Effective Return On Tax Saving Mutual Fund Schemes Finance Essay - Free Essay Example

Sample details Pages: 11 Words: 3152 Downloads: 5 Date added: 2017/06/26 Category Finance Essay Type Argumentative essay Did you like this example? Savings are the tool used by a person or an organization that abstains from present consumption for a future use. Investment is an activity that engaged by people who have savings with the aim of achieving additional income or growth in values. It may be defined as a commitment of funds made in the expectation of some positive rate of return. Don’t waste time! Our writers will create an original "Effective Return On Tax Saving Mutual Fund Schemes Finance Essay" essay for you Create order Investors may have different aim for investing their money such as capital appreciation, regular return, safety, proud of holdings, additional return and tax benefits. They may expect to get back the money along with interest at a future date or the purpose may be the price appreciation on their investment or they may invest their money to get regular income from their investment, many investors consider other promised benefits like retirement benefit, accident coverage, etc., They seek the investment area where they can get maximum return and minimum risk. Some investors ready to face risk to have maximum returns. Safety of funds and regular payment in the mode of interest is expected by everyone. This can be possible only on bank deposit/ postal saving. Comparatively the returns of bank deposits are low than the investment in securities market. Among all other available investment, investor looks into the tax relief. They invest to have tax relaxation on their income for that they seeks better investment avenue which gives tax relief on their income. Even though they invested to have tax relief they expect return on the investment. Thus, this paper aims to compare the return on the investment in bank and tax saving mutual fund schemes with effective interest rate too. This study will helps to investors to evaluate their portfolio. Savings are the tool used by a person or an organization that abstains from present consumption for a future use. Investment is an activity that engaged by people who have savings with the aim of achieving additional income or growth in values. It may be defined as a commitment of funds made in the expectation of some positive rate of return.1 Investors may have different aim for investing their money such as capital appreciation, regular return, safety, proud of holdings, additional return and tax benefits. They may expect to get back the money along with interest at a future date or the purpose may be the price appreciation on their investment or they may invest their money to get regular income from their investment, many investors consider other promised benefits like retirement benefit, accident coverage, etc., They seek the investment area where they can get maximum return and minimum risk. Some investors ready to face risk to have maximum returns. Generally individual investor expects security on their investment. Safety of funds and regular payment in the mode of interest is expected by everyone. This can be possible only on bank deposit/ postal saving. Comparatively the returns of bank deposits are low than the investment in securities market. Among all other available investment, investor looks into the tax relief. They invest to have tax relaxation on their income for that they seeks better investment avenue which gives tax relief on their income. Even though they invested to have tax relief they expect return on the investment. Thus, this paper aims to compare the return on the investment in bank and tax saving mutual fund schemes with effective interest rate too. The dividend declared tax saving mutual fund schemes which are launched during the year 2000-05 have been selected for the purpose of study. This study will helps to investors to evaluate their portfolio. INVESTMENT PATTERN There are various investment plans available in the financial market to help investors to choose better suitable area to make their investment. Blue chip shares Growth share Income share Cyclical share Speculative share Equity Shares Financial Assets Treasury Bill Commercial purpose Certificate of Deposits Money Markets Investments Mutual fund Schemes 1. Equity shares 2. Debt Schemes 3. Balanced Schemes Real Estate 1. Agriculture Land 2. Semi Urban Land 3. Time share in a Holiday Resort Non Marketable Financial Assets 1. Bank Deposits 2. Post office Deposits 3. Co-Operative Deposits 4. Public Provident Fund Deposits Bonds 1. Government Securities 2. GOI Relief Bonds 3. Govt. Agency Securities 4. PSU Bonds 5. Debenture of Private Sector Companies 6. Preference schemes Endownment Assurance Policy Money Back Policy Whole Life Policy Premium Back Term Assurance Policy LIC Policies Financial Assets Gold Silver Precious Stones Art Objects Money Markets Investments Financial Derivatives Options Futures Figure 1 Various Investment Avenues[1] The objective of an investor comprised into three namely safety of investment, liquidity position and return on their invested money. The return on investment may further be classified into capital gain and the rate of return on investment as interest or dividend. Figure 1 shows all investment options presently available to the investors. Table 1 Summary Evaluation of Various Investment Avenues Investment options Return Risk liquidity Marketability Tax shelter Convenience Return yield Capital Appreciation Equity shares Low High High Fairly High Section 80C benefit High Non-Convertible Debentures High Negligible Low Average Nil High Equity Schemes Low High High High Section 80C benefit Very high Term Deposits Under Tax benefit scheme Moderate Nil Negligible High Section 80C benefit Very high Public Provident fund Nil High Nil Average Section 80C benefit Very high Life Insurance Policies Nil Moderate Nil Average Section 80C benefit Very high Residential House Moderate Moderate Negligible Low Section 80C High Fair Gold and Silver Nil Moderate Average Average Nil Average Every investor wants to get maximum economic advantage from their investment. Investment avenues are based upon the rate of return, risk and uncertainty, capital appreciation, marketability, tax advantage and convenience of investment. Table 1 gives clear picture which helps the investors to take their investment decisions on various financial market instruments. This paper seeks to have result for, Do the bank deposit returns and tax saving mutual fund schemes return vary? To find out the result for the above questions the returns of dividend declared tax saving mutual fund schemes launched during the year 2000 to 2005 have been selected and the study period was selected from 2006-07 to 2009-10 up to February 2010. TOOLS USED FOR ANALYSIS To examine the Performance of selected tax saving mutual fund schemes and bank return, various tools are