Educating Essay Example for Free

Educating Essay â€Å"Individuals venturing into new experiences may encounter obstacles but may also gain significant rewards†. â€Å"Do you agree with this perspective?† In your response, refer to your prescribed text and atleast one other related text of your own choosing. Individuals venturing into new experiences may encounter obstacles but may also gain significant rewards. This is present in the text ‘Educating Rita’ written by Willy Russell and the film ‘The Help’ written by Kathryn Stockett. In this text we see a fairly un-educated woman blossom and find herself through education; the obstacles she faces on her way to knowledge are the stepping stones in finding herself and entering the new world of education. Rita is a typical uneducated woman; her life is already planned out for her consisting of children, cooking/cleaning, pub trips and the overall expectation to be content with this life and not expect any more. However throughout the text we see Rita break away from this lower class/restricting stereotype to blossoming and finding herself in the world of education. The opening scene portrays to us the two completely different worlds in which Rita and Frank live. Rita has enrolled in an Open University course as she sees education as a way of moving out of her world; she feels out of step with her working class background and wants to discover herself first before having a baby and tying herself down for life. Rita’s constant desire to ‘know everything’ makes Frank feel that he is an appalling teacher because he feels he has nothing to offer her. Frank is Rita’s course tutor; he is a very negative and dismal man who is heavily reliant on alcohol to dull his boredom and frustration. Although being a jaded alcoholic he is also a very precise, formal and educated professor who is just on a downward spiral in his life. Throughout the text we see Rita and Frank’s relationship grow as Rita makes him feel as if he has hope again, therefore his drive comes back. In scene one we observe Rita struggling to open the door into Frank’s office; this symbolises her struggle to enter that world, it’s a barrier, however she’s determined to get what she wants – in this case education – therefore almost breaks the door in order to get in. â€Å"You’re the first breath of air that’s been in this room for years† quoted by Frank symbolises the opening up of a new world for him, he’s now got someone new and different to experience. This is a good change for Frank. Scene two beings with Rita oiling Frank’s office door, then handing the oil to Frank. This is symbolic of giving him the key/tool to open up to another world. Rita still doesn’t portray herself as a ‘proper student’ and her self esteem/confidence is still very low. She doesn’t think she is capable of achieving the great essays that the other students write and doubts herself that she will even finish the course. This scene really reveals the cost that trying to change herself is likely to have on Rita. She is dissatisfied with her life and has a desire to change it, yet it would be easier in her opinion to simply stay as she is and continue her boring life of hairdressing and different flavoured beers. Frank assigns Rita 3 novels to read as her hunger for knowledge is starting to grow extremely. The slow change in Rita is starting to become evident as she can read/take on any book presented to her, â€Å"it feeds me inside†. Her hunger is growing and making her slowly discover who she is, â€Å"it makes me stronger comin’ here†. Although Rita feels as if she’s finally accepted in the university and has a place/fits in with the ‘proper students’, she still has barriers to face in her personal life that are important determining points in her progress and choices as an individual. Rita’s husband Denny isn’t accepting nor happy about her doing this ‘whole learning thing’ and forces her to choose between him and education as he doesn’t understand that this is the first time she’s happy and felt a sense of purpose in her life. Denny has made her constantly feel stupid for even considering getting an education and therefore burns all of her books. The burning of the books is symbolic of Denny trying to prevent Rita from moving away. â€Å"You’d think I was havin’ a bloody affair the way he behaves† â€Å"And aren’t you?† symbolises Rita’s affair with education. Although she may not be cheating on Denny, she still desires to educate herself more than spend time with her husband and is happy with this choice as it is her own choice and no one else’s. In scene six we start to see a notable change in the relationship between Rita and Frank. When Rita bursts into Frank’s office excited to tell him that she saw one of Shakespeare’s plays â€Å"it was bleedin’ great†, Frank thought that something serious had happened – which indicates that he is beginning to care for her. After inviting Rita to a dinner party at his house Frank feels closer to Rita – this invite symbolises the change in the basis of their relationship from teacher and student to a more personal one. Throughout the text we have seen Rita grow and shape herself as an individual, no matter what obstacles and new experiences she has encountered with on her way she has got through them with determination and strength, and as a result has been great personal gain. Towards the end of the text Frank presents Rita with a dress; this is symbolic of a dress for an educated woman, she is now one and can wear the dress with pride. Frank decides to leave the university, as he does not feel it is the right career for him anymore and would prefer to spend his time doing something else. Rita and Frank have both grown and found themselves throughout this text which is also evident in the film ‘The Help’ written by Kathryn Stockett. The Help is set in Mississippi during the 1960s, main character Skeeter (Stone) is a southern society girl who returns from college determined to become a writer, but turns her friends lives and the Mississippi town upside down when she decides to interview the black women who have spent their lives taking care of the richer upper class families. Davis, Skeeters best friends housekeeper, is the first to open up and be interviewed to the shock of her friends in the close black community. Despite Skeeters life long friendships hanging in the balance, she and Davis continue their partnership and soon more women come forward to tell their stories and as it turns out, they have a lot to say. Along the way, unlikely friendships are forged and a new sisterhood emerges, but not before everyone in town has a thing or two to say themselves when they become unsuspectingly/unwillingly caught up in the changing modern times. This is relevant to the text Educating Rita as the women find the co urage and self confidence to venture into new experiences to help better either themselves or their community.

