Precision Worldwide, Inc Havard Case Study

SUBJECT: Precision Worldwide, Inc. RECOMMENDATION: My recommendation for Precision Worldwide, Inc. (PWI) is to immediately stop the production of steel rings. PWI then needs to sell the remaining steel rings to at least recoup some of their initial investment. In the meantime they should start producing, selling, and distributing plastic rings to their entire market of customers while attracting new customers who may prefer this new option. CONCLUSION: By changing their production offering to the plastic rings, PWI will create more profit which in turn will keep them ahead of competitors in the industry. The remaining 15,100 steel rings will have to be calculated as a sunk cost. With this new product offering, PWI will be able to acquire new clientele across the globe and still be able to maintain the loyalty of their existing patrons. RESULTS: When PWI sells 100 plastic rings, they are expected to make $838. 25 more in profit than the sale of 100 steel rings. It costs $1107. 90 to produce one hundred steel rings. When that is compared to creating a hundred plastic rings, which only costs $279. 65, it becomes more evident why PWI should switch their product line. Plastic rings are also more durable than their steel counterparts and ultimately a better product overall. APPENDIX: The choice that Precision Worldwide, Inc. must make can essentially â€Å"make or break† them. Hans Thorborg, the General Manager, faces a predicament with how to deal with their existing and the in process inventory. He also has to come to a decision regarding the materials that have been obtained for inventory but PWI did not have the chance to actually process them before the change was made. Before Thorborg can make a decision, there are three main factors that need to be taken into consideration: the opportunity costs, the product substitution, and sunken costs. I would recommend that Precision Worldwide, Inc. immediately start producing the plastic rings that were created by Bodo Eisenbach and halt the production of the steel rings. The sale and distribution of the plastic rings should begin immediately after to all of their branches so that way PWI can start earning profits as quickly as possible. PWI currently has a specialized inventory because the steel rings that they produced were made from a unique type of steel. There would be sunk costs that would ultimately come from the failure of PWI to sell back the specialized steel because of the same features that make the steel unique would in the end be the reason that they are difficult to resell. There is over $390,000 in estimated costs of the specialized unprocessed steel and the already completed rings, as well as steel rings that were a work in process. By immediately stopping production of the steel rings PWI will lose quite a bit of money, but in the long run they will be able to bring in a larger profit and more clientele with the production of the plastic rings. To minimize the amount of that Precision Worldwide, Inc. stands to lose (close to $400,000); they can raise its opportunity cost by bringing to an end the work in process of the specialized steel rings. During the production phase of the new plastic rings, PWI can try to sell all of the remaining steel rings that they have in stock. By doing so, they will be able to decrease the amount of money that they stand to lose when switching product lines. The new profit margin is $828. 25 per hundred rings (Cost of the steel rings $1,107. 90 minus cost of the plastic rings $279. 65). PWI has the potential to earn $1070. 35 per one hundred plastic rings because they are going to be sold at the same price as the steel rings $1350. By completing a product substitution, PWI will help reduce the debt and hopefully increase the amount of sales by generating new customers and maintaining the trust and loyalty of their current clientele. Due to the profit margin being over $1000/100 rings sold, PWI will be able to completely wipe out their debt in a matter of a few months. Although there will be competitors selling other plastic rings, they will be few and far between. PWI will be one of the first companies to sell it therefore obtaining more of the market share and becoming a leader in this field. The fact that PWI is worldwide will prove to be an advantage in generating new clientele in new areas by being the first to have the merchandise in their regions. By creating new clientele, PWI will produce larger profits and hopefully due to the quality of their product offerings, trust and loyalty in the new clientele. Company shareholders will also have more trust in PWI for making a wise decision and eventually increasing the value of their shares. Fortunately for PWI that the profit margin is high enough to offset the