being used. Rate of return, Standard deviation, Dividend yield ratio has been selected to examine the performance of selected tax saving mutual fund schemes and Future value, Effective interest rate is taken to analyze the bank returns. Net Asset Value (NAV) is a term used to describe the value of an entitys assets less the value of its liabilities. Higher the rate of return shows the better the performance of the fund. It can be computed as Ri = NAV i1 NAV i0 * 100% NAVi0 Where, i is the number of funds Ri is the rate of return of portfolio i NAV i1 is the net asset value of funds at current evaluation period NAVi0 is the net asset value of funds at previous evaluation period. Standard Deviation of fund measures the volatility level of return rates. The volatility level also describes the risk level. Usually, for higher rates of return the risk level will also become higher. Hence, the study includes standard deviation as the measure of risk level. It can be computed as ÃÆ' Ãƒâ€ Ã¢â‚¬â„¢i = ÃÆ'Ã… ½Ãƒâ€šÃ‚ £m j=1(Rij-R)2 m-1 ÃÆ' Ãƒâ€ Ã¢â‚¬â„¢i = standard deviation for portfolio i Rij = Rate of return for portfolio i on jth month R = Average return rates of m months. m = Time period Future value can also be used to calculate the future value of the deposits in a bank. Money has time value. The amount deposited in a bank will be increased with relation to the time. It can be calculated as Future Value = p(1 + k)n Where, k is the rate of interest n is the number of years p is the amount deposited Dividend yield is a financial ratio which shows how much a company pays out in dividends each year relative to its share price. Dividend is one form of return that the investor can get on their investment. In the absence of any capital gain, the dividend yield is the return on investment for a stock. It can be calculated as Dividend yield = Annual Dividends per share Price per share Effective interest rate is also called as effective annual interest rate. It is the annual interest rate that accounts for the effect of compounding. It can be calculated as Effective interest rate = (1+R/P) p-1 Where, R is the nominal rate P is the number of compounding periods. AN ANALYSIS OF TAX SAVING MUTUAL FUND SCHEMES Performance of the fund determines the interest of investors. Investors generally does not compare all the schemes and distribute their funds. But they want positive NPV on their investment. By comparing returns of various avenues the investor can know the better investment area. When a company trades their funds, the performance of the funds determines the capital appreciation of the funds. The fund appreciation increases the share trades and the investors actively involved in the purchase and selling of shares. The following tables Table 2a, Table 2b, Table 2c and Table 2d shows the NAV return of selected tax saving mutual fund schemes during the year 2006-07 to 2009-10 till February. Table 2a Net asset Value of Tax saving mutual Fund schemes    2006-07 ( 1 APR 2006 TO 31 MAR 2007) Company Name APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR DBS Chola Tax saver fund 5.05 -3.91 -17.16 2.53 9.06 6.84 5.35 6.34 1.15 2.94 -8.46 -9.86 HDFC long term advantage fund 4.75 -1.77 -16.32 1.74 6.12 7.09 4.36 3.95 0.84 56.84 -2.00 -18.35 Ing tax saving fund -16.86 -0.82 -23.98 -0.46 9.23 8.36 5.24 6.74 3.57 5.93 -1.50 -13.92 Kotak tax saver 9.01 -0.54 -23.14 -0.36 7.67 5.60 5.35 9.05 3.36 5.52 -4.72 -22.38 Principal personal tax saver 42.18 73.37 -22.89 -0.21 7.20 4.38 8.81 8.58 2.00 7.15 0.65 -8.74 Reliance tax saver fund 6.05 -1.32 -21.49 0.22 0.14 -7.35 -2.26 20.51 2.64 10.21 11.92 -15.49 Source : https://www.amfiindia.com/NavHistoryReport_Frm.aspx Table 2a Net asset Value of Tax saving mutual Fund schemes 2007-08 ( 1 APR 2007 TO 31 MAR 2008) Company Name APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR DBS Chola Tax saver fund 5.14 6.02 0.99 5.13 4.58 0.00 0.00 0.00 19.11 -5.96 -12.37 -10.69 HDFC long term advantage fund 2.15 6.62 4.23 4.87 -2.12 6.12 10.61 6.01 2.60 -3.74 -11.38 -18.98 Ing tax saving fund -17.94 6.97 3.51 4.53 -5.37 5.97 3.54 9.20 6.31 -4.30 -16.19 -11.87 Kotak tax saver 5.55 7.25 4.75 5.98 -4.18 5.48 9.02 6.84 10.44 -0.28 -27.95 -19.56 Principal personal tax saver 5.87 9.26 4.44 11.17 -1.49 8.08 5.91 3.57 9.12 -5.85 -11.53 -25.99 Reliance tax saver fund 2.52 5.23 2.19 7.83 -3.56 8.77 6.57 -1.21 8.57 -6.23 -12.26 -12.77 Source : https://www.amfiindia.com/NavHistoryReport_Frm.aspx Table 2a Net asset Value of Tax saving mutual Fund scheme s 2008-09 ( 1 APR 2008 TO 31 MAR 2009) Company Name APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR DBS Chola Tax saver fund 3.43 4.46 -10.23 -0.54 -5.61 -12.19 -22.52 -10.59 0.60 -1.05 -4.93 -2.42 HDFC long term advantage fund -2.59 0.48 -9.89 -6.68 8.82 -1.21 -20.34 -13.22 -0.78 -0.08 -3.43 -15.02 Ing tax saving fund 3.19 3.95 -9.90 -11.18 10.26 -6.93 -32.39 -11.71 -4.61 0.21 -3.75 -2.96 Kotak tax saver 0.09 4.61 -12.72 -10.64 7.30 -6.15 -25.03 -9.57 0.38 -1.64 -3.52 -3.31 Principal personal tax saver -29.55 3.33 -10.92 -9.33 8.14 -6.49 -28.00 -12.19 -2.79 -0.22 -2.85 -2.89 Reliance tax saver fund 1.07 3.28 -10.62 -8.11 6.62 -3.38 -17.19 -8.24 -1.05 1.34 -4.04 -2.41 Source : https://www.amfiindia.com/NavHistoryReport_Frm.aspx Table 2a Net asset Value of Tax saving mutual Fund schemes 2009-10 ( 1 APR 2009 TO 31 MAR 2010) Company Name APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB DBS Chola Tax saver fund 24.76 22.78 15.88 -0.98 6.65 6.74 4.18 -0.38 4.00 2.49 -6.09 HDFC long term advantage fund 15.05 20.02 13.19 3.02 6.97 6.72 5.62 3.39 -36.70 2.59 -9.00 Ing tax saving fund 20.96 18.44 17.72 0.31 7.00 7.87 3.25 -0.09 5.26 3.73 -4.65 Kotak tax saver 16.18 18.95 16.34 -0.95 6.73 5.86 3.72 -1.13 3.98 2.18 -5.71 Principal personal tax saver -5.69 17.25 22.21 2.00 1.74 9.91 4.80 -0.11 1.01 1.68 -4.29 Reliance tax saver fund 17.18 16.26 15.27 0.40 5.72 -6.69 5.08 6.44 -1.44 4.64 -4.29Source : https://www.amfiindia.com/NavHistoryReport_Frm.aspx NAV return of selected tax saving mutual fund schemes moves in a similar direction during the study period from 2006-07 to 2009-10 up to February 2010. NAV return of all the schemes shows negative return in the month of June 2006, March 2007, and January 2008 to March 2008, June 2008 to November 2008, February 2009 and March 2009. No scheme falls in a pattern which helps to determine their return. During the year 2008-09 all the schemes produced maximum negative return. Whereas, during the year 2009-10, till October 2009 there were no negative return in all the schemes. It also has been noted that there was a fluctuation in all the month during the period of study. STANDARD DEVIATION Standard deviation has been used to measure the volatility selected tax saving mutual fund schemes. The volatility also denotes the risk level. Usually, there will be high risk for high returns. Hence, the standard deviation included to measure the risk level. The following table shows the risk