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(Official) Essay Writing - Tacn3
(Official) Essay Writing - Tacn3
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with each other in finding out new markets and sources of raw material for their industries and
frequently come into clash.
In conclusion, free trade is the mostly appreciated in a lot of countries nowadays. In
addition to the great benefits and opportunities, many countries, including Vietnam also face with
many obstacles, so it is necessary to change to take advantage of its opportunities and limit risks.
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to enhance the competitiveness of the domestic economy through transferring technology,
strengthening infrastructure, raising productivity, and generating new employment opportunities.
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above. Support your point of view with reasons/ examples from your own experience,
observations or reading.
The author of the topic states that electronic credits and debits should be used and metal
coins and printed pieces of paper should be totally abandoned. It seems that this is a brilliant idea
at the first glance as it favors environmental protection. From point of my view, the system of
coins and paper shouldn't be entirely replaced with a system of electronic accounts of credits and
debts, even though the explosion in technology is exponential. Though the recent developments
in technology have undoubtedly brought about dramatic changes in many aspects of the society.
However, we cannot take it for granted that technology changes everything in our life.
First of all, the traditional monetary system has deeply rooted in almost all societies.
People have long been used to coins and paper money as a medium of exchange and a standard of
value. Metal coins and printed pieces of paper have high historical and artistic values. They
portray the social culture and image of our time. Metal coins and paper money are often the first
topic for historical to research on. Most countries emphasis on the design of coins and paper
money, as they are the most important way to show national pride. For instance, famous the
image of Vietnamese leader Ho Chi Minh President is shown in every Vietnamese coins and
paper money.
Secondly, developments in technology may have brought great convenience to people, but
convenience is not the only underlying standard or cause for such changes as dramatic as the
entire replacement of the existing monetary system. Such a system, like many other systems in a
society such as language system, political system, has a cultural, historical and social background,
and therefore becomes difficult, and sometimes impossible to change.
Thirdly, technology isn't always foolproof. Disasters involving high-tech like The data
breach of 70 million Target’s customers in 2013, or the Home Depot retail chain is frightened to
discover customer data stolen for more than a month. Credit and debit cards can make it easier for
customers to pay and manage their money when they consume it, but there are potential risks of
leaking personal information. Therefore, it is not wise to totally rely on electronics. When failures
occur in payment devices or systems, coins and paper money are the best alternatives to
electronic transactions.
Last but not least, coins and paper money are freely convertible to gold, a tangible asset.
The government bears the responsibility to ensure that all coins and notes are valuable. This
concept gives confidence to the money holder which ensures social stability. While credit cards
seem to be more risky. Besides, the entire replacement of the present coins and paper money
system will inevitably hurt millions of coin-collectors as well as those so-called "high-tech phobic
people", who feel at a loss when dealing with such things as ATM, computer network and the
Internet.
In sum, although theoretically the replacement may bring convenience to people and can
avoid certain problems, in practice, the recent developments in technology can only change some
aspects of the existing monetary system, not the entire one.
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- Arbitrage is the practice of transferring funds from one currency to another to benefit
from rate differentials. For instance, local supply and demand factors may results in a
dollars spot rate in London that differs from the rate in New York. If the spot rate is higher
in London, an arbitrage dealer would quickly buy dollars with pounds in New York and
sell the dollars in London for pounds. In arbitrating, at least two markets are entered.
- Hedging is fundamental method of making money. A hedge is an investment position
intended to offset potential losses/gains that may be incurred by a companion investment.
In simple language, a hedge is used to reduce any substantial losses/gains suffered by an
individual or an organization. For example, if they buy forward thirty days, they should
immediately sell forward thirty days for the same amount. Obviously, traders try to realize
a profit margin between the two transactions.
- Speculation is the act of trading in an asset, or conducting a financial transaction, that
has a significant risk of losing most or all of the initial outlay, in expectation of a
substantial gain. With speculation, the risk of loss is more than offset by the possibility of
a huge gain; otherwise, there would be very little motivation to speculate.
In conclusion, open account is advantageous to the importer in terms of cash flow and
cost, but it is a risky option for an exporter. Though open account terms will definitely enhance
export competitiveness, exporters should thoroughly examine the political, economic and
commercial risks as well as cultural influences to ensure that payment will be received in full and
on time.
UNIT 5: MARKETING
The first advantage of word of mouth is high level of reliability. According to HubSpot
show that 75% of people don’t believe adverts, yet 90% trust suggestions from family and friends
and 70% trust consumer reviews. In addition, word of mouth marketing could create brand
loyalty because of building an engaged fan base rather than a buy and bolt customer. Higher
engaged customers buy more often and recommend their friends more often, extended your return
on time spent on the strategy and generating a high customer lifetime loyalty
Apart from that, word of mouth help grow sales without the ad spend. People who have
used the product are not paid to express their opinions and feelings from personal experience and
evaluation, which save costs for companies compared to investment in other massive and
expensive means of media. Many brands from The Hustle to Bangs Shoes and more use word of
mouth marketing instead advertising spend to increase sales and fanbase.