quantities of plastic rings that are sold. Since they are stronger and more durable than the steel rings, less plastic rings will be purchased. One of the reasons that Precision Worldwide, Inc. eeds to take the risk in producing the plastic rings is because they can afford to halt production of the steel rings. After taking into consideration their opportunity costs it would be the wisest decision for GM Thorborg to proceed with the production of plastic rings and immediately halt the production of the steel ones. PWI not only stands to bring in larger profits in the long term, they will also open the eyes of consumers who w ill soon become their clientele due to a better product offering APPENDIX: Fixed Overhead: Item Plastic Rings Steel Rings Material$17. 65$321. 90 Direct labor$65. 50$196. 50 Direct o/h $52. 40$157. 20 Total$135. 55$675. 60 Item Plastic RingsSteel Rings Profit Made (per 100 sold) $1,070. 35$232. 10 Life of Ring 8 Months 2 Months Steel profit x4 (plastic lifespan) $928. 40 Profit Difference $141. 95($141. 95) Total Revenue: Item Plastic Rings:Steel Rings: Profit per 100$1,350. 00 $1,350. 00 Cost per 100 $279. 65 $1,107. 90 Total $1070. 35$232. 10

Economic Theories essays

Economic Theories essays In attempts to control the economy, the Government has to rely on theories and beliefs about what they feel will have the best outcomes. This leads to the problem that there is no absolute proven way in which to guarantee a successful economy, and thus leaves open the debate about which policies would have the best effects. Adam Smiths The Wealth of Nations favors a laissez-faire mentality from the government, while John Keynes, Keynesian theory, requires the government to play an active role in controlling the economy. Adam Smith once quoted, The uniform, constant and uninterrupted effort of every man to better his condition, the principle from which public and national, as well as private opulence is originally derived, is frequently powerful enough to maintain the natural progress of things toward improvement, in spite both of the extravagance of government, and of the greatest errors of administration. This is one of many instances in his book which reflects that human nature itself would propel an economy guided by each individuals Invisible hand. Smith noticed that when a business would become successful, others would notice and enter into the same field. As a direct result, growing consumer demand was satisfied while competition controlled rising prices. Adam Smith argued that an individual acting purely out of self interest would be a progressive force for the maximization of the total wealth of a nation. The role of the government should be permissive, creating a legal defensive setup sufficient to allow individual action. Interference with the free working of this natural order will reduce the growth of wealth and misdirect resources. Keynesian economics is based on a belief that the economy can possibly fall into a recession and not be able to pick itself up. Keynes felt that trends and fads could disrupt Smiths Invisible hand and lead it astr...

About the National Security Agency

About the National Security Agency The National Security Agency is a highly specialized and vital unit of the American intelligence community that works to create and break secret codes, a science known as cryptology. The National Security Agency, or NSA, reports to the U.S. Department of Defense. The work of the National Security Agency is done in secret and in the name of national security. The government did not even acknowledge the NSA existed for some time. The National Security Agencys nickname is No Such Agency. What the NSA Does The National Security Agency gathers intelligence by conducting surveillance on its adversaries through the collection of phone-call, email and Internet data. The intelligence agency has two primary missions: preventing foreign adversaries from stealing sensitive or classified national security information from the United States, and collecting, processing and disseminating information from foreign signals for counterintelligence purposes. History of the National Security Agency The National Security Agency was created on Nov. 4, 1952, by President Harry S. Truman. The intelligence agencys foundation has its genesis in the work U.S. forces conducted during World War II in breaking German and Japanese codes, which it describes as a crucial factor in the Allied success against German U-Boats in the North Atlantic and victory at the Battle of Midway in the Pacific. How the NSA is Difference From the FBI and CIA The Central Intelligence Agency deals mostly with gathering intelligence on Americas enemies and conducts covert operations overseas. The Federal Bureau of Investigation, on the other hand, operates within