level of selected funds. Table 3 Volatility of the Funds Company Name Standard Deviation DBS Chola Tax saver fund 2.444124 HDFC long term advantage fund 42.56922 ING tax saving fund 3.452677 Kotak tax saver 3.323016 Principal personal tax saver 100.9975 Reliance tax saver fund 2.398889 It can be noted from Table 3 that the fund volatility is very high principal personal tax saver and low in Reliance tax saver fund. From Table 4 it can be understood highest dividend given by principal personal tax saver and Reliance tax saver fund provides lowest dividend. Hence it can be stated that there is a relation between the risk and return. RETURNS IN THE FORM OF DIVIDEND Dividend is one form of return that the investors can get on their investment. Not all the company declared their dividends in all the years in a study period from 2006-07 to 2009-2010 up to February 2010. Table 4 shows the dividends declared by the various Asset Management Companies. Most of the companies declared their dividends in the year 2006-07. Table 4 Dividends Declaration S.No NAME OF THE COMPANY Rs. Per Unit 2006-07 2007-08 2008-09 DBS Chola Tax saver fund 1 HDFC long term advantage fund 6 6 3.5 ING tax saving fund 4 Kotak tax saver 3 3.5 Principal personal tax saver 82 Reliance tax saver fund 1 1 1.5 Source: www.moneycontrol.com, Date 26.03.2010 Principal Personal tax saver declared (maximum) Rs.82/unit dividend in the year 2007-08. DBS chola and Reliance tax saver fund declared (minimum) Rs.1/unit dividend in the year 2006-07. Table 5 shows the dividends returns of the selected tax saving mutual fund schemes. Table 5 Dividends Yield Returns Company Name Inception Year 2006-07 2007-08 2008-09 DBS Chola Tax saver fund 2005 0.08 HDFC long term advantage fund 2000 0.13 0.09 0.08 ING tax saving fund 2004 0.26 Kotak tax saver 2005 0.24 0.25 Principal personal tax saver 2002 1.16 Reliance tax saver fund 2005 0.08 0.08 It can be noted from Table 5, that highest return on dividend given by Principal personal tax saver in the year 2007-08. It also can be noted that principal personal tax saver not declared any dividend during the year 2006-07. HDFC declared Rs. 6/unit in the year 2006-07 and 2007-08. No company have declared the dividend in the year 2008-09 except HDFC long term advantage fund and Reliance Tax Saver fund. FUTURE VALUE Always money has time value. A rupee today is more valuable than a rupee a year. Money deposited today has future value after certain period. Hence future value of money calculated to know the value of investment. Table 6 shows the interest rate announced by RBI during the year 2006-07 to 2008-09. Table 6 Interest Rates Year 1 Years 1-3 Years Above 3 Years 2006-07 9% 9.75% 9.75% 2007-08 10.5% 11% 11% 2008-09 7% 8% 8.25% Source: RBI Annual reports It can be noted that the interest rate has been reduced to 7% in the year 2008-09. Table 7 Future Values of Deposits Year 1 Years 1-3 Years Above 3 Years 2006-07 1.09 1.32 1.59 2007-08 1.11 1.37 1.69 2008-09 1.07 1.26 1.49 Source: RBI Annual reports Table-7 shows the annually compounded interest returns. The rupee value of Rs 1000 in the year 2008-09 is increased to Rs. 1260 in the year 2012-13 at the rate of interest of 8%. EFFECTIVE RATE OF INTEREST Effective rate is the interest rate on financial product restated from the nominal interest rate as an interest rate with annual compound interest. Effective interest rate differs from calculating nominal rate. The nominal rate is calculated as multiply the number of periods with the interest. Table 8 Effective Interest Rate Year 1-3 Years 3-5 Years Above 5 Years 2006-07 9.0 10.1 10.1 2007-08 10.5 11.4 11.5 2008-09 7.0 8.2 8.5 Source: RBI annual reports Table-8 shows the effective interest rate. It can be revealed that the return is high for three years and above. The effective interest rate will be 10.1% where the nominal rate of interest is 9.75%. Table 9 Return on Investment in Bank Deposit (With Effective interest Rate Tool) Principal Interest Effective Interest Rate+ Principal 1000 10.1 Rs. 1303/- The Table-9 shows return on investment on Bank deposit. An investor deposited Rs.1000 with 8% interest the depositor gets Rs.1,303 with effective interest rate. Table 10 Return of Tax saving Mutual Fund Schemes Schemes 3 years dividend return alone NAV as on February 2010 No. Of Units on 2006 Unit value as on February 2010 Total Return (Dividend + Unit Value) DBS Chola Tax saver fund 80.23 13.163 80 1053 1133.3 HDFC long term advantage fund 356.25 34.453 23 792.42 1148.7 Ing tax saving fund 242.09 12.223 61 745.6 987.69 Kotak tax saver 484.06 9.657 74 714.62 1198.7 Principal personal tax saver 702.41 69.302 15 1039.5 1741.9 Reliance tax saver fund 256.83 13.701 73 1000.2 1257 The Table 10 shows the return of selected tax saving mutual fund schemes during the year 2006-07 to 2009-10 till February 2010. It can be noted from the table, the return of all the tax saving mutual fund schemes are lower than bank returns except Principal personal tax saver. All the tax saving mutual fund schemes NAV less than its purchase value on April 2006. If the investor made investment of Rs. 1000 on a bank, the investor may get Rs. 1,303 with interest and if they invested in tax saving mutual fund schemes they get less then Rs. 1,303. If they invested in DBS chola tax saver fund they may get only Rs. 1,133 and Rs. 987.69 if they invested in ING tax saver fund on February 2010. Security market is highly volatile, prediction on this market in not possible. It can be accepted through this study. There is no pattern on the NAV return. Many factors like global economy position, natural calamities, political change, etc., affects the return of security market Investment in Bank i s highly secured in all the period. CONCLUSION People invest money into known sources and they are not aware of pros and cons of the investment avenues in-depth and technically. They accept what the promoter / company or the agent says. By comparing the deposits/investments in bank and securities market, it can be noticed that the return from security market is high and it is volatile and there is no guarantee for the return. Those who wants high return, by taking high risk they can invest into securities market. Present scenario of the financial market is the securities market is in negative and there is no capital appreciation in the form of NAV returns. All sample schemes NAV goes into negative and only few company declared their lowest dividends. At present the bank return are high than the returns from securities market. Thus, generally people choose tax saving schemes to have minimum benefit from their investment. But there is no regulatory to provide guarantee on these schemes. It is necessary to create regulatory framewor k to safeguard the individual investors. The authority of mutual funds SEBI and AMFI involve into this area and may take necessary steps to protect the investors in the form of Regular return and Capital appreciation.