Released From The Grip Of What He Carried: Freedom Birds :: essays research papers

Released From the Grip of What He Carried: Freedom Birds "They dreamed of freedom birds. At night, on guard, staring into the dark, they were carried away by jumbo jets. They felt the rush of takeoff. Gone! They yelled. (286). "Freedom bird" an appropriate term for the jumbo jets that take the soldiers from their tour because it gives them the freedom from what has been holding them back. Throughout the story, First Lieutenant Jimmy Cross has his mind everywhere but on his infantry he is supposed to be leading on the tour. The story shows how even the smallest memory, letter, or picture can draw anyone from reality. It shows several men's struggle to overcome their predisposed conscience and deal with reality. It has become one of the most common occurrences in any war. Grandfathers, uncles, and even brothers have told how they would recall as they were fighting, they themselves carried the unnecessary on a tour. The seemingly innocent picture, the numerous letters sent, and even thoughts of what it was like to be home, all of a loved one is now shown to have an impact. As seen with Jimmy Cross, some men even went to a profound obsession. As mentioned early in the work, Jimmy Cross carries letters and two pictures from a friend named Martha. The story tells how "he would dig his foxhole, wash his hands under a canteen, unwrap the letters and photos, hold them with the tips of his fingers, and spend the last hour of light pretending, he would imagine romantic camping trips†¦" (275). One picture is a black and white picture of Martha standing against a brick wall. It is told how Martha has an apparent neutral look to her, and Cross can't help but notice the shadow of the person taking the picture. Cross knows she has boyfriends, knows she is closer to men other than himself. The other picture that Cross has is one of Martha clipped from a yearbook. It is a shot of Martha playing volleyball for her school. In the picture, Martha is "bent horizontal to the floor, reaching, the palms of her hands in sharp focus†¦the expression on her face taut and competitive" (276). The usual glance at a picture isn't enough for this man. It becomes an obsession for him to do this every night, sometimes he "licks the envelopes knowing that her tongue touched the paper" (275). O'Brien gives the impression that Cross has the deepest thoughts for Martha throughout the story. He mentions on numerous occasions that Cross is thinking about her, and imagining being with her.

Starbucks Case Accounting

Starbucks Case Part I – Prior to reading Starbuck’s Form 10-K, please answer the following questions. Your answers should be based upon your general knowledge of Starbucks, gained from visiting their stores, purchasing their products and/or observing them in the marketplace. a. Up until the economic downturn (Fall of 2008) what do you believe was Starbucks’ growth strategy? Give three examples of specific actions (growth initiatives) you observed Starbucks execute upon as part of their growth strategy? 1. Saturate the U. S. arket: Based on our observations, it seemed that Starbuck’s primary strategy for growth was to saturate the U. S. market. At one point there seemed to be a Starbucks at every corner, sometimes so close that one had to wonder why in the heck they were opening stores within a couple dozen feet from each other. 2. Expand internationally: We presume that one of their growth goals was to expand abroad, specially if they began to realize they were cannibalizing their own established stores, so they likely had to go outside of the U. S. o keep up their growth targets. 3. Develop complementary products/alternative revenue sources: We also think that around 2006-2007 was when they started to promote downloadable music and also began to sell CDs & books in stores; which means they began to more aggressively add alternative revenue channels, beyond that of coffee/drinks, to their many locations. (Personally, I purchased a bottle of Starbucks coffee liqueur around that time, which I still have because it’s not as good as other coffee liqueurs such as Kahlua. b. How do you believe Starbucks measured their success in executing their growth strategy? Give four specific measures you might use to evaluate the success of Starbucks’ growth strategy. Very likely that they were measuring it against number of new stores opened, and sales growth. We would probably use the following to evaluate the success of Starbuck’s growth strategy: 1. Sales growth. 2. Operating Revenues. 3. Net income. 4. Return on assets. The remaining sections of the case should be completed after you have read Starbucks Form 10-K and any other information deemed pertinent. Part II – Results of the audit by Starbucks’ outside independent accountant, status of Starbucks’ financial reporting controls and industry specific accounting. a. Who is Starbucks’ outside independent auditor? Did Starbucks receive a qualified or unqualified (clean) audit report from their outside independent auditor for the 2010 fiscal year end? a. Deloitte & Touche, LLP. b. Unqualified. b. What was Starbucks management’s conclusion in their report on internal control for financial reporting? What was the outside independent auditor’s conclusion regarding management’s review and assessment of financial reporting controls? . That their internal control over financial reporting was effective as of October 3, 2010. d. That Starbucks maintained effective internal control over financial reporting as of October 3, 2010. c. How does Starbucks account for gift cards? What impact do unredeemed gift cards