the U.S borders as a law-enforcement agency. The NSA is primarily a foreign intelligence agency, meaning that it is authorized to collect data to prevent threats from foreign countries. However, in 2013 it was revealed that the NSA and FBI had allegedly been collecting phone-call data from Verizon and other information from servers operated by none U.S. Internet companies including Microsoft, Yahoo, Google, Facebook, AOL, Skype, YouTube, and Apple. Leadership of the NSA The head of the National Security Agency/Central Security Service is appointed by the secretary of the Department of Defense and approved by the president. The NSA/CSS director must be a commissioned military officer who has earned at least three stars. The current director of the intelligence agency is U.S. Army Gen. Keith B. Alexander. The NSA and Civil Liberties The surveillance activities of the NSA and every other intelligence agency often raise questions about civil liberties, and whether Americans are being subjected to unconstitutional invasions of privacy. In a statement published on the NSAs website, agency deputy director John C. Inglis wrote: Im often asked the question, Whats more important – civil liberties or national security? Its a false question; its a false choice. At the end of the day, we must do both, and they are not irreconcilable. We have to find a way to ensure that we support the entirety of the Constitution – that was the intention of the framers of the Constitution, and thats what we do on a daily basis at the National Security Agency. Still, the NSA has publicly acknowledged that it has inadvertently collected communications from some Americans without a warrant in the name of national security. It has not said how often that happens, though. Who Oversees the NSA Foreign Intelligence Surveillance Court Government surveillance agencies are also subject to review by the Privacy and Civil Liberties Oversight Board, which was created by Congress in 2004.

Training for Health, Fitness and Sport Essay Example | Topics and Well Written Essays - 2500 words

Training for Health, Fitness and Sport - Essay Example Moreover, endogenous and exogenous fuels for energy production are considerably dissimilar. Aerobic exercise lasts for a relatively long period and involves the working of the heart and lungs. Dubbed as endurance exercises, it implies that it lasts for a long time. The type of race the cyclists specialize in is categorized as endurance and therefore aerobic. It would therefore, be important to consider the efficiency of their heart and lungs in taking the oxygen and conveying it to the muscles, that is, their aerobic fitness. The cyclists would derive energy from aerobic energy systems or metabolism. The aerobic system is quite slow in producing adenosine triphosphate (ATP). Energy requirements and intake of macronutrients varies across gender and sports. This paper is a report, which discusses factors that affect exercise performance based on empirical evidence. The paper will also discuss the nutritional requirements of five cyclists and the importance of macronutrients and micronu trients according to the specific demand of each track-cycling event. The relevance of participation and development in the success and performance will be discussed. Macro and micro nutrients functions and sources Macronutrients in foods provide a rich source of energy and they include carbohydrates, fats and proteins. Sources of simple carbohydrates include fruits, dairy produce, confectionery, soft drinks, and cakes and biscuits. Sources of complex carbohydrates include rice, wheat, oats, corns, vegetables, and pulses. Wheat products such as bread, pastry, pasta, and biscuits provide rich sources of complex carbohydrates. Sources of proteins include eggs, poultry, dairy products, cereals, wheat, rice, oats, meat and fish. Sources of fat include dairy products, oils, cakes, confectionery, and meat. Micronutrients include vitamin and minerals. They do not provide energy although perform key functions. Foods rich in vitamin include vegetables, nuts, fish, seeds, bran, whole grains, beans, and legumes. Water is also required in addition to macronutrients and micronutrients. Endurance cyclists are involved in aerobic exercise, which entails use of oxygen. Oxygen tends to have adverse effects on the body including increasing chances of contracting certain cancers and heart diseases. Antioxidants tend to nullify such adverse effects on the body. The antioxidants such as Vitamin A, C, and E, and some minerals such as zinc and selenium are obtained from fruits and vegetables. Water is also important in diet (Donnelly 2008). Dunford and Doyle (2008) observed that dietary supplements that contain vitamins, amino acids, and minerals would have less significant impact on exercise