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Marketing Plan Starbucks free essay sample

Marketing Plan: Starbucks Revitalizing Teas Abstract A marketing plan for Starbucks Coffee Company for the introduction of a new line of tea to the beverage menu includes a multi faceted approach. Beginning with an organizational overview, and following with the new product description, SWOTT analysis, marketing research, segmentation, differentiation and positioning, product life cycle, the marketing mix, budget, and finally, control mechanisms, the marketing plan comes to life. Organizational Overview Founded in 1971, Starbucks Coffee Company’s first location was in Seattle’s Pike Place Market and after 35 years, Starbucks has grown to over 11,500 outlets worldwide serving approximately 40 million customers every week (Starbucks. com). Starbuck’s mission statement is â€Å"to establish Starbucks as the Premier purveyor of the finest coffee in the world while maintaining our uncompromising principles as we grow. (Starbucks, 2005) Currently, the marketing strategy involves positioning a local Starbucks outlet as a third place (besides home and work) to spend time in, and the stores are designed to make this easy and comfortable (Wikipedia, 2006). It is not uncommon to see customers in stores for hours at a time. This strategy has proven very successful, but to stay ahead of the competition the Company plans to selectively pursue other opportunities to leverage the Starbucks brand through the introduction of new products. What is Starbucks? This may seem like a funny question, but the truth is, Starbuck’s is a well-known name. Major cities across the North America have at least one Starbuck’s location. This organization understands the importance of marketing. Starbucks created a product that has in turn delivered more and caused more products and services to be created. The rapid growth and expansion of the company can be heavily attributed to organization’s use of the marketing mix. Kotler and Keller in Marketing Management’s twelfth edition have also documented the success of the firm and the firm’s effective use of marketing. The organization strives to continue marketing to all consumers by introducing products that raise consumer interest from all types of people. Starbuck’s does not use a major commercial advertising campaign to drive its sales. Instead Starbuck’s can be seen everywhere. The Starbuck’s cup is the most effective marketing and advertising tool the company has to this day. One can find a Starbuck’s cup in movies and in television series. Additionally, sales are driven because someone in most companies across America is tasked with making the classic â€Å"Starbuck’s stop† in the morning. Each year the company has seen phenomenal gains. Last year alone net revenues increased 20 percent to $6. 4 billion. The company feels that by staying aggressive it can keep growing successfully every year. New Product Description To keep growing the company also needs new product lines, and one that is being considered is a new custom line of hot and cold beverages for the public. Starbucks’ customers have been asking for specialized teas and now is the time to start the research and preliminary marketing to see if a new market really does exist. The tea line is not to take away from the company’s coffee sales but rather to increase its’ customer counts and sales numbers. A new tea line may encourage those who normally would not visit Starbucks stores to now have a reason to come in. Before just ‘throwing’ a new product to the public, Starbucks wants to make sure it will indeed be a profitable investment. Starbucks will need to do extensive research into the product line and also its customer base. Starbucks is the most familiar name in the world when it comes to coffee, can it continue their success into the world of teas? The research will be a good indicator of what Starbucks can expect. Starbucks prides itself on having a variety of beverages available to the public, and services customers’ needs culturally and globally. This is why Starbucks has decided to come out with a new line of iced or just chilled flavored tea for our customers. These teas are multi-flavored teas and can easily be purchased in retail stores or at any of our Starbucks stores globally. These teas consist of five main flavors, and can be added if successful or as time goes by. The flavors are as follows: †¢Twisted Lime Tea †¢Rockin’ Raspberry Tea Lemon Surprise Tea †¢Cool Blueberry Tea †¢Invigorating Green Tea The name that has been chosen as a marketable idea is â€Å"Starbucks Revitalizing Teas†. In addition to brewed coffee and espresso beverages, Starbucks shops also serve hot or cold Green Tea and Tazo beverages. 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For our research a SWOTT analysis will be necessary to evaluate strengths to be utilized and what kind of obstacles may be in the way. Strengths †¢Starbucks Corporation is a very profitable organization, generating more the $6 billion dollars in 2005. †¢The new line of teas will capitalize on a globally recognized name. †¢The teas can be served in store or sold retail, similar to the coffee drinks Weaknesses †¢The new line of teas may not sell well in colder climate stores. †¢The teas will be higher priced than other flavored teas sold retail. †¢The five flavors may not appeal to all consumers Opportunities †¢This new line of teas will allow Starbucks one more way to produce profits. †¢This new line of teas will bring in new consumers, those who don’t usually frequent Starbucks. †¢This line of teas will allow Starbucks to expand their retail drink selection Threats †¢The competitive market for tea drinks sold either in a store or retail location. †¢Competitors that market flavored teas (e. g. Pepsi Cola, Coke) with a larger distribution market. †¢Who knows if the market for flavored teas will continue to stay in favor with consumers? Trends Obviously, the trend these days is leaning toward upscale coffee houses. †¢Starbucks is synonymous with hot and cold beverages; the natural course to take is to add a specialized line of tea. Marketing Research To develop the marketing strategy Starbucks needs a thorough consumer analysis. What are the demographics of the Starbucks customer? This could be determined by primary research of intern al data from our customer database. Who is their target consumer? Secondary research into tea drinking consumers would be needed to define the target market. What are the psychographics? What stimulates the desire for iced tea? Starbucks will need human behavior research that also includes the geographical considerations of its customers. Since iced tea is consumed much more in the summertime and in warmer climates, Starbucks will need to know what kind impact its marketing efforts will have and what strategies they want to pursue. Marketing research includes â€Å"defining the problem and research objectives, developing the research plan, implementing the research plan, and interpreting and reporting the findings. (Armstrong, G and Kotler, P, 2005) Marketing research for the new iced tea product line at Starbucks will require information about iced tea drinking consumers. This will require descriptive research, to understand things like the market potential for the iced tea line, demographics, and attitudes of consumers who buy ice tea. Most of this information can be gathered from secondary sources like Simmons Market Research Bureau ( www. smrb. com), LEXIS-NEXIS (www. lexis-nexis. com), and/ or CompuServe (www. ompuserve. com). These databases provide information on consumer patterns, marketing publications, trends, promotional techniques, consumer demographics and research reports. The marketing research needs information on the demographic, economic, and lifestyle of current iced tea consumers, their usage patterns, packaging preferences, and forecasts of the impact the new line of products will have on store sales. In addition to the secondary sources, primary data from the company will provide research information. Other considerations for the marketing research include the geographical area to be introduced to our new product. Iced tea is a summertime and warm weather beverage, and unlike coffee, iced tea is expected to be more seasonal with regard to consumption habits. Survey research at different Starbucks locations will provide the descriptive information needed