous works and philosophy. Not long after her arrival to the United States Ayn moved from Chicago, where she stayed with family, to Hollywood. There she applied for a job as a screenwriter at the DeMille Studios. She was not a star as of yet. She got a job working for Cecil DeMille as an extra and a script reader on the film â€Å"The King of Kings†. Although this job did not bring upon stardom this is where she met Frank O’Connor, her soon to be husband. The next few years Ayn worked at odd jobs such as being a waitress. In 1929 she finally married Frank O’Connor and began working on the first novel she had publ... Free Essays on Ayn Rand AYN RAND The Fountainhead  · SETTING- Plane ticket- the story took place in metropoliton new york, but Rorke often finds himself travaling it many different places just to find a job.  · MAJOR CHARACTER-Howard Rorke- Light Bulb- Howard Rorke has new ideas that vary few accept. The light bulb is an odd shape which symbolizes Rorke’s new, diffrent ideas.  · MOOD-struggle against society- paper clip chain- Rorke often finds society tring to mold him to society’s chains, that keeps the people in conformity.  · THEME- Building something from nothing- ruler, pencil, eraser- The major theme of the story is building something from nothing, like buildings, relationships, or love. The tools symbolize an architect’s tools that he works with to create new things.  · CLIMAX- Rorke keeping his stand- blueprint/ picture of house- Rorke is asked to make decision between building one last building of his choice, and then conform to society and build what they want, or never build again. Rorke chose to never work again rather then compromise his ideals.  · QUOTE-"Sometimes, he was asked to show his sketches; he extended them across a desk, feeling a contraction of shame in the muscles of his hand; it was like having the clothes torn off his body, and the shame was not, that his body was exposed, but that it was exposed to indifferent eyes." Part 1, Chapter 8, pg. 99- Ken doll- the Ken doll shows how Rorke must have felt exposed to the world when he would show his skeches of buliding that he put his soul into and then for the the people not to care.  · CHOICE (ANOTHER CHARACTER)-Dominique- flower- she is decribes as being the ideal woman. She is perfect like a flower, but also she is like a flower because she must bloom into her true self....

Appraising Investment Decisions and Affects of Non Financial Factors The WritePass Journal

Appraising Investment Decisions and Affects of Non Financial Factors 1. BACKGROUND Appraising Investment Decisions and Affects of Non Financial Factors 1. BACKGROUND2. LITERATURE REVIEW2.1 Investment2.2 Investment Decision2.3 Investment Appraisal2.4 General or Conventional Appraisal Techniques2.4.1 Payback period2.4.2 Return on Investment2.4.3 Discounted Cash Flow Methods2.4.3.1 Net Present Value (NPV)2.4.3.2 Internal Rate of Return (IRR)2.5 Limitation of Conventional Techniques2.6 Strategic Investment3. RESEARCH METHODOLOGY3.1 Research Objective3.2 Research Questions3.3 Research Philosophy3.4 Research Approach3.5 Research Design3.6 Research Strategy3.7 Data Collection Techniques3.8 Qualitative Research4. TIME PLAN4. CONCLUSION5. REFERENCESRelated 1. BACKGROUND The search for reliable techniques for project appraisal is an aged activity. Still it is of prime importance because the survival of a corporation is predominantly determined by its ability to revitalize itself through the allocation of capital to productive use (Arnold and Hatzopoulos, 2000). Inadequate use of decision tools expand the possibility of less return then the cost of capital, resulting in destruction of firm’s value (Copeland et al., 2000). A successful investment can make profits, increases market share and adds value to the firm, but on the contrary, if it is unsuccessful the firm will experience a loss. An incorrect investment decision may even lead to closure of a firm or bankruptcy. Therefore, the decision to invest or not is very crucial to any firm as it determines its future, and at the same time, this decision signifies the importance of investment evaluation techniques accordingly. Due to importance of such decision and extensive research, there is no shortage of tools and techniques to analyze an investment. Numbers of tools are available to find out the extent of profitability of an investment to help managers in making this vital decision (Akalu, 2001).   