performance. Ergogenic supplements having the necessary vitamins, proteins and minerals would therefore, be more appropriate. Importance of the nutrients to cyclists and their specific needs concerning physical demands of sport cycling Nutrition is an important extrinsic factor that influences physical training and recovery. Endurance cyclists train for endurance, power, and strength (Seebohar n.d). Donnelly (2008) observed that dietary proteins provide rich source of energy, which is necessary for preserving body’s basal metabolic processes. Proteins provide amino acids that are necessary for the production of broad range of proteins vital for the body functions. Petrie, Stover, & Horswill (2004) indicated that intense and constant exercise tends to increase daily protein demands for adult cyclists. Heavy training coupled

Genogram Essay Example | Topics and Well Written Essays - 500 words

Genogram - Essay Example I became overweight as a child and still as an adult. However, my weight never impaired my abilities to function as I have always had many friends. My aunts and uncles on my father’s side exhibit symptoms of poor diet and low activity. Perhaps learning this behavior was modeling others in my family. Yet I have always considered myself to be a happy individual. This pattern was not something I notice until I performed a geneogram. My sister and I both had our first child at a young age. I believe genetics placed an increase stress on both of our pregnancies. My mother, sister and I all carry the gene that is associated with the development of sickle cell. My mother currently suffers from this disease. Knowing that this disease is present in the primarily females in my family brought an increased stress on both mine and my sister’s pregnancies. My niece was later born suffering from sickle cell. My maternal grandparent’s first child died shortly after birth. However, the cause of death was never quite known in full. In further my stress levels were elevated during pregnancy as I had began my second year of college. During this time period I was told that my daughter suffered from Down syndrome. This was concluded through an ultrasound. Due to my religious background I decided that I would not participate in an amniocentesis test or terminate my pregnancy as this is what the doctor advised. A mira culous blessing occurred when I delivered my son via c-section to discover that he did not have down-syndrome, or any form of a disorder. Instead I had a healthy baby that was perhaps the greatest blessing in my life. Perhaps I am most thankful for the religious upbringing my family provided me. If it were not for these religious beliefs I may not have had the greatest blessing in my life, my son. Further examination of my geneogram demonstrates the strong genetic tendencies towards diabetes exhibited in my paternal genetic composition. The genetic tendencies

Music of Schoenberg and Debussy Research Paper Example | Topics and Well Written Essays - 1500 words

Music of Schoenberg and Debussy - Research Paper Example The third period was marked by his invention of â€Å"twelve-tone† method of composition. It is often claimed that musical pieces of this composer reflect the characteristics of Brahms and Wagner. On the one hand, the directions of musical developments of these two opposing composers cannot be compared, but on the other hand, Schoenberg succeeded in uniting them into one perfect conglomerate. A selected piece of music composed by Schoenberg is Op. 08, where he accelerates and escapes from traditional Wagnerian tones. A principle of linear time is reflected in a direct motion in music. The principles of tonality were very important for the musical pieces of 20th century and compositions of Schoenberg follow those tendencies as well. Historical context of this composition plays a very important role for further discussion. This piece of music is thought to be finished in 1909 and he completed it in 2 weeks. That period was a crisis for the composer and these feelings and emotion s are evidently reflected in his music. The record Erwartung 6 lieder Op. 08 is believed to be a new stage for musical development of the composer, when he exceeded the limits of Romanticism and German culture (Evans, 2001). This piece of music is distinguished by depth of expression, easy comprehension and distinction, though it was often argued by critics.