have on the reported operating income in each year? How does Starbucks’ accounting for unredeemed gift cards compare to other retailers? e. Revenues for cards are recognized when tendered for payment, or upon redemption. Outstanding balances are included in deferred revenue on the balance sheet. Balances on cards that are deemed unlikely to be redeemed, get recognized as net interest income. f. Operating income is increased by balances on cards thought unlikely to be redeemed; therefore, it can be argued that operating income is being overstated by the addition of â€Å"unlikely-to-be-redeemed† card balances to net interest income. g. Gift card balances by other retailers are probably carried as a liability (unearned revenue). When gift cards are not redeemed, some retailers return the balances to the state where the card was issued assuming the unclaimed balance to be â€Å"unclaimed property† in some states. As seen above, Starbucks does carry outstanding balances as deferred revenue (a liability) as well, but once the cards are deemed unlikely to be redeemed, it treats the unclaimed balance as an asset. Part III – Trend Analysis of Sales and Earnings Growth During 2006 – 2010 Review Starbucks income statement and common size income statement for the years 2006 through 2010. Identify and comment on the major trends in the growth in Starbucks sales and earnings, including: a. Sales growth – was Starbucks’ sales growth consistent or inconsistent over the above five year period? Do you see signs of acceleration or deceleration in Starbucks’ historic growth rates? How does Starbucks’ sales growth compare to its industry averages? Are same store sales or the opening of new stores the more important factor in driving Starbucks’ sales growth during this period? Do you believe Starbucks sale trends over the past few years will continue over the next two to three years? Please provide rationale for your belief. Starbucks’ sales growth was inconsistent over the above 5 year period. Data from the last 5 years suggests that Starbucks’ growth rate is actually decelerating. Starbucks’ sales growth was below the industry sales growth. The industry has average 9. 25% over the last 5 years while Starbucks averaged 7. 5% only. The opening of new stores is vital to Starbucks’ sales strategy. During 2006, 2007, and 2008, Starbucks added 2199, 2571, and 1669 net stores. During the same years, sales grew by 22%, 21%, and 10% respectively. During 2009, Starbucks reduced 45 stores and their sales dropped by 7%. In 2010, Starbucks added 223 stores and not surprisingly their sales increased by 10%. In our opinion, Starbucks’ sales will continue to grow but at a decreasing rate over the next 2 to 3 years. This projection is based on historical sales data from the last 5 years which suggest a deceleration of sales growth. Starbucks’ average sales growth for the last 5 years is 11%. In 2006, Starbucks’ sales grew by 22%. This suggests a deceleration of sales growth. b. Gross margins – did gross margins expand, contract or hold steady over the period? What major factors account for the trend you’ve identified? The gross margin has held steady over the last 5 years ranging anywhere from 55% to 59%. Gross margin is affected by sales and cost of sales. c. Operating expense – make sure you look at operating expenses in both absolute dollar terms and as a percent of sales. Did operating expenses grow slower, faster or at the same rate as revenues? Would you expect to see more leverage on Starbucks’ cost base, given their growth history? (Note: operating leverage is demonstrated when a company’s operating expenses grow at slower rate than its sales, thereby resulting in operating earnings growing faster than sales. ) Do you believe Starbucks’ cost base is mostly fixed, mostly variable or an equal mix of each? What implication does the structure of Starbucks cost base (i. e. % fixed / variable) have on the relationship between the growth rates of revenues and earnings? Make sure you present information to support your conclusion. Operating expenses have grown at a higher rate than revenues over the last 5 years. Revenues grew at an average of 7% while operating expenses have grown at an average of 11. 34%. Based on these numbers, we expect to see less leverage on Starbucks’ cost base as operating expenses are growing at a higher rate than revenues. The fact that Starbucks’ operating expenses are growing at a higher rate than its revenues shows that Starbucks’ cost base is mostly variable. This is also proven by the income statement as most of Starbucks’ operating expenses are Cost of Sales and Store Operating expenses. Most of these are usually variable. Having more variable expenses usually means that earnings will not necessarily grow at the same rate as revenues. This is demonstrated by the income statement from the last 5 years. Starbucks’ revenues and earnings have grown at different rates over each year of the last 5 years. The average earnings growth per year over the last 5 years is 12. 62% as compared to an average sales growth per year of 7. 5%. d. Operating income – have operating earnings grown at the same rate, faster or slower than sales? What factors (e. g. gross margins, operating expense/charges) account for the trend you’ve identified? Be specific and provide support for your answer. Operating income has grown at a faster rate than sales on a per year basis over the last 5 years. Sales growth has averaged 7. 5% per year as compared to an operating income growth of 11. 