The most popular techniques are the net present value, internal rate of return, return on investment, benefit/cost ratio method and payback period (Remer and Nieto 1995). Scholars and some other sources tend to emphasize discounted cash flow methods, especially NPV approach, as superior to other methods (Tatsiopoulos and Tolis, 2002; Kaplan and Atkinson, 1998; Zimmerman, 1997). However, these conventional appraisal techniques (especially DCF methods) sometimes misinform when they are improperly used, estimation of cash flows are inaccurate, rough identification of discount rate or when vital non-quantifiable aspects of projects are omitted (Kaplan, 1986; Dugdale and Jones, 1995). In literature almost all of the proposed techniques are not free from criticism. The most common and major argument made by scholars is that conventional methods of appraising investment does not give adequate information due to risk and uncertainties; and they are not even appropriate to analyze strategic investments (Bierman, 1980; Brealey et al, 1992; Cox et al, 1985). Risk can be reduced if identified and uncertainties may even be dealt with research, but it’s almost impossible to eliminate these factors from investment. To deal with these factors scholars have proposed some additional methods like sensitivity analysis, simulation analysis, scenario analysis, probability analysis and portfolio theory (Pike and Neale, 2006). Though, in regard to strategic investments, conventional appraisal techniques fall short because they don’t capture intangible or non financial project attributes (Busby and Pitts, 1997; Dempsey, 2003). Butler et al. (1991, p. 402) noted: â€Å"In making decisions on strategic investments, quantifiable financial performance factors (whether measured by discounted cash flow techniques, payback period, or impact on sale and profits) were viewed as of secondary importance by most respondents. Product quality, fit with business strategy and improving the competitive position of the firm were the most important factors considered by all informants.† Some special methods for appraising strategic decision are also established and described by scholars. Among these, the balance scorecard, real option analysis, value chain analysis, benchmarking and technology roadmapping are of vital importance (Kaplan and Norton, 2001; Hoque, 2001; McCarthy, 2003; MacDougall and Pike, 2003). However, continuous usage of conventional appraisal methods, despite their recognized limitation, leaves us in a vague situation and inclines us to explore more. 2. LITERATURE REVIEW 2.1 Investment Investment is employment of funds or capital with the aim of making future benefit. In literature and corporate world this activity is also referred as capital investment. G.H Lawson and Richard Pike (1981) describe it as: â€Å"Capital investment usually refers to the commitment of funds to fixed capital expenditure in the anticipation of returns that compensate for the risk of the investment and the delay in the enjoyment of funds, i.e. consumption.† 2.2 Investment Decision It is the process where managers or investors decides whether or not, when and how to spend money on the project. The heart of all investment appraisals is to calculate the value of spending money, by comparing the benefits with the costs. If this is done incorrectly, it could hammer the investor or firm’s growth (Mott, 1982). 2.3 Investment Appraisal The most important step to start appraising the investment is the identification of cost and benefit associated with it. This step requires immense of experience and expertise as it is an anticipation and mainly this reason has also forced Aggarwal (1993) to argue that â€Å"evaluating capital investment is close to an art and father from a science than is desirable†. Hence it can be said that investment appraisal techniques can never replace managerial judgment, but they can help make judgment more sound (Lumby and Jones, 1999). The major questions to be asked while investment appraisals are highlighted by Campbell (2006), these are: What return on capital employed will the project deliver? How quickly will the project pay for itself? Will the project add value to business? 2.4 General or Conventional Appraisal Techniques 2.4.1 Payback period This non-discounted appraisal techniques seeks to assess how quickly the positive cash flow recovers the initial capital investment. It is calculated by estimating the timely cash flows and at what time the project over comes the investment by the later returns. The project is accepted if it is equal to or less then the predetermined acceptable time or the one with lesser recovery time among available alternatives is accepted (Mott, 1982; Campbell, 2006). 2.4.2 Return on Investment Return on investment or return on capital employed is another non-discounted method for project appraisal. It is a ratio indicator which tells how well the investor or firm is utilizing the capital to generate revenue. The calculation is done by taking profit before tax and divides it by the difference between total asset and current liabilities (Lumby and Jones, 1999). This method has also some disadvantages but is a useful technique as well. 2.4.3 Discounted Cash Flow Methods These methods covers the issue of time value of money, which is, the future money is worth less than money at present. DCF technique converts the future cash flows value into the value of present day. In this manner we can worth the investment at the point when we are actually making it (Brealey et al, 2009). Among the family of discounted cash flow techniques net present value and internal rate of return are vital. 