When case studies were analyzed, researchers found that increase in word-of-mouth could
translate into a specific percentage of sales lifts, which motivates companies to find ways to
master this method of advertisement for their marketing campaigns. For example, foody, KOL.
UNIT 6: TRANSPORT
1. What are the roles of transportation in the economy?
Transportation plays an important role in today’s modern world. An efficient transport
system is essential for sustainable economic development of the country and plays a significant
role in promoting national and global integration.
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First and foremost, transportation facilitates movement of raw material and other requirement
from the place of supply to the place of production. Without improved modes of transportation it
would have been harder for the industrial producers to produce and then sell their goods to the
wider markets. Therefore, efficient transport is indispensable to the economic development of the
nation.
Secondly, transport also contributes to economic development through job creation. It creates
both direct and indirect employment opportunities. It also facilitates movement of labors and
thereby encourages employment resulting into industrial development and thereby economic
development. On the other hand, transportation has brought the countries closer. It not only caters
to the need of mobility but also provides comfort and convenience. The transport system is doing
a great job by easing the pain of covering vast distance of land thereby bringing the countries
closer.
Next, transport increases the mobility of labour and capital, widens the market that leads to
specialization and division of labour, which helps in stabilizing prices. Without efficient transport
it would not have been possible to procure raw material, gather large number of workers and
distribute the finished goods.
Last but not least, transportation raises the standard of living, making possible improved
housing, clothing, food and recreation.
In conclusion, transportation plays a significant role in the overall economic development. It
helps in removing the distance barrier, increasing productivity and enhances competitiveness of
the economy. Well-functioning transportation systems form the basis for economic prosperity and
social well being of societies.
The globalization progress has paved the way for goods to be exchanged beyond national
borders conveniently. There has been a significant increase in the demand of global transportation
at present. Among 4 modes of transport including road, rail, air and sea transport, air transport
plays a important role. Although air transport is only responsible for 1% of the total volume of
freight, it accounts for 30% of the total turnover of international trade. This essay provides some
of general features about air transport, with both the advantages and disadvantages.
Transportation of cargoes by air plays a crucial role due to its various advantages. The
biggest to mention is that air transportation is the fastest means of transport and one can travel
from one part of the world to another part of the world within hours. Hence if one wants to
transfer lightweight perishable goods or due to medical emergency one has to travel from one part
of the world to another part of the world, then air transportation is the only option as other modes
of transportation will be useless in such circumstances. Moreover, another benefit of air transport
is lower insurance premium, calculated based on risks of loss or damage during transit, thanks
to its high speed. To be more specific, the less time the consignment spends on the plane, the
shorter periods during which it is at risk, which results into cheaper insurance.
On the other hand, there are drawbacks to consider that make transportation by air a less
suitable option compared to other modes of transport. Firstly, in return for fast speed and high
quality services, freight rates of air transport are the most expensive, which could be explained by
high operating maintenance costs of planes. In addition, Air transport is uncertain and unreliable
as it is controlled to a great extent by weather conditions. Unfavourable weather such as fog,
snow or heavy rain etc. may cause cancellation of scheduled flights and suspension of air service.
Furthermore, it has small carrying capacity which limits its use because it can carry a maximum
of 300 to 500 passengers and also it is not suitable for transportation of bulky and heavy goods.
In conclusion, air transport is one of the most profitable means of transport for humankind,
shortening the distance between all the countries of the world, allowing commercial exchange to
be carried out in a safe and timely manner. It has facilitated the delivery of commodities in many
places on the planet. However, there are some disadvantages of air transport that must also be
considered.
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With the quick development of globalization, the demand for delivery of goods and
passengers between countries has been increasing significantly. However, transporting
goods around the world is not without certain risks. When the goods are shipped
somewhere internationally, there would be many things which could go wrong while they
are in transit. That’s where cargo insurance comes in. In this essay, I will discuss the
specific reasons why people often insure their goods.
First and foremost, the handling and transportation of goods always involves the
risk of loss or damage. Especially when it takes a long period of time to move cargo from
one place to another, many events can occur during transit that may cost the owner
substantial sums of money. For example, loss and damage could arise from: fire or
explosion; collision of vessels; pirate, theft or non-delivery; rough handling; natural
disasters; washing overboard; contamination; entry of water into vessel or place of storage,
etc. Therefore, owners of the goods can protect themselves against these risks by insuring
their goods in transit, thus minimizing such impacts as loss of profits, productivity and
goodwill.
Another reason is that it would help business share risks to others. Goods are
exposed to various kinds of risks and uncertainties which may cause large losses.
Insurance is a co-operative device, which helps to share the risks among the insured. Thus,
the insurance company reduces the risk of the insured in exchange for small premium.