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  The name of its piece of music is Erwartung or Expectation. It is a story about a woman, who is waiting for her lover, but then finds his body dead. The beginning and the end of the composition are calm ones, but in the middle of this piece of music are essential ascents. Therefore, these characteristics can be considered as belonging to non-conventional music. The composer’s personality was unconventional at that time as well, because Hitler did not like him because of his Jewish nationality. His musical pieces were full of subjectivity and unconscious. The implementation of atonal dissonance did not reflect the main characteristics of Romanticism. It was beyond harmony and it was something new and unique (McKay, 1987). Schoenberg was looking for the ways of new developments and he wanted a new field for his self-expression. A language of dodecaphony was invented by this composer. This language of music can be described in the following way: sounds, like words can be either expressed or not. They can become cultural symbols for expressions and reflections of a given individuality of a composer. This is the specific context of dodecaphonic musical expression. Lauro Machado Coelho claimed that Schoenberg managed to open new ways for musical aesthetics’ reflection. The composer did not intend to position his music as a revolutionary one. Schoenberg made an emphasis on creativity and imagination, that is why during 19071908 he refused from the concept of tonality and rushed into expressionism. This piece of music, â€Å"Erwartung† is a bright exampl e of this tendency. Nevertheless, there is a huge psychological impact exerted on it, because it was written during a period, when Mathilde, a wife of Schoenberg, left him and had an affair with Richard Gerstl, who killed himself after Mathilde’

Virtue Ethics Essay Example for Free

Virtue Ethics Essay Virtue ethics is a moral philosophy that encompasses morality, defined by values which are identified and classified by a range of character traits. Aristotle is the founding father of most virtue ethics theories, while some versions have incorporated Plato, Kant and Hume their contributions to the theory of virtue ethics is less emphasized (Athanassouulis, 2006). Virtue theory is often thought of as a dynamic theory of how to conduct business activities (Ferrell, Fraedrich Ferrell, 2008, p. 157). Virtues are acquired character traits that help people fit into society. Acquiring virtuous qualities is necessary to achieve success. According to Grenz Smith (2003): Virtue ethics is defined as an, inner disposition to perform morally right acts of a certain kind; the tendency to act rightly by habit in a particular manner; a character trait that is deemed morally praiseworthy. The virtues have also been understood to be those qualities of character that make a person morally successful. Ethicists in both the Greek and Christian moral traditions have sought to determine what traits are virtues. Recent years have witnessed a renewed interest in virtues, especially with the renaissance in virtue ethics or the ethic of being (p. 125). Other definitions of virtue ethics have been described as positive traits which promote health, harmony, and balance (Engel, 2000). A virtue is an acquired quality of character that allows one to achieve personal happiness. Velasquez, Shanks, Andre and Meyer (1988) illustrated that a person that has developed the virtue of generosity is often referred to as a generous person because he or she tends to be generous in all circumstances (no page). Velasquez, Shanks, Andre, and Meyer’s interpretation of virtue ethics reinforces Aristotle’s earlier theory that once virtuosity is acquired it is maintained by repetition (1988, no page). People are by nature creatures of habit. Therefore, in order to become virtuous it is necessary to repeat virtuous acts so those acts become habits. The opposite of virtues are vices, which are negative traits that detract from health, harmony and balance. According to Engel (2000) a â€Å"vice is an unbalanced virtue which needs to be brought back to center† (no page). A vice can either be a lack of effort or an act of self indulgence. Vices are caused by impulses which are not regulated by virtues and many times the individual is unaware of their emotions (Engel, 2000, no page). Virtues and vices must work together and balance out. On a scale of 1 to 10, with 10 being extreme, a person who values the virtue of honesty and vows to always tell the truth no matter the circumstance or situation lacks harmony and balance. Honesty can be taken to an extreme 10 whereby one says everything from one’s mind without any consideration or using tact (Engel, 2000, no page). On the other hand one can be an extreme 1 where the individual does not ever tell the truth. It is important to understand that being an extreme 1 or 10 on any virtuous scale is not a good thing. Aristotle is the father of virtue ethics theories; he studied ethics in a broad sense. He defined virtues of character as dispositions to act in certain ways in response to similar situations (Engel, 2000, no page). Based on Aristotle’s Nicomachean