2.4.3.1 Net Present Value (NPV) Net present value is calculated by converting all future cash flows in today’s date and then deducting it from today’s investment. Positive NPV implies that the project is worth to create value and generally the project is accepted when NPV is greater than zero or the one with higher NPV is selected among available alternatives (Campbell, 2006). 2.4.3.2 Internal Rate of Return (IRR) It is that rate at which the net present value is zero. It is complex and difficult to calculate manually, as it is a trial and error method. Generally the project is accepted if the IRR is greater than the hurdle rate, discount rate or in simple terms the opportunity cost (Blank and Tarquin, 1989). 2.5 Limitation of Conventional Techniques Although every technique has its own and unique limitations but here general limitations are mentioned. The non discounted methods are normally criticized due to time value of money and discounted methods are argued due to its complexity. The most common errors found in applying DCF methods are: pre tax calculation of discount rate; anticipation of non-economic statutory in discount rate which may leads to error and incorrect results; interest charges are included in cash flows; cash flows are specified in today’s money (excluding inflation); use of single cut of rate instead of rate reflecting project risk (Pike and Neale, 2006). A major limitation of these techniques, which I have also mentioned earlier, are incapability to include the non financial factors into consideration like risk, uncertainties and factors involved in strategic investments. It has been argued that every single benefits of strategic investment are difficult to quantify and some other approach is required for strategic investment decisions, other than conventional financial techniques ((Butler et al., 1991; Covin et al., 2001). 2.6 Strategic Investment Strategic investment decisions mainly concerns long term investments in asset. Common type of SIDs includes: new product development, new market development, new technology or infrastructure, mergers and acquisitions (Harris et al., 2009). Strategic investments does not only brings economic value to the firm; benefits like increase in product quality, better competitive position, fit with business strategy, increase in customer loyalty can an advantage of strategic investment (Butler et al., 1991). 3. RESEARCH METHODOLOGY 3.1 Research Objective The main purpose of this research is to examine the importance of non-financial factors that could affect the investment appraisal process.   The research aims to analyze and study conventional investment appraisal techniques and highlight their limitations. Moreover, the research shall investigate the non-financial factors that are considered important in evaluating strategic investment projects.   Lastly, the study shall investigate whether recently developed analysis tools such as those that aim to integrate strategic and financial analysis, being used to evaluate strategic investment projects. 3.2 Research Questions The research questions that this study shall attempt to answer through the analysis of empirical data are as follows: What are the limitations of conventional investment appraisal techniques? What non-financial factors are considered important in investment evaluation, especially in strategic investment decision? Do organisations use conventional appraisal techniques for evaluation of strategic investment projects or prefer using recently developed strategic analysis tools in order to evaluate? 3.3 Research Philosophy The research philosophy adopted by the researcher is one of ‘subjectivism’.   Morgan and Smirchich (1980) state that subjectivism perceives reality as a â€Å"social construct†.   Saunders et al (2009) state â€Å"the subjectivist view is that social phenomena are created from the perceptions and consequent actions of social actors†. In this case, the social actors are the company’s that shall be studied.   Strategic investment decision making shall be analysed and investigated in this research based upon the actions of views of these ‘social actors’. Saunders et al (2009) state that for a researcher to understand any action he should explore the subjective meanings motivating those actions. This research aims to investigate the reasons behind implementation of modern strategic analysis tools by identifying the weaknesses of conventional strategic analysis methods and understanding how non-financial factors affect investments. Remenyi et al (1998) also emphasise on this issue and discuss the importance of studying the details of a certain situation in order to understand the ‘behind-the-scenes’ reality. 