75% per year during the same period. The reason that operating income has grown so fast is because Starbucks recently made changes to its cost structure that made it more efficient. As per the 10-k statement filed with the SEC, Starbucks decreased its Cost of Sales by 260 basis points by making their supply chain process more efficient. This resulted in lower food, beverage, and paper packaging costs. Because of its sales leverage, Starbucks was also able to decrease its occupancy costs. Because of the reduced costs, Starbucks was able to have a higher operating income in 2010. This caused the 5 year average to jump up to 11. 75%. Also contributing to this growth was the fact that sales increased at a higher rate than operating expenses. Therefore, operating income also went up at a higher rate than sales. e. Net Income – has net income grown at the same rate, faster or slower than sales? What factors (e. g. gross margins, operating expense, non-operating items) account for the trend you’ve identified? Be specific and provide support for your answer. Net Income has increased at a higher rate than sales also on a per year basis for the last five years. In fact, Net Income has pretty much mirrored Operating Income in growth. The factors tied to Net Income are Sales, Operating Expenses, Interest, and Taxes. Taxes remained relatively proportionate EBT each year. During each of the 5 years, Starbucks experienced a positive interest income for 3 years and a negative for 2 years. This helped Starbucks increase their Net Income. However, the factor that affected Net Income the most was Operating Expenses. Operating expenses grew at a slower rate than sales from 2006 to 2010. This resulted in Starbucks having a higher Operating Income which in turn resulted in a higher net income. Starbucks’ net income grew by 142. 2% in 2010 from the previous year. This big change resulted in the average net income growth rate to increase to 12. 62%. During the same period, Sales has grown by 7. 5% and operating expenses grew by 7%. All of this contributed to the Net Income growing at a higher rate than sales. f. Earnings per share – Does Starbucks’ earnings per share increase/decrease at a rate consistent with revenue and net income. Why is this? Do you expect this relationship to continue into the future? Starbucks’ EPS increases and decreases at a rate consistent with net income but not sales. This is because earnings per share are calculated by taking the net income and dividing that into the number of shares outstanding. As a result, there is a direct correlation with net income and not sales. We expect this relationship to continue in the future as long as the number of shares outstanding doesn’t change drastically each year. Part IV – Analysis of Operating Efficiency, Liquidity and Solvency Using data included in the Form 10-K analyze Starbucks’ operating efficiency and liquidity. That is, answer the questions below. The ratio definitions used to calculate the figures in the Ratio Analysis table are described in the text and lecture notes. a. Operating efficiency: Turnover ratios. In one paragraph, explain what the values of turnover ratios reveal about Starbucks. That is, for each ratio, discuss the trend, compare Starbucks’ ratio to the industry average (for receivables, inventory turnover and asset turnover only) and discuss whether the trend indicates improvements or deteriorations in operating efficiency. Can you think of any other measures that would be useful to assess Starbucks’ operational efficiency? Turnover ratios reveal that in 2010, Starbucks’ sales increased. Receivables turnover jumped up slightly from previous years to 37. 31. The industry’s 2009 median receivables turnover is significantly higher than Starbucks’ at about 98. 64. This trend indicates that Starbucks made less sales on credit in 2010. It could also mean that Starbucks improved collecting on its accounts receivables; however, since Starbucks’ average collection period ratio has not changed in the last three years (holding steady at about 11 days), there is no indication that collection on receivables has improved. The inventory turnover ratio of 7. 8, which slightly increased from 2009, also suggests a decrease in inventories, which is supported by the drop of inventory assets shown on the balance sheet. This trend supports the observation that sales have increased significantly for Starbucks in 2010 which is always an improvement for any business. PP&E Turnover ratio of 4. 32, whi ch increased from 2009, again, demonstrates higher sales since PP&E remained at similar levels as previous years per the balance sheet. Total asset turnover, 1. 79, remained very close to last year, and is slightly less than the industry average, 1. 3. This shows Starbucks continues to generate sales at a level of almost twice as much as they carry assets on their books. The fact that their asset turnover is slightly less than that of their competitors suggests that Starbucks may have more assets than their competitors. b. Liquidity: In one paragraph, explain what the liquidity ratios (current ratio, quick ratio and cash from operations ratio) reveal about Starbucks. Include an explanation of how the cash flow from operations ratio differs from the current and quick ratios. What is your conclusion egarding Starbucks’ liquidity position? With significant increases in 2010 in current ratio, 1. 55, and quick ratio, 0. 99, Starbucks is very liquid. Quick ratio shows they have 1. 5 times current assets on the books as they do current liabilities. Likewise, the quick ratio shows they would be able to cover current liabilities with their current assets. The cash from operations ratio is . 