to explore the Starbucks consumer’s attitudes and preferences toward the new product line. With this information in hand the interpretation and reporting of findings can be done. Segmentation Market segmentation is the segmentation of markets into homogenous groups of customers, each of them reacting differently to promotion, communication, pricing and other variables of the marketing mix. Market segments should be formed in way that differences between buyers within each segment are as small as possible. Thus, every segment can be addressed with an individually targeted marketing mix (Decision Analysis, Inc. , 2006). At Starbucks, the concern is with segmentation criteria and being able to target a segment of the market, which will lead to greater sales of a new line of teas. This is going to be the concentration of a marketing effort to dominate a market niche. For Starbucks, market segmentation is the process of identifying and targeting groups of individuals who are similar to one another. Markets can be segmented in many different ways: by product or service needs, by sensitivity to price, by geographic area, by demographic segment, or by psychographics and lifestyles. Successful segmentation will depend upon understanding what consumers want, how different locations of consumers differ from one another, and how these different types of consumers decide among products. In Starbuck’s case these analytic techniques will be used to organize customers into groups with these similar attitudes, needs, and desires, (Starbucks, 2006). Criteria There are a huge number of variables that could be used for market segmentation. They comprise easy to determine demographic factors as well as variables on user behavior or customer preferences. The following table shows the most important traditional variables for segmentation that will be used in the study: Consumer Markets Geographic: †¢Land or region †¢Rural or metropolitan area Demographic: Age, sex, marital status †¢Income, occupation, education †¢Religion, nationality, ethnical group Psychographic: †¢Social status †¢Lifestyle-type Behavioral: †¢Intensity of product use †¢Brand loyalty †¢User behaviors Since customer orientation of organizations is growing, segmentation as the basis for establishing customer relationships and customer loyalty gains importance . In this context, the elements of the loyalty ladder model could be used as segmentation variables: Marketers have to choose those variables that are relevant for segmenting the market for a particular product. The basic rule is to focus on a limited number of important variables. To segment the market into too many small, slightly distinct segments would require splitting up the marketing budget into too many ineffective chunks. As already stated, segmentation is the basis for developing targeted and effective marketing plans. Furthermore, analysis of market segments enables decisions about intensity of marketing activities in particular segments. A segment-orientated marketing approach generally offers a range of advantages for both, businesses and customers. Organizational Buyers and Consumers When purchasing products organizational customers are particularly concerned about quality, service, and price. To achieve an exact level of quality, organizations often buy products on the basis of a set of expressed characteristics, called specifications. Because services have such a direct influence on a firms costs, sales, and profits, matters as market information, on-time delivery, and availability of parts are crucial to an organizational buyer. Although organizational customers do not depend solely n price to decide which products to buy, price is of prime concern because it directly influences profitability. Organizational buyers use several purchasing methods, including description, inspection, sampling, and negotiation (Perreault McCarthy, 2004). Consumers are mainly concerned with price and the value that the product will bring to them. In terms of the new line of teas for Starbucks there are numerous buyers. Starbucks should focus on organizations that already currently carry their coffee drinks. These organizations would be grocery stores (e. . Ralph’s), gas stations (e. g. Mobil) and club stores (e. g. Costco). In terms of consumers, Starbucks can focus on their regular consumers and draw more health conscious consumers with this line of teas. Starbucks can focus on commuters, stay- at-home mothers, college aged children and elderly. Differentiation and Positioning â€Å"The aim of marketing is to affect how customers think about and behave toward the organization and its marketing offers. To affect the what, when, and how of buying behavior, marketers must first understand the why. (Armstrong, G, and Kotler, P, 2005) One consumer behavior expert notes that 95% of the thought, emotion and learning that drive buying decisions occur in the unconscious mind. Some of these factors are cultural, social, personal, and psychological. Armstrong and Kotler continue, â€Å"Culture is the most basic cause of a p erson’s wants and behavior. Every group or society has a culture, and cultural influences on buying behavior may vary greatly from country to country. † Of particular note the recent cultural shifts toward health and fitness may impact the way Starbucks will market its new tea. Culture can be broken down into subcultures like ethnic groups and social class, which can also impact behavior. Social factors like membership groups directly influence behavior and reference groups by way of comparison indirectly impact buying decisions. â€Å"Family members have a strong influence buyer behavior† as well as a person’s role and status in a family, club or organization. Personal factors such as age, life-cycle stage, occupation, economic situation, lifestyle, personality and self-concept are also factors that influence buying behavior. Four major psychological factors like motivation, perception, learning, beliefs and attitudes, further influence buying choices. Motivation is driven sequentially by different needs as priority needs are met. For example, a person is motivated to satisfy hunger and thirst as basic needs. But as these needs are met a person becomes motivated to meet safety, social and other needs. Perception is the process by which people select, organize, and interpret information to form a meaningful picture of the world. These perceptions influence consumer purchase decisions. Learning impacts buyers’ behavior based on prior experience with products or brands. This leads to beliefs and attitudes toward products and influence purchase decisions. These factors all combine to impact consumer behavior. The decision process is made up of five stages starting with need recognition, and progressing through an information search, an evaluation of alternatives, lead to a purchase decision, which is followed by post purchase behavior. Marketers are well advised to focus on this entire buying process, as opposed to just the purchase decision. When the purchase decision involves a new product a process defined as adoption applies. This starts with making the consumer aware of the new product. Leading to interest in the product, followed by an evaluation of whether the product makes sense for the purchaser. If the purchase is made the next step is the trial. If the product is accepted it becomes adopted and the consumer will make full and regular use of the new product. The rate of adoption of new products is influenced by five characteristics: relative advantage, compatibility, complexity, divisibility, and communicability. Other influencers can be initial and ongoing costs, risk and uncertainty, and social approval. â€Å"The new-product marketer has to research all these factors when developing the new product and its marketing. † (Armstrong and Kotler, 2005) Product Life Cycle The Product Life Cycle (PLC) is based upon the biological life cycle. For example, a seed is planted (introduction), it begins to sprout (growth), t shoots out leaves and puts down roots as it becomes an adult (maturity), after a long period as an adult the plant begins to shrink and die out (decline). In theory its the same for our new tea line. After our period of marketing research and development, the tea line will be introduced or launched into the market. It then gains more and more customers as it grows; eventually the market will stabilize and our tea line