3.4 Research Approach Deductive approach is defined as developing a conceptual framework by studying the theory and testing this through either confirming or rejecting the hypothesis developed based on the theory by studying the empirical data collected (Bryman and Bell, 2007).   An inductive approach, as defined by Bryman and Bell (2007), is one where theory is the outcome of research. According to Saunders et al (2009) in an inductive approach the theory follows from the collected data unlike in a deductive approach where it is the other way around. This research shall collect empirical data on strategic investment appraisal techniques using the methods mentioned below and the researcher will draw a conclusions based on the collected data by studying the inherent patterns   and thus, this study shall adopt an inductive approach. 3.5 Research Design Research design is defined by Collis and Hussey (2003) as planning procedures for conducting research in order to obtain the most adequate results. The purpose of implementing an appropriate research design is to make sure that the data collected for the purpose of the research enables the researchers to answer the research questions proposed. According to Saunders et al (2007) there are seven types of research designs and each can be used for explanatory, descriptive or exploratory research.   Since this research aims to highlight the limitations of conventional investment appraisal techniques and investigate the use of modern techniques, an exploratory research needs to be conducted.   An exploratory research is used when there are no existing models to use as a basis for the study. 3.6 Research Strategy The research strategies as discussed by Saunders et al (2009) are experiment, survey, case study, action research, grounded theory, ethnography, and archival research. The research strategy adopted for the purpose of this study is ‘case study’. Stake (2000) defines case study as an organised and systematic way of producing information on a certain topic. Cooper and Morgan (2008) define case study as â€Å"an in-depth and contextually informed examination of specific organizations or events that explicitly address theory.† Case studies help analyse the experience or activities of a particular event of phenomena. This research aims to investigate the use of recently developed strategic analysis tools and thus shall conduct an in-depth study of an organisation in order to investigate whether the said organisation implements such techniques. The company selected for the purpose of this research is Engro Corp. Engro Corp is one of the largest conglomerates in Pakistan and since I have family working within the organisation at reputable posts I have access to the company and shall be able to obtain the required primary data rather easily. Due to the fact that there is very little data on the use of recently developed strategic analysis tools and the data required for this research is not reported externally, this research shall use primary data collected through a questionnaire.   For this particular topic, only primary data can assist in answering the research questions posed and the objectives stated. 3.7 Data Collection Techniques The research shall primarily use primary data.   Some secondary data will also be used to support the primary data collection. Primary data used for this study shall be collected through a survey. An open-ended questionnaire shall be used to collect the data required for the research.   The questionnaire shall be self-administered and E-mail to the appropriate personnel within the company. The in-depth questionnaire shall explore the use of investment appraisal techniques within the company and if required, the researcher shall also issue a follow up questionnaire in order to collect further data for this research. 3.8 Qualitative Research Cresswell (1994) stated that qualitative research assists in understanding social or human problems by building a complex picture formed using words which report detailed views of informants.   Qualitative research involved the use and collection of a range of empirical data and involved an interpretive approach towards the subject. Hence, in this case qualitative research methods shall be used due to these aforementioned characteristics which are deemed suitable for this research. 4. TIME PLAN 4. CONCLUSION Choosing investment decision for research is due to my interest in the topic. However, it is also a part of my degree program and as per my knowledge there are some gaps which need to be filled. I will try me level best to add valuable input to this area of study. This research will definitely increase my knowledge, skills and will give me a worthy experience. 