Ethics, things of any variety have a characteristic function that they are properly used to perform (Kemerling, 1997). The good for human beings must involve the entire proper function of human life as a whole (Aristotle, Nicomachean Ethics, 350 B. C. ). Aristotle also gave consideration to the aspects of human nature involved in acting and accepting moral responsibility. Aristotle’s philosophy of virtue ethics emphasizes that acting virtuous is a habit not an act. â€Å"We are what we repeatedly do. Excellence, then, is not an act, but a habit† (Landauer Rowlands, 2001). For example, individuals that consistently practice the virtue of being fair will continuously expound their knowledge of fairness in every aspect of life. Blackburn (2001) pointed out that Aristotle emphasized becoming virtuous requires education and practice (p. 113). Moral character must be taught and instilled gradually. Aristotle’s theory of virtue applies accordingly to today’s business activities by implying to be virtuous requires extreme repetition, dedication and understanding of morality. Morality is a major component of virtue ethics. Grenz Smith defined morality as, â€Å"Determining what is believed to be right and good, then living out those beliefs† (2003, p. 77). The word ethics has often been used as a synonym for morality (Frankena, 1980, p. 3). According to Frankena, conceptual thinking and analysis seek to clarify moral concepts like virtue to elucidate the logic of moral reasoning (1980, p.4). Morality has been referred to as an action guide or standard of conduct. What Makes Us Moral? Authored by Levy (2004) described â€Å"morality as a system of prescriptions that are held to be conditionally binding upon all rational agents† (p. 41). Most often morality is deemed as a type of character formation which determines how people should act and shape their lives (Frankena, 1980, p19). Essentially morality has been linked synonymously with moral judgment. Hollinger referred to moral judgment as a behavior in which people have a sense of oughtness and obligation (2002, p. 13). Moral judgment involves those decisions in particular situations where one choice may be better or worse than another. According to Cothran (2006), determining what is moral or immoral comes from either the understanding of new information or the application of information (p. 34). It is out of a sense of obligation, and knowing right from wrong that has caused people to debate the morality of an issue. Halberstam (1993) proposed that there are three basic confusions about moral judgment (p. 146). First, morality is not a matter of taste. Second, moral judgments are not social judgments. Lastly, being moral does not equate to acting legally. How people choose to deal with issues tells the world who they are. How do you make a moral decision? You can flip a coin. You can roll dice. Usually people go with their gut instincts. Moral reflection is essentially self actualization which compels people to analyze their decisions. Typically people debate about social issues such as abortion, euthanasia, and everyday personal concerns. These issues are moral judgments not a matter of taste or preference. Americans have enacted laws based on moral concerns not matters of taste. Moral issues are routinely taken to Congress in order to enact laws concerning American citizens. Halberstam (1993) stated, â€Å"If moral views were arbitrary inclinations, we wouldn’t bother trying to get others to see our way† (p. 147). Many people confuse moral judgments with social judgments. Halberstam (1993) researched Southeast Asians cuisine and found many Asians consider monkey brains to be a delicacy (p. 148). Asians frequently dine on monkey brains, which most Americans would find repulsive. However, consumption of monkey brains is no more a moral repulsion than consumption of fried chickens. The issue of whether or not to dine on monkey brains would usually be considered a social judgment not a moral judgment (Halberstam, 1993, p. 148). However, if a particular culture worshiped monkeys then the issue could be considered a moral judgment. Moral judgments, unlike matters of taste are supported by reason (Halberstam, 2003, p. 147). People are allowed to prefer a certain food over another, the same as they are allowed to prefer wearing clothes made by a particular designer over another. An example of moral judgment would be presented if a designer employed children in sweatshops to make his or her clothes. The buyer would then have the burden of deciding whether it is morally correct to continue to purchase the designer’s clothing. The buyer’s decision would be based on his or her moral beliefs. Moral beliefs are inner beliefs that ultimately guide outward actions. Morality isn’t a matter of personal taste or social standards. It