Moreover, who insures the goods? The terms of the purchase contract normally
determine at which point the risk transfers from seller to buyer and who will responsible
for insuring the goods. For example, for FOB contracts the buyer is obliged to insure the
goods once they pass the ship's rail at the port of origin. Otherwise, when the terms are
CIF the seller has to provide minimum insurance cover from the warehouse to the port of
destination.
Last but not least, buying insurances for goods is often a contractual requirement. It
also frees the traders from anxiety and worries when moving their cargos to somewhere
thousands of miles away, especially cargos of high value.
In conclusion, insurance is used depending on the commercial terms of the
agreement, to protect cargo owners from the risk of lost or damaged goods by financially
compensating for partial or total loss according to the terms of insurance policy. Business
should consider buying cargo insurance if these advantages are what they are looking for
in trade.
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choice to reach bigger markets and learn new skills that increase profitability, and raises
consumption. There are some advantages and disadvantages as follows
ADVANTAGES
- Increased Sales and Profits: Exporting products can ensure increasing sales and profits in
general. Businesses that focus on exporting expand their vision and markets regionally,
internationally or even globally. Instead of earning money by selling their offerings on the local
market, these businesses are focused on discovering new opportunities to present their work
abroad. Over the long term, once the expenses for introducing the product in the international
market have been covered, increasing sales abroad will improve general revenues since the
company will have greater capacity and production volume .
- Lower Per Unit Costs: Capturing an additional foreign market will usually expand production
to meet foreign demand. Increased production can often lower per unit costs and lead to greater
use of existing capacities.
- Diversification: Selling to multiple markets allows companies to diversify their business and
spread their risk. Companies will not be tied to the changes of the business cycle of domestic
market or of one specific country.
- Cultivate new knowledge and experiences: one of the most valuable advantages of
penetrating the international market is access to information on new technologies, marketing
methods and foreign-competitor strategies.
- Extend the Product Life Cycle: In the domestic market, your product might be approaching
the end of its life cycle. In such an instance, finding an export market, usually less developed
countries, would be ideal in order to extend the life cycle of the product.
DISADVANTAGES
- Lack of market information: Finding information on foreign markets is unquestionably more
difficult and time-consuming than finding information and analyzing domestic markets. In less
developed countries, for example, reliable information on business practices, market
characteristics, cultural barriers may be unavailable.
- Trade barriers: Almost every government have protectionism to conserve local manufacturers.
They tend to impose tariffs, quotas and complicated technical requirements on imported goods to
their countries. Furthermore, Export Licenses and other documentations have to be obtained.
- Product Modification: When exporting, companies may need to modify their products to meet
foreign country safety and security codes, and other import restrictions. At a minimum,
modification is often necessary to satisfy the importing country's labeling or packaging
requirements.
Entering the foreign market, an export business requires careful planning, some capital,
market know-how, access to quality product, competitive pricing strategy, management
commitment and realizing the challenges and opportunities While there are no hard-and-fast
rules that can help companies make decision to export and to become successful, understanding
the advantages and disadvantages of exporting can help smooth entry into new markets, keep
pace with competition and eventually realize profit.
The second cause of mergers’ failure is unrealistic expectations about the future success of
the new company. When business owners set over-confident financial targets, they tend to tensely
fight over limited resources. Any negative economic outcome can lead to frustration and, more
seriously, result in a steady decline in the share price.
Last but not least, a high percentage of mergers are unsuccessful because of the ways the
companies are integrated. Two businesses often have very different strategies and growth models.
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This requires the board of directors to comprehensively understand the aim of merger then
combine strategies suitably. Weakness or over-optimism in management can push a new
enterprise into a common trap.
In conclusion, seemingly good deals can go bad and merger is no exception. The success
of mergers depends on how realistic the deal makers are and how well they can integrate two
companies while maintaining day-to-day operations.
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In conclusion, Arbitration can be used to replace the traditional way of litigation in court.
Thanks to four main advantages mentioned above, arbitration deserves to become a mainstay in
resolving legal disputes.
What are the disadvantages of arbitration?
• Unlike judges, arbitrators’ fees must be paid by the parties. This can be expensive compared to
conventional court fees in many jurisdictions.
• Arbitration can be more expensive and time consuming than court proceedings for larger, more
complex disputes.
• Arbitration can be more time consuming because of problems with the availability of arbitrators,
especially if they are based abroad. In court proceedings, any available judge can hear a case.
• Avenues for appealing and/or challenging awards are limited if you lose.
• Arbitrators sometimes lack the power to make certain interim orders against the parties before
publishing the final award.
• Unlike mediation, arbitration is an adversarial process. It is less likely that a commercial
relationship will survive after the process has ended.
• In disputes involving more than two parties, arbitration can be difficult to manage, particularly
where some aspects of the dispute are subject to arbitration and others to litigation.
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