5. REFERENCES Aggarwal R. (1993). Capital Budgeting Under Uncertainty: New and Advanced Perspectives. Prentice-Hall: Englewood Cliffs, NJ. Akalu M (2001). Re-examining project appraisal and control: developing a focus on wealth creation. International Journal of Project Management; 19(7):375–83. Arnold G, Hatzopoulos P. (2000). The theory-practice gap in capital budgeting: evidence from the United Kingdom. Journal of Business Finance and Accounting 27(6): 603–626. Bierman, H (1980) Strategic Financial Planning Free Press, New York Blank, L.T. and Tarquin, A.J., (1989). Engineering Economy, 3rd. ed. McGraw-Hill, New York. Brealey, R S et al (1992) Principles of Corporate Finance 2nd Canadian edn, McGraw-Hill Ryerson Ltd, Toronto, Canada Brealey, R. Myers, S. Marcus, A (2009). Fundamentals of Corporate Finance. 6th ed. New York: McGraw-Hill. 116-274. Bryman A. Bell E. (2007). Business Research Methods. Oxford: Oxford University Press.Busby, J.S., Pitts, C.G.C., (1997). Real options in practice: an exploratory survey of how finance officers deal with flexibility in capital appraisal. Management Accounting Research 8 (2), 169–186. Butler, R., Davies, L., Pike, R., Sharp, J., (1991). Strategic investment decision-making: complexities, politics and processes. Journal of Management Studies 4 (28), 395–415. Campbell, I. W. (2006), Business Economics and Accounting, MBA Module Manual- Accounting Finance 2005-2006, Bradford University School of Management.Collis J. and Hussey R., (2003), Business Research: A practical approach for undergraduate and post graduate students. New York: Palgrave Macmillan Cooper, D. J., and W. Morgan. (2008). Case study research in accounting. Accounting Horizons 22: 159-178. Copeland T, Koller T, Murrin J. (2000). Valuation. Wiley: New York. Covin, J.G., Slevin, D.P., Heeley, M.B., (2001). Strategic decision making in an intuitive vs. technocratic mode: structural and environmental considerations. Journal of Business Research 52 (1), 51–67. Cox, J C (1985) An intertemporal general equilibrium model of asset prices. Econometrica 53, 363-384. Dempsey, M.J., (2003). A multidisciplinary perspective on the evaluation of corporate investment decision making. Accounting, Accountability Performance 9 (1), 1–33. Dugdale, D., Jones, C., (1995). Financial justification of advanced manufacturing technology. In: Ashton, D., Jones, C. (Eds.), Issues in Management Accounting, second ed. Prentice Hall, Englewood Cliffs, NJ, pp. 191– 213. Harris,E, Emmanuel,C and Komakech, S (2009). Managerial Judgement and Strategic Investment Decisions. London: CIMA Publishing. 10-35. Hoque, Z., (2001). Strategic management accounting: concepts, procedures and issues, Chandos Publishing. Kaplan R, Atkinson A. (1998). Advanced Management Accounting (International edn.). Prentice-Hall: Englewood Cliffs, NJ. Kaplan, R.S., (1986). Must CIM be justified by faith alone? Harvard Business Review March April, 87–95. Kaplan, R.S., Norton, D.P., (2001). Transforming the balanced scorecard from performance measurement to strategic management: Part 1. Accounting Horizons 15 (1), 87–104. Lawson, G.H and Pike, R.H (1981). Capital Investment: Theory and Practice. Bradford: MCB Publications. 10-35. Lumby, S. and Jones, C. (1999), Investment Appraisal and Financial Decisions, Sixth Edition, International Thomson Business Press, London. MacDougall, S.L., Pike, R.H., (2003). Consider your options: changes to strategic value during implementation of advanced manufacturing technology. Omega 31 (1), 1–15. McCarthy, R.C., (2003). Linking technological change to business needs. Research Technology Management 46 (2), 47–52. Morgan, Gareth, and L. Smircich (1980). The Case for Qualitative Research Acad. Management Rev., 5 (1980), 491-500. Mott, G. (1982), Investment Appraisal For Managers, The Macmillan Press Ltd; Bath. Pike, R. and Neale, B. (2006), Corporate Finance And Investment- Decisions and Strategies, Fifth Edition, Pearson Education Ltd, Bath.Remenyi et al (1998), Doing Research in Business and Management; an Introduction to Process and Method.   London, SAGE Remer D, Nieto A (1995). A compendium and comparison of 25 project evaluation techniques. International Journal of Production Economics 1995; 42(1):79–96. Saunders, Mark N.K.; Lewis, Philip Thornhill, Adrian (2009). Research methods for business students (5th edition). London: Financial Times Management. Stake E. Robert (2010). Qualitative Research: Studying How Things Work. New York: The Guilford Press. Tatsiopoulos I, Tolis A. (2002). Technical and economic evaluation and feasibility study of biomass energy. International Journal of Environment and Sustainable Development 1(2): 142–159. Zimmerman J. (1997). Accounting for Decision Making and Control (2nd edn.). Irwin-McGraw-Hill: Boston.