really isn’t a matter of the law, either. Morality and the law are often connected. Fried (1978) pointed out in Right and Wrong, â€Å"Rights are to be used, and there are moral judgments to be made, judgments of the good and bad, better and worse, regarding the enjoyment of these rights† (p. 171). For example some comedians tell sexist and ethnic jokes. Legally the comedian has a right to free speech, however those jokes may be considered morally offensive. In most societies people want the law to reflect morality, but there is a fine line between the two. Lying is morally wrong, but unless you lie on a witness stand it’s not illegal (Halbestam, 2003, p. 151). Therefore most people haven chosen not to make being a liar an illegal act; only to question the morality and character of people that lie. Cohen (2002) stated, â€Å"Most of the world’s misery can be traced back to a lack of virtue† (p. 21). The main virtues that support business transactions are: integrity, honesty, trust, fairness, and moral leadership (Ferrell, Fraedrich Ferrell, 2008, p. 157). Lack of any of the previously mentioned virtues can severely hinder and harm a business. According to Lewis (1991) in A Question of Vales: Six Ways We Make The Personal Choices That Shape Our Lives, virtuosity has been closely linked to emotion, â€Å"Although we do not usually associate feeling with thinking or judging we actually judge through our emotions all the time† (p. 10). Being honest and truthful has been found to be the most emotionally challenged and judged virtue. Integrity incorporates a broad range of ethical characteristics. Plante (2004) defined integrity as â€Å"following high standards of honesty, justice, and fairness; having completeness or wholeness† (p. 40). You could say that to maintain integrity is to avoid situations that violate your sense of completeness or wholeness. Here’s an example to illustrate the principle of integrity. You are a lawyer with a firm and you are propositioned by a client to do legal work outside of the firm. You feel this opportunity may help you advance in your career. Also the likelihood of anyone finding out about this business transaction is unlikely. If you were a person of integrity what would you do? I you value the virtue of integrity you would likely decline the offer, due to your loyalty and commitment to the firm. Individuals that value integrity usually value honesty as well. On the other hand individuals that have not fully developed their sense of virtue emotionally agonize between being truthful and being dishonest. Grenz Smith (2003) defined honesty as â€Å"being devoted to the truth and truthfulness: (p. 53). As a virtue honesty gives rise both to pursing the truth and being truthful (Grenz Smith, 2003, p.54). Even in difficult situations a truly virtuous person will always be honest. Trust is a virtue defined as a â€Å"predisposition to place confidence in the behavior of others while taking the risk that the expected behavior will not be performed â€Å"(Ferrell, Fraedrich Ferrell, 2008, p. 158). Businesses that posse the virtue of trust eliminate the need for excessive monitoring and precise contracts and agreements (Ferrell, Fraedrich Ferrell, 2008, p. 158). Businesses that have complete trust convey reliability and integrity to their consumers and counterparts. Fairness is a virtue that focuses on the disposition to deal equitably with the perceived injustices of others (Ferrell, Fraedrich Ferrell, 2008, p. 158). According to Grenz Smith (2003) fairness is a principle of justice that asserts that all persons in a particular group ought contribute to and share in the benefits that accrue to the group in a manner that is equitable when measured according to an assumed or agreed standard. Fairness often relates to doing the right thing in any given situation. In sales and marketing environments associates often have collective team and individual objectives or sales goals to meet monthly. In order to make the sales objectives fair, upper management assess multiple components, such as the number of sales associates on a team and the amount of sales experience of each individual. It would be unfair for an associate with one month of experience to have the same goals as an associate with one year of service. It would also be unfair for a team of 6 members to have the same sales goals as a team with 10 members. The team would be at a disadvantage either by lack of experience or the number of sales agents. Moral leadership is a virtue that encompasses strength of character, peace of mind heart, and happiness in life. Ferrell, Fraedrich Ferrell (2008) have found â€Å"moral leadership to be a character trait of leaders who follow a consistent pattern of behavior based on virtues† (p. 158). A person that posses moral leadership will always