becomes mature; then after a period of time the product may be overtaken by the development and the introduction of other competitors brands, it goes into decline and maybe even is withdrawn. However, we don’t anticipate our competition to take away tea drinkers, when in fact we are the ones who will be taking customers away. Strategies for the Product Life Cycle In our case the need for immediate profit is not a pressure. The strength of our business is coffee and we can afford the time to market and carry our new teas longer while introducing them into our market place. The tea line is to be promoted in order to create consumer awareness that Starbucks now carries a terrific line of teas. There are competitors around every corner, but we feel that a classy advertising campaign will bring in new customer to sample these teas. Growth Advertising spending is going to be high to begin with, which will focus upon building brand name recognition. The bell curve for this can be anticipated as a slow curve upward only because tea is available in all stores and we are anticipating slow sales in the beginning. What we offer though is an atmosphere that other tea and coffee houses don’t offer at this time. Maturity Coffee is our core business; we know that sales will take time to mature. A slow growth upward then gaining a leveling off period in year three of the program is what we anticipate. Coffee is our main emphasis and the tea line again is geared at bringing in the friend or customer that normally wouldn’t come in to our stores. Decline Tea will never be the strong seller that coffee is for us. Overall, if the new tea line brings in 3 cents for every dollar we make, we’ll consider this a success. Our advertising dollars are 5 cents per dollar for the tea line, but customer count more than makes up for slower sales and the two-cent difference. Problems with Product Life Cycle In our past though, very few products follow such a prescriptive cycle. The length of each stage varies enormously. The decisions of marketers can change the stage, for example from maturity to decline by price-cutting. This new tea line may never go through each stage. It could go from introduction to decline and it is not always easy to tell which stage the product is in. Remember that PLC is another marketing tool. Marketing Mix Product Starbuck’s prides itself on putting out only the finest products to sustain its market share in today’s consumer on-the-go quick serve coffee and tea beverage industry. With the five flavors that introduced in the product line, the following attributes are essential to successful launch of this product line of flavored teas. †¢The company will be able to capitalize on the existing strength of the Starbuck name in today’s marketplace. †¢Starbucks commitment to only produce quality products to its consumers. †¢These exciting flavors will entice customers to expand their drink selection when visiting a Starbucks. †¢The company will be able to take advantage of their established distribution channels. The company is in a strong financial position to make this a successful campaign. †¢These new five flavored teas are not only recognized in the United States, but globally as well. The above attributes lend themselves to a successful launch of this new line for Starbucks. Discover the entire new tea selection at Starbucks stores nationwide and hopefully in retail stores as well. Teas have been a part of Starbucks lineup sinc e 1999, and the new products aim to tantalize the consumer with a new experience with five more flavors of freshly brewed teas. Price Starbucks has many things to consider when deciding on a price for their new iced tea line. There are several influences that will affect the final price of the product line. Starbucks will have to consider several factors pertaining specifically to the actual market. Some things that will influence the price in regard to the market are competition (and their prices), consumer anticipation, the goal of Starbucks and their brand, and the flex in demand for their product. Other factors that influence Starbucks include the cost of manufacturing, selling, advertising, and profit goals (Williams, 2005). Currently Starbucks finds their prices moving with the price Starbucks pays for its coffee, in addition to their brand name; they have been successful at marketing and selling their coffee drinks above the competitions’ prices, and will continue doing so for as long as possible. Starbucks will sell the iced tea line in bottles in retail stores, next to their coffee drinks, even in the coolers. The pricing of the coffee drinks range from $1. 79 to $3. 79. The pricing strategy for the iced tea blends will range from $1. 39 to $1. 79 for consumers, and the price could be higher depending on the location. For example, in resort or vacation areas, the iced tea blends could be sold at prices higher than $1. 79. The pricing strategy is due in part to the competition, and the advertising costs for the product just being introduced into the market. The iced tea blends will also be served fresh at the counter of almost every Starbucks outlet. The price for the iced tea blends at the counter will be slightly higher than the iced tea in the bottles within retail stores. The presentation of the iced tea at the counter increases the price, utilizing the same concept as Starbucks’ bottled Frappuccinos. The price will begin at $2. 5 at the counter. Starbucks has the distinct opportunity of being able to hold the largest majority of the market when it comes to retail coffee and variety drinks. The Starbucks brand comes with a level of admiration from others. This will allow the product to be introduced with the appropriate pricing that will maximize profits and build interests. Starbucks wi ll consciously set prices with defined objectives to increase interest from the consumer in order to gain a repetitive customer base for the new line of teas. The feeling of the organization as a whole is one that has set all Starbucks products a part from the competition. Recently, there has been an emergence of new coffeehouses, but the firm feels that continuing to sell a high-quality product and fair premium price will continue to increase profits. The pricing strategy will not seek to meet any status quo objectives, because the new line of teas is just that†¦a new line of teas. This is a new product that will be solely introduced by Starbucks. There is no need to meet or beat competitors. The pricing strategy will reflect more of a one-price policy that is focused and properly timed. The teas will need an introductory price and regular price. Use these two pricing strategies will both gain customer interest and maximize profits. Both pricing policies will far exceed the transportation and other built-in cost to get the teas to the customer. Introductory price dealing will attract customers. This attraction will help the organization to monitor how popular the drinks will be and to get customers interested in another product line at Starbucks. One set introductory price that does not include coupon, and special pricing for different customers initially will gain more confidence from a broader base. Skimming price policy will be the final destination for the product line. As with all Starbucks products this pricing policy has proven to be effective and this product line will not be an exception to the rule. The introductory price will run for an indefinite period of time in which the firm feels total interest has been gained, which may be a period of one year leading to the next Summer when the final price will be introduced. Place Starbucks specific plan of distribution for their new line of iced teas will focus on retail distribution through their currently established distributors. Starbucks will also sell the new iced teas in their outlets in bottled form and personalized fresh brewed form at the counter, which could draw even more customers into outlets. Starbucks will be using brighter colors in the packaging of their new iced tea line while promoting a refreshing and relaxing experience. Starbucks has been very successful in their distribution of Starbucks coffee items in grocery stores, even opening outlets within stores, such as Safeway. Their decision to focus on maintaining and using existing vendors is based upon the growth of current sales, and the anticipation of future sales predictions (Kim, 1998). Starbucks