96, which states that Starbucks’ cash from operations would not be enough to cover its current liabilities. This ratio differs from the first two in that it compares a cash flow item to a balance sheet item. It is an indication of a firm’s ability to pay off its current liabilities; however, it is the most conservative liquidity ratio since it excludes all current assets except for the most liquid: cash and equivalents. It tells that Starbucks would not quite be able to pay off all of its current liabilities with just its cash and equivalents, although it does come close. c. Solvency: Interpret the values of the relevant ratios and provide a conclusion regarding Starbucks’ ability to service its debt and risk of future insolvency. Does your conclusion change if you include â€Å"off balance sheet debt†. How much off balance sheet debt does Starbucks have as of the end of the most recent fiscal year? Starbucks’ solvency ratios suggest that it is in a strong position and would likely be able to service its debt as it shows low risk of future solvency. It’s debt to equity ratio for 2010 of 0. 73 is at the lowest it has been in the past five years. From 2009 Starbucks had a big increase in retained earnings, this pushed all solvency ratios including interest coverage, return on assets, and return on equity up. ROA and ROE were doubled from 2009 to 0. 16 and 0. 28 respectively. Likewise, interest coverage also had a big jump due to a significant increase in earnings before interest and taxes. If we include â€Å"off balance sheet debt, Starbucks debt to equity ratio increases a bit, but the trend still shows that this ratio has decreased significantly in 2010. The increase would not be enough to state that Starbucks runs a high risk of insolvency. Starbucks has $4,084. 2 in off balance sheet debt as of end of most recent fiscal year. (We assume that the numbers provided are in millions). Part V – Analysis of Cash Flow Refer to Starbucks’ cash flow statement: a. During the past three years, what was Starbucks’ largest source of cash? What were Starbucks’ two largest uses of cash? a. For the past 3 years, the largest source of cash for Starbucks was Net earnings including non-controlling assets from its operating activities. Starbucks’ two largest uses of cash were additions to property, plant and equipment, as well as purchasing available for sale securities. It is stated in the 10-k that the major components of the PPE spending were remodeling and upgrading equipment in stores, as well as updating the IT infrastructure of the retail network. b. For the past three fiscal years, has Starbucks’ CFO been adequate to fund its growth initiatives? If no, how has Starbucks funded the CFO shortfalls to fund growth? a. As stated in the 10-K Starbucks’ believes that cash flows generated from operations and existing cash and short term investments should be enough to support their core business activities. However, it is also stated that new business opportunities, joint ventures, and acquisitions would have to utilize outside funding sources. Starbucks has augmented to their cash flows by heavily investing in available for sale securities, and purchasing US Agency and investment grade bonds. These investments, and outside financing, can be used to fund growth initiatives while CFO can be used to support Starbucks’ core retail business. The 10K also mentions that the issuance of commercial paper and its proceeds can be used for working capital needs, capital expenditures, and other corporate purposes, including acquisitions and share repurchases. c. Based on your review of Starbucks’ cash flow statement, has Starbucks’ growth been driven by organic growth or acquisitions? Provide support for your answer. a. Starbucks growth has been driven organically, with strong, steady growth in net earnings including non-controlling interests, and investing a large amount of cash in property, plant, and equipment by opening new retail locations and upgrading existing stores and information systems. By utilizing CFO and short term investment earnings to support their core business, Starbucks’ has maintained a high growth, very successful retail operation. Acquisitions play a minor role compared to the growth and earnings from operating activities. d. If Starbucks continues to grow at its historic rates, does it appear that Starbucks’ CFO can fund this growth? If CFO isn’t sufficient, how might Starbucks fund its future growth? a. Yes, it does appear that Starbucks’ CFO can fund its historic growth. This is stated in the 10k; CFO and short term investments, as well as any potential future borrowings and the commercial paper program can support the existing core business as well as related marketing support, product innovations, and new business opportunities related to the core business. If CFO is not sufficient to fund the historic growth, Starbucks can utilize channels within the investment and finance sections of the cash flow statement. Particularly, Starbucks can invest more heavily in short term investments, and utilize the commercial paper program. Additionally, Starbucks purchases available for sale securities heavily – these could be sold in the future to fund any growth where CFO is not adequate to support the core business. e. During the past three fiscal years, what dollar amount of common stock did Starbucks repurchase and what dollar amount of dividends did they pay? Why would Starbucks repurchase their own stock and/or pay a dividend? How does this impact Starbucks ability to fund future growth? How did Starbucks’ strategy with regard to share repurchases and dividends change during the past few years? Why did it change? a. In 2008, Starbucks repurchased $ 311. 4 million in common stock. In 2009, Starbucks did not repurchase any stock. In 2010, Starbucks repurchased $ 285. 