Principles of accounting Research Paper Example | Topics and Well Written Essays - 500 words

Principles of accounting - Research Paper Example This essay focuses on the principles of accounting in business. Accounting refers to a well-organized recording, coverage, and examination of monetary transactions of a venture.The area of concern in this paper is the use of Activity-Based Costing In brief, ABC refers to a costing system used in assigning costs to various goods and services in the business world (Grossman & Livingstone, 2009). In this paper, Super Bakery Inc. acts as a practical demonstration of how the system can determine the costs in a real life situation. Historically, ABC came into use in the 1980s due to lack of reliability of the traditionally used methods of cost accounting (Mansor, Tayles, & Pike, 2012). The need to use ABC was due to dynamics experienced in business due to technological advancement and development. What strategies did the management of Super Bakery, Inc. use? Super Bakery, Inc is a company making and selling doughnuts. In order to maximize the company’s profits, the management came u p with a strategic plan of managing its resources (Drury, 2008). The core functions of the venture are performed inside the company’s premises, while the other activities, such as selling, take place through external sources. To run the outsourced partners smoothly, the company has established a well-drawn workflow to each affiliated company. Outsourcing is a strategy used to reduce the number of employees for the purpose of spending less money on human labor. Super Bakers strategy is successful, since the sales are higher than they were before the implementation of the strategy.

Air Asia Berhard Research Paper Example | Topics and Well Written Essays - 1750 words

Air Asia Berhard - Research Paper Example This section of the paper seeks to assess how Air Asia would change its business model in its effort to expand its operations in the UK market. One of the major initiatives that the company has emulated in order to improve its profitability is expansion of operations through increasing the number of routes. For example, the company has created connection with various regions within Asia such as Vietnam, Shenzen, Indonesia among others. Even though the company enjoys strong customer loyalty in the domestic market, it has to emulate different strategies in order to penetrate UK market. This is based on the stiff competition and diversified environmental factors that determine the operations of UK airline industry. In the Malaysian market, Air Asia has remained competitive by offering low travelling fares to its customers. However, this is achieved at the expense of its employees who are given lower salaries. Due to the stiff competition in the UK airline industry, Air Asia has to incre ase its wages and salaries in order to motivate its employees. Otherwise, its employees will search for jobs in UK airline companies that are offering competitive prices. In the same way, Air Asia has low overhead costs. It is fundamental to note that in its effort to attain a significant share in the UK market, the company must emulate expansion strategies that are similar to those of UK companies. This implies that the company will have to increase the fare in order to generate more revenue thus enhancing its ability to carry out its operations in the UK market. In order to effectively penetrate the market, Air Asia will need to establish its own maintenance, repair and overhaul (MRO) facility in UK (Aruan 36). Additionally, the company must establish administration offices in various UK cities. Thus resulting to increased administration costs an aspect that the company is currently trying to avoid. Based on the above discussion, it is clear that Air Asia will have to break a numb er of its business model to remain competitive in the UK market. However, it is crucial to note that a strategy such as increasing the travelling costs will ultimately affect the loyalty of its customers both locally and internationally. In the same way, increasing employee’s salaries is a strategy that the company will not only initiate in UK but also in all countries it has established operations. Thus resulting to increased costs and reduced profits. This implies that Air Asia entry of the UK market will be difficult. Paper 2. First Solar’s multinational business context and internal resources First Solar is a technology company that is based in Arizona. One of the key aspects that have enhanced the production capacity of the company is experienced and motivated work force. With more than 5,200 associates, the company has been able to raise a significant capital that has made it possible to diversify its product line thus attracting large number of customers especia lly in the European market. During its establishment, First solar specialized in the production of glass products rather than manufacturing of photovoltaics. Based on the expertise of the company founder Harold McMaster in the glass manufacturing, he diverted his skills to the solar industry. He was also