has an agreement with Sysco Corporation to distribute products to â€Å"non-contracted customers (2003). † The contract between Sysco and Starbucks does not expire until 2008; therefore Starbucks will be able to distribute their new line of iced teas in the same way as their other products, in the same shelf area as current coffee drinks. Within the Starbucks outlets, they will also be incorporating the help of their employees to promote the new product by making a suggestion of the new iced tea to all customers, to make the product stand out and promoted. The goal is to introduce the iced tea line in bottled form in grocery stores with current distributors very quickly after it has been introduced at the counter within the outlets, if not the same time. Starbucks may consider introducing their iced tea line into international markets, but will monitor the success rate of the line prior. One of our strategies will be to service the existing customers; however, retailing is not out of the question. It is easier and less expensive to promote our new product line of teas to our existing customers who are already accustomed to going to Starbucks. In fact, it is estimated that acquiring a new customer costs five to eight times as much as keeping an existing one. Our goal is to keep building relationships between our existing customers and make new ones as well. The key here is retaining the current customers, make them try our new product line, and expand demand into the retail stores as well. Promotion To achieve the stated objective Starbucks plans to publish brochures introducing the new flavor of teas along with all drinks offered. The brochures will be left on the tables for customers to read. There will also be a brochure display right up front where the customer orders their coffee drinks. While they wait they can view the brochure or take it with them. Starbucks would not be adding too much additional costs in their advertising budget, they will just add on an additional informational tidbit in the publishing of the new flavors of teas information in the brochures and posters that they print up to promote their stores. Personal Selling At Starbucks there would be the greeter at the counter when taking the customers order. Greeting them, asking what they would like to drink and stating â€Å"by the way, are you aware of our new flavors of Tazo teas? † The greeter could then hand them a brochure and then get their order. By having the consumer walk out of the store with a brochure or having read the brochure while in the store will cause a chain reaction of the consumer telling another consumer of what they recently found out about the new flavors being offered. By starting the personal selling while a current customer visits Starbucks and the consumer leaves with new beneficial knowledge they pass it on to others and this would create a new customer. Sales Promotion Discount sales coupons in local newspapers with the slogan â€Å"A cup of Tazo tea will Keep You on Your Feet†. These coupons would be worth a 10% discount on a cup of coffee or specialty drink. This would bring new customers in to try Starbucks. Everyone likes to save money on merchandise or food items. Direct Communication Starbucks has a website; www. starbucks. com, where they can promote a piece to highlight the new flavors of Tazo teas, much like they do now with the coffee of the month (www. starbucks. com). Starbucks promotes their stores within the community with the feel of part of the neighborhood that they establish in a new store and the fact they have the best cup of coffee around. The new flavors of Tazo teas are just additional sales pitch to add to their information to fit in with the communities where they have established store locations. Advertising Advertising, personal (face-to-face) or direct selling, sales promotion, and relationship building are the primary methods companies use to promote their products (Armstrong, G, and Kotler, P, 2005). At Starbucks these methods will all be utilized in promoting the new iced tea line of products. Tactics Advertising is often used to make consumers aware of a product’s special low price or its benefits. But, at Starbucks an even more important function of advertising is to create an image that consumers associate with our product like existing product lines or in retail stores, known as the brand image (Microsoft Encarta 2006). The brand image goes far beyond the functional characteristics of the product. For example, a Cappuccino drink may have a particular taste that is one of its benefits. But when consumers think of it, they not only think of its taste, but they may also associate it with high energy, extreme action, unconventional behavior, and youth. All those meanings have been added to our new line of Teas by means of advertising along with the existing beverages at Starbucks. Consumers frequently buy the product not only for its functional characteristics but also because they want to be identified with the image associated with the brand. By adding meaning to a product, like our five sensational new Teas, advertising also adds value. Budget One of the most difficult financial decisions facing businesses is how much to spend on marketing and promotion. Since Starbucks does not do much traditional advertising, it is quite difficult to determine the necessary amounts at this time to spend on marketing the new flavors of teas. For the new flavors of teas, the marketing budget is primarily comprised of marketing communications and marketing research. Marketing Communications activities include: †¢Brochures, Newspaper Advertisements †¢Public relations, charitable contributions Marketing Research expenditures include: †¢Market size Market opportunity studies Control Mechanisms As Starbucks implements this marketing plan feedback and control mechanisms need to be in place. The need to track results and monitor new developments is constant. The marketplace will change; and when it does the company will need to review and revise the marketing plan, including programs, strategies and objectives. After the introducto ry period, the company will perform an evaluation of the performance of the new line of teas. This evaluation will include the profit margin, market share, promotional effectiveness, and market penetration of the Revitalizing Teas. The actual performance of the tea to the objectives defined will be considered as indicators to be used to define areas of success and opportunity. Conclusion In order to stay ahead of the competition, a business needs to either keep refining itself so that its products are better and or expand into new markets. Starbucks is the world’s most familiar name when it comes to coffee and they feel that they became the greatest name because they roast and brew the best coffee available. After careful research Starbucks decided to increase its customer base by adding a new product line. The research showed that a new line of teas will bring more customers into Starbucks stores throughout the world and more customers will allow them to keep growing and expanding. At this time Starbucks feels that the sky’s the limit. By introducing this specialized tea line Starbucks will find out how much it will grow and what they can expect in the future with new products. Blindingly offering a product to the public would be foolishness. Researching the market and customers is the first step in introducing a new product to the public. http://www.phoenix.edu/ https://cyber.harvard.edu/archived_content/people/edelman/google-safesearch/sites-B.html https://www.decisionanalyst.com/analytics/marketsegmentation/ http://dictionnaire.sensagent.leparisien.fr/Columbia_Sportswear/en-en/ http://www.businessplans.org/segment.html https://lessonplans.btskinner.com/genbus.html http://www.phoenix.edu/students/how-it-works/online-resources/technology-resource-library.html https://de.wikipedia.org/wiki/Wirtschaft_Seattles https://www.starbucks.com/about-us https://www.starbucks.com/ https://en.wikipedia.org/wiki/Starbucks http://www.srmgmtserv.com/contact.html

The end of the play Essay Example For Students