6 million in common stock. Starbucks may want to repurchase their own stock so that they can increase their earnings per share ratio. This is especially true if Starbucks shares were perceived as undervalued, as Starbucks can repurchase the shares and hold them in the treasury for future reissuance at a higher price. Starbucks may be able to obtain more financing and loans with better earnings per share ratio as well. Dividends can be paid to shareholders to increase the value of their shares, and encourage other interested parties to purchase Starbucks shares. Paying dividends is a way to help impact positive future growth by making the purchase of Starbucks stock more profitable – more people will want to buy it providing more cash for Starbucks to utilize. In the 10-k, it is stated that Starbucks had 1. 7 billion in CFO for 2010 compared to 1. 4 billion in fiscal 2009, and capital expenditures were approximately 440 million in both fiscal years. This left roughly $460 million for stock repurchases and dividends. Starbucks had to repay short term borrowings in 2008 and 2009, but did not have to use cash for repayment in 2010. The cash that would have been used to payback short term borrowings could instead be used to repurchase stock and pay dividends. Thus, the strategy changed because Starbucks was able to operate without short term borrowings in 2010, and was able to pass on the excess case to shareholders. Part VI – Market Valuation a. What is Starbuck’s net book value as of the end of the most recent fiscal year? What was Starbuck’s market capitalization as of that date? Why is there a difference in these two amounts? What specific items do you think comprise the difference? Starbucks’ net book value as of the end of 2010 fiscal year was $3,611,500,000 while its market cap was $19,270,826,000. The reason that the two numbers are different is because the net book value is calculated by taking the total assets of Starbucks and subtracting its intangible assets and total liabilities, while the market cap is calculated by multiplying the outstanding shares into the stock price. Because each is calculated using 5 different numbers, there will almost always be a difference in the two numbers. b. Do you believe the difference between Starbuck’s net book value and market capitalization will increase or decrease in the future? What specific factors or trends identified in Starbucks’ financial information (or identified elsewhere) support your view? We believe that the difference between Starbucks’ net book value and market capitalization will decrease in the future. One of the biggest reasons for this is the fact that Starbucks restructured its Supply Chain process to lower costs. As a result, net income grew by 142% in 2010. This was a huge turnaround by Starbucks in one year and it can be attributed to the fact that leadership identified and implemented this cost saving mechanism. Another trend that indicates that Starbucks is on its way back is the fact that they opened more stores than they closed in the last 2 years. This strategy is key to Starbucks succeeding. Third, Starbucks’ gross margin has remained constant in the last 5 years despite the down years. This shows that management knows how to cut down on costs when times are rough, or that despite financial downturns, people are still willing to pay for expensive coffee. Conclusion Refer to your responses in Part 1: How do the results of your analysis in Parts II through VI support or contradict your original thoughts regarding Starbucks growth strategy and the success or failure of the three action areas (growth initiatives) you identified? Our assumption on their strategy to saturate the U. S. Market by building as any stores as possible is supported by our discussion on sales growth, which shows that there is a direct correlation between sales revenue growth and net new stores opened. Likewise, in analyzing the CFO, we concluded that Starbucks has grown organically through their investment in PP&E, which corroborates our original thoughts. Although they probably realized they were overdoing it with having a Starbucks on every corner, their growth strategy of increasing store numb ers has been a success for the company as sales have also increased. Going forward, the challenge will be to maintain high sales rates while being able to cover its large PP&E/overhead expenses. Although we didn’t really analyze the impact of international expansion in our analysis above, according to the company’s 10-K, operating income from international activities more than doubled from 2009 to 2010; however, this increase was mostly due to foreign currency translation among other things. Therefore, our original thoughts are not necessarily proven by the data that we analyzed. Finally, we stated that one of Starbucks’ growth strategies was to develop alternative revenue sources. As we looked deeper at the reasons for sales growth, we noticed that licensing and food service both were strong contributors to the increases in net revenues. Our discussion on sales growth indirectly supports this hypothesis, since the increase in net revenues was affected by an increase in average value per transaction (as stated in the 10-K). This means that customers are not just buying coffee at the checkout stand because Starbucks is being successful at selling other complimentary goods along with their drinks. Therefore, this is definitely being a successful growth strategy for Starbucks.

Visas EB-5 green card para inversionistas en USA