rely on their virtues to guide them. Such an individual will remain consistent in the method in which they conduct business. Virtues are often called character traits. Character is defined as the various dimensions of personality either natural or acquired that distinguish one individual from another (Grenz Smith, 2003, p. 18). As an ethical term character refers to the traits of an individual that may be deemed morally blameworthy or praiseworthy. Character traits are usually used in a positive sense to refer to the possession of virtues. Individuals that posses character traits are considered to be as morally upright. Gier (2006) found virtue ethics to be internal and self regulating, thereby sustaining character traits as internal and self-regulating measures of standards (no page). It is important to understand that moral character develops over a period of time. People are born with all kinds of natural tendencies. Some of the tendencies will be positive such as kindness and some of the tendencies will be negative such as jealousy (Athanassoulis, 2006, no page). Natural tendencies can be encouraged and discouraged by leadership such as parent’s teachers and peers. Character development is shaped and molded through a long gradual process of moral education and habitation (Athanassoulis, 2006, no page). Moral education and development are a major part of virtue ethics. Cline suggested in Virtue Ethics: Morality and Character, that a person ask themselves four key questions: What sort of person do I want to be?; What virtues are characteristics of the person I want to be? ; What actions will cultivate the virtues I want to possess? : What actions will be characteristics of the sort of person I want to be? (n. d. , no page). Virtuous actions stem from some particular motivation, which implies correct moral decisions require correct moral motives. Greene (1994) pointed out Benjamin Franklin’s stance on the virtue of resolve in Ben’s Book of Virtues which stated, resolutions were meant to be kept and held sacred by resolving to do what you ought (p. 8). In other words, do without fail what you resolve to do (Greene, 1994, p. 8). Resolutions are usually inner promises people make to themselves to do or follow certain plans of action. Following through with resolutions builds trust and respect in the business world. Companies that fail to honor their resolutions become weak and undesirable to their colleagues and stakeholders. There can be a different set of virtues for almost every aspect of life, such as marriage, religion, and business. For example, with regards to marriage the virtues are trust, respect, love and fidelity. Many Christian’s hold their religious virtues as compassion, kindness, humility, gentleness, patience, and above all love (Col 3:12). Most businesses set of virtues are trust, self-control, empathy, fairness, truthfulness, learning, gratitude, civility, and moral leadership (Ferrell, Fraedrich Ferrell, 2008, p. 158). Virtue ethics is a moral philosophy that has been proven to focus on one’s internal disposition of values and beliefs. According to Aristotle, virtues are developed through moral education which instills positive character traits by repetitive practicing of virtuous habits. Virtuous people posses balance and harmony between their virtues and vices. In conclusion virtue ethics is a dynamic theory of how to conduct business activities and ultimately life activities. Reference List Aristotle. c. 350 B. C. (1985). Nicomachean Ethics. Trans by Terence Irwin. Indianapolis. IN: Hackett. Athanassoulis, Nafsika. (2006). Virtue ethics. In The Internet Encyclopedia ofPhilosophy online. Retrieved July 26, 2008 from http://www. utm. edu/research/iep/v/virtue. htm Blackburn, Simon. (2001). Being good: A short introduction to ethics. New York, NewYork: Oxford University Press Inc. Cline, Austin. (n. d. ). Virtue ethics: Morality and character. Retrieved June 30, 2008,from http://atheism. about. com/od/ethicalsystems/a/virtueethics. htm Cohen, Randy. (2002). The good the bad the difference: How to tell right fromwrongin everyday situations. New York, NY: Doubleday. Cothran, Helen. (Eds) (2006). Ethics: Opposing viewpoints. Farmington Hills, MI:Greenhaven Press. Engel, Dawn. (2000). Virtues and vices. Retrieved July 26, 2008 fromhttp://www. philosophypages. com/hy/2s. htm Frankena, William. (1980). Thinking about morality. Ann Arbor, MI: The University of Michigan Press. Ferrell, O. C. , Fraedrich, John, Ferrell, Linda. (2008). Individual factors: moralphilosophies and values. In, Business ethics: Ethical decision making and cases(7th ed. ). (P. 156-158) Boston, MA: Houghton Mifflin Company. Fried, Charles. (1978). Right and wrong. Cambridge, MA: Harvard University Press. 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