La visa EB-5 se concede a inversionistas extranjeros que invierten un mà ­nimo de medio millà ³n de dà ³lares, obteniendo a cambio la tarjeta de residencia para ellos y su familia. Para los que no tengan esa cantidad de dinero: 8 opciones para conseguir una visa y crear una empresa en EEUU. Esta residencia permite vivir y trabajar en Estados Unidos y se emite, en principio, con carà ¡cter temporal. A los dos aà ±os se transformarà ¡ en una tarjeta permanente. Tipo de inversià ³n segà ºn la estructura del proyecto Puede hablarse de tres clases: Centros Regionales. Son entidades aprobadas por el Servicio de Naturalizacià ³n e Inmigracià ³n de Estados Unidos (USCIS, por sus siglas en inglà ©s) para atraer dinero de distintos inversionistas para desarrollar uno o varios proyectos. Inversià ³n directa en un proyecto propio. En este caso el inversionista desarrolla su propio plan de negocios y se compromete a gestionar directamente su proyecto. Inversià ³n directa en un proyecto ajeno. Aunque esta opcià ³n no es muy conocida, sà ­ que es posible. En este caso uno o varios inversionistas realizan una inversià ³n pasiva en un proyecto que no es propio. En este caso y al igual que ocurre con los Centros Regionales, los inversionistas no gestionan el proyecto ni tampoco tienen que vivir en el estado en el que à ©ste se desarrolla. A la hora de articular jurà ­dicamente la inversià ³n, tener en cuenta las diferencias entre los 10 tipos de empresa que existen en Estados Unidos y cuà ¡l es el mejor para el tipo de negocio que se desea emprender. Tipos de inversià ³n segà ºn cantidad de dinero a invertir A partir de $500,000. Cuando se trata de una inversià ³n en un à rea Enfocada en el Empleo (TEA, por sus siglas en inglà ©s).. Es el gobierno federal quien designa a a un estado, ciudad o condado como un TEA y tiene que ser o bien una zona rural o bien una con tasa de desempleo superior al menos en un 150 por ciento a la media en todo Estados Unidos. A partir de $1,000,000 en cualquier otra parte de Estados Unidos que no ha sido calificada como TEA. Tanto las inversiones en Centros Regionales como las directas (en proyecto propio o ajeno) pueden darse en un TEA o en una zona no designada como à ¡rea enfocada en el empleo.   Tipo de inversià ³n segà ºn el nà ºmero de empleos que se deben crear Esta es una gran diferencia y sumamente importante entre los Centros Regionales y las inversiones directas (en proyecto propio o ajeno). En los Centros Regionales se permite computar los empleos indirectos que se creen con el proyecto. En los casos de inversiones directas tienen que ser tambià ©n empleos directos: como mà ­nimo 10 empleos de ciudadanos americanos que deben ser creados en los primeros 21 meses del proyecto. Ademà ¡s, tienen que ser sostenibles y reales. Respecto a esto à ºltimo resaltar que el USCIS no va a permitir que se creen trabajos no necesarios para el proyecto simplemente para cumplir con este requisito de empleo. Es decir, no se puede tener, por ejemplo, tres jardineros si sà ³lo se precisa uno. Este requisito de crear 10 empleos directos para el caso de las inversiones directas hace muy difà ­cil en la prà ¡ctica que se apruebe una EB-5 con inversiones de sà ³lo $500,000, aunque el proyecto prevea crear el negocio en un TEA. Esto es asà ­ porque en la situacià ³n econà ³mica de hoy en dà ­a es casi imposible desarrollar un negocio que pueda mantener de manera sostenible 10 puestos de trabajo con tan poca inversià ³n. Por este motivo, si el dinero con el que se cuenta ronda esa cantidad es conveniente explorar las posibilidades de los Centros Regionales. Otras consideraciones a tener en cuenta Algunos tipos de negocios se ajustan mejor a la forma de operar de los Centros Regionales, como por ejemplo, inversiones en construccià ³n o en hoteles. Por el contrario, otras, como las franquicias en varios estados, se adaptan mejor a las inversiones directas. (Estas son las 10 mejores franquicias en Estados Unidos). En todo caso, una mera inversià ³n inmobiliaria, aunque sea una de mucho dinero, no es suficiente ni para obtener la residencia a travà ©s de la visa EB-5 ni para obtener la visa no inmigrante E-2. En ambos casos se requiere que se trate no de una mera inversià ³n, sino de un negocio real y activo. El tipo de documentacià ³n que hay que presentar al USCIS es un poco diferente segà ºn el tipo de la estructura de la inversià ³n. Asà ­, en el caso de inversià ³n directa en proyecto ajeno o de Centros Regionales el abogado del proyecto proporciona el plan de negocios. Por el contrario en la inversià ³n directa en proyecto propio hay que desarrollarlo y debe de ser uno de los elementos de la aplicacià ³n a los que se le presta mayor atencià ³n. Un mal proyecto serà ¡ denegado. Por à ºltimo, a la hora de determinar el tiempo que dura la aplicacià ³n hasta que es aprobada o rechazada, las peticiones con inversiones directas suelen aprobarse mà ¡s rà ¡pidamente, especialmente en los casos en los que se trata de franquicias cuyo modelo de negocios ya es conocido por el USCIS. Beneficiarios de la visa para inversionistas EB-5 Pueden obtener la green card mediante una inversià ³n econà ³mica no sà ³lo el inversionista per se sino tambià ©n su cà ³nyuge y sus hijos solteros menores de 21 aà ±os. Serà ¡ preciso aportar los correspondientes certificados de matrimonio y de nacimiento, prueba de fondos econà ³micos suficientes y pasar un examen mà ©dico. Si se tienen nià ±os, es importante antes de viajar familiarizarse con los fundamentos del sistema educativo de los Estados Unidos. Asimismo, para recibir esta visa es necesario no tener antecedentes penales ni ser inadmisible para recibir la green card. Por otro lado, para recibir esta visa no se pide tener ninguna nacionalidad en concreto, ya que pueden recibirla personas de todos los paà ­ses del mundo. Tampoco se exige ningà ºn nivel de educacià ³n ni prueba de conocimientos bà ¡sicos de inglà ©s. Sobre los Centros Regionales En la actualidad hay mà ¡s de 700 Centros Regionales aprobados por Inmigracià ³n para captar inversià ³n extranjera a cambio de tramitar la green card. El negocio puede ser de naturaleza muy distinta, desde prà ©stamos para choferes de camiones de larga distancia, a hoteles, bienes raà ­ces, granjas, etc. Sin embargo se han dado problemas con este programa por lo que antes de invertir a travà ©s de à ©l es conveniente conocer cuà ¡les son los 5 errores serios a evitar en las inversiones a travà ©s de Centros Regionales. Proceso de aplicacià ³n para la visa EB-5 Se solicita la visa mediante el formulario I-526. El procedimiento a seguir es distinto segà ºn el lugar fà ­sico en el que se encuentre el inversionista. Ademà ¡s, hay que presentar mà ¡s documentacià ³n sobre el proyecto, sobre el solicitante y sobre el dinero con el que se sufraga la inversià ³n. Si se encuentra ya en Estados Unidos se debe pedir un ajuste de estatus, cumplimentando el documento I-484, y asà ­ se obtendrà ¡ una residencia temporal o condicional. Si se haya en el extranjero, el proceso se llevarà ¡ a cabo a travà ©s de la oficina consular correspondiente y habrà ¡ que esperar un tiempo hasta que haya visas de este tipo disponibles para emitir. Puede tardar en tramitarse hasta 12 meses. Existe un mà ¡ximo de 10,000 visas EB-5 que se pueden aprobar por aà ±o fiscal, es lo que se conoce como el cap. Si se supera el nà ºmero de peticiones anuales, hay que esperar al inicio del nuevo aà ±o para que se asigne la aprobacià ³n. Debido a su complejidad, esta es una visa que requiere contar con un buen abogado de inmigracià ³n experto en este tipo de trà ¡mites y, a poder ser, con experiencia probada en visas EB-5, tanto en inversiones directas como a travà ©s de Centros Regionales. Tener presente que se han dado casos de fraude y de proyectos mal llevados tanto en Centros Regionales como inversiones directas por lo que se ha acabado perdiendo el dinero invertido y la tarjeta de residencia. Por esta razà ³n es muy importante analizar detalladamente la viabilidad del negocio. Y tener presente que es precisamente eso, un negocio, por lo tanto no se puede asegurar la inversià ³n. Cabe destacar que a partir del 15 de octubre de 2019, embajadas y consulados pueden negar la visa a cualquier solicitante que pueda ser considerado carga pà ºblica, tenià ©ndose en consideracià ³n factores como salud, edad, historial laboral, etc. Por otro lado, a partir del 3 de noviembre todos los solicitantes de visa de inmigrante deberà ¡n probar que pueden adquirir seguro mà ©dico en los 30 dà ­as siguientes a su ingreso a EE.UU. o recursos econà ³micos suficientes para hacer frente a gastos mà ©dicos previsibles. Quitar la condicionalidad de la green card Inicialmente se recibe una tarjeta de residencia (green card) condiciona por dos aà ±os.  Noventa dà ­as antes de que se cumpla el segundo aniversario de la obtencià ³n de la tarjeta de residencia permanente, debe rellenarse el formulario I-829 y enviarlo debidamente cumplimentado al USCIS. Si se siguen manteniendo todos los requisitos para la obtencià ³n de la visa EB-5, el Servicio de Inmigracià ³n concederà ¡ la residencia permanente definitiva al inversor y su familia (cà ³nyuge e hijos solteros menores de 21 aà ±os). Esta condicionalidad de la tarjeta de residencia es diferente a la de las personas que la reciben por contraer matrimonio con un ciudadano americano. Sà ³lo se parecen en que debe cancelarse la condicionalidad antes de que se cumplan los dos aà ±os a contar desde su concesià ³n. Pero el procedimiento a seguir, las condiciones a demostrar y el formulario a rellenar son distintos. Por lo que no conviene confundir estos dos procesos. A tener en cuenta: opciones a la EB-5 Para las personas interesadas en hacer una inversià ³n mà ¡s moderada a la que requiere la EB-5 existen las visas E2 que permiten a inversores crear un negocio o comprar uno ya existente vivir y trabajar en EU junto a su familia inmediata. Otra opcià ³n, en el caso de negocios de importacià ³n/exportacià ³n, es la visa E-1 para comerciantes bajo tratado. Asimismo, otra posibilidad si ya se tiene una empresa creada fuera de Estados Unidos, la L-1 para transfer de empleados puede ser una buena opcià ³n. De interà ©s Estas son las 10 nacionalidades de hispanos en Estados Unidos mà ¡s exitosas econà ³micamente y cuà ¡nto ingresan. Ademà ¡s, a la hora de crear un negocio conviene saber cuà ¡les son los estados en los que se pagan mà ¡s o menos impuestos  y cuà ¡les son las ciudades mà ¡s caras y las mà ¡s baratas. Estos datos pueden ser de gran interà ©s para determinar si el negocio va a dar dinero o lo va a tener complicado. Y como se trata de un negocio que va unido a la tarjeta de residencia otro punto a tener en cuenta antes de decirse a invertir es el de conocer cuà ¡les son los estados mà ¡s pro-negocio y aquellos en los que es mà ¡s dificultoso establecerse. Entre los 50 estados hay enormes diferencias a la hora de regulacià ³n, disponibilidad para encontrar empleados, obligaciones de los emprendedores, calidad de vida, etc. Finalmente, si lo que se està ¡ haciendo es explorando diferentes posibilidades para mudarse a otro paà ­s pero todavà ­a no està ¡ decidido que los Estados Unidos es el paà ­s elegido, es conveniente informarse sobre estos  20 paà ­ses en los que es posible comprar la ciudadanà ­a (pasaporte) y/o residencia. Distintos precios, diferentes condiciones. Este es un artà ­culo informativo. No es asesorà ­a legal.