The end of the play Essay In my personal opinion, I would say that Sheila is more to blame than her father, simply because Eva had loved her job at Milwards and she had just come off the streets and was straight into a well-paid job. When she was fired she must have had serious emotional problems, as I believe this had been a much greater knock back to her than being sacked from Birlings factory. Due to Sheilas interference, Evas last chance at a better life is ruined. Also, Eva being fired was through not fault of Sheilas own. Sheila had said that she was particularly in a furious temper that day and I think she was just venting her frustration at someone, who happened to be Eva. The reason for her bad mood was because she tried something on, and it just didnt suit me at all. In addition, after her rage she caught sight of her smiling at the assistant. When she was asked whether she had been jealous of her she answers, Yes, I suppose so. She had also before been in a bad temper anyhow. I think that the least responsible character for Eva Smiths suicidal death was Gerald Croft. We will write a custom essay on The end of the play specifically for you for only $16.38 $13.9/page Order now He was the only one who provided a small period of happiness for Eva Smith, as well as a source of income for this time. He knew Eva as Daisy Renton. He first met her in the stalls bar at the palace, which was a bar at a theatre. He was drawn to Daisy/Eva because She was very pretty soft brown hair and big dark eyes, and that he saw Alderman Meggarty harassing her. He therefore came to her to answer her cry for help. He took her for a drink and a meal because he pitied her and he learnt that she was desperate for a place to settle in and stay, so he let her use his friends rooms. She then became his mistress and they were together for the whole summer of 1911. Gerald then broke it off definitely and so She had to move out of those rooms. He finished with her and cast her aside because of his relationship with Sheila Birling. They both also knew there wasnt going to be any future in their relationship because of their classes and social standings. Daisy/Eva herself knew it wouldnt have been a long affair and there is also evidence that she was surprised at how long it did last, She told me that shes happier than she had ever been before but that she knew it couldnt last hadnt expected it to last. I think that Daisy/Eva benefited from these events in the long run rather than lost out. She might have been heartbroken for a little period of time (she didnt seem to show any remorse) and maybe even homeless, but Gerald had shown her love and also given her money to ensure she was stable until the end of the year. She had a period of happiness, security and love for a while which, as far as we know, she hadnt had for a long time. Although Gerald left her, she was in the same position as she was before; probably better off. Gerald kept the girl out of trouble during the summer when she could have been out on the streets or at the Palace bar getting into trouble, like she had before. Gerald himself felt responsible for her death when he heard about it. He might have had negative thoughts such as the girl might have had more to lose than previously when he had kicked her out, and also when shed been with him she had an enjoyable luxurious lifestyle, and that being rejected by him was probably more hurtful to the girl than the dismissals inflicted on her by Arthur and Sheila Birling because there were strong emotions involved. He must have also felt that hed given her false hope and used her which ultimately made her life less bearable, and therefore he must have thought he was guilty and the one to blame. I reckon at this point he must have definitely regretted having even met Daisy/Eva, as he now had to suffer the consequences feeling very remorseful. Gerald was very upset about the girls death as he had known her reasonably well and after all was quite fond of her, She was young, pretty and warm-hearted, and intensely grateful, and She didnt blame me at all. I wish to God she had now. Perhaps Id feel better about it, both show this. But as a whole, compared to the rest of the characters, I think that Gerald is the least to blame. He was the only person who respected her and treated her like a human being; not just as a piece of dirt. In my opinion I think that Eric is one of the most responsible characters for the death of Eva Smith. Eric met Daisy/Eva In the Palace Bar, which apparently is where women of the town drink. Eric was in there having a beer when he met the girl. He insisted to go with her to her lodgings, and they made love. .uf3dee4e3f0414f2035dc5822cc444e73 , .uf3dee4e3f0414f2035dc5822cc444e73 .postImageUrl , .uf3dee4e3f0414f2035dc5822cc444e73 .centered-text-area { min-height: 80px; position: relative; } .uf3dee4e3f0414f2035dc5822cc444e73 , .uf3dee4e3f0414f2035dc5822cc444e73:hover , .uf3dee4e3f0414f2035dc5822cc444e73:visited , .uf3dee4e3f0414f2035dc5822cc444e73:active { border:0!important; } .uf3dee4e3f0414f2035dc5822cc444e73 .clearfix:after { content: ""; display: table; clear: both; } .uf3dee4e3f0414f2035dc5822cc444e73 { display: block; transition: background-color 250ms; webkit-transition: background-color 250ms; width: 100%; opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #95A5A6; } .uf3dee4e3f0414f2035dc5822cc444e73:active , .uf3dee4e3f0414f2035dc5822cc444e73:hover { opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #2C3E50; } .uf3dee4e3f0414f2035dc5822cc444e73 .centered-text-area { width: 100%; position: relative ; } .uf3dee4e3f0414f2035dc5822cc444e73 .ctaText { border-bottom: 0 solid #fff; color: #2980B9; font-size: 16px; font-weight: bold; margin: 0; padding: 0; text-decoration: underline; } .uf3dee4e3f0414f2035dc5822cc444e73 .postTitle { color: #FFFFFF; font-size: 16px; font-weight: 600; margin: 0; padding: 0; width: 100%; } .uf3dee4e3f0414f2035dc5822cc444e73 .ctaButton { background-color: #7F8C8D!important; color: #2980B9; border: none; border-radius: 3px; box-shadow: none; font-size: 14px; font-weight: bold; line-height: 26px; moz-border-radius: 3px; text-align: center; text-decoration: none; text-shadow: none; width: 80px; min-height: 80px; background: url(https://artscolumbia.org/wp-content/plugins/intelly-related-posts/assets/images/simple-arrow.png)no-repeat; position: absolute; right: 0; top: 0; } .uf3dee4e3f0414f2035dc5822cc444e73:hover .ctaButton { background-color: #34495E!important; } .uf3dee4e3f0414f2035dc5822cc444e73 .centered-text { display: table; height: 80px; padding-left : 18px; top: 0; } .uf3dee4e3f0414f2035dc5822cc444e73 .uf3dee4e3f0414f2035dc5822cc444e73-content { display: table-cell; margin: 0; padding: 0; padding-right: 108px; position: relative; vertical-align: middle; width: 100%; } .uf3dee4e3f0414f2035dc5822cc444e73:after { content: ""; display: block; clear: both; } READ: Balcony Scene EssayThey were both very drunk and Eric couldnt even remember her name the next day! They met up every week and eventually Eva/Daisy found out she was pregnant a few weeks later. Eric realized what he had done and so he stole money from his father, Mr. Birling (who found out when Eric confessed to the inspector). He stole the money to give to Daisy/Eva and to support her and the baby, but she refused to take any more, when she found out the money was stolen (I think that Eric may have not acted mature in his ways of getting money, but he panicked and had no other way of getting it fast. This shows his immaturity and the lack of communication between himself and his family). He then left her pregnant with his baby to fend for herself, and he gave her no support whatsoever. I think that this must have been the biggest knock back Eva suffered. Eric doesnt take responsibility for his actions at the start, as he goes off and blames his mother for killing her, you killed her! and then roundabouts the blame slightly back to his father for being a person he cannot talk to, because your not the type of father a chap could go to when he is in trouble. I think that this is just shock at the fact that Eva is dead and so is his baby. Nearer to the end of the play, Eric begins to accept responsibility for what he has done, and shows a whole new mature side to him that shows great reasoning. I think that this new side comes out because he has had time to adjust to what he and the rest of the characters have done, the fact remains that I did what I did. This shows great maturity and hes trying to get the rest of the family to accept responsibility for what part they played no matter how small a part it was. I think that Eric feels a bit of guilt too, more so than his father, but I would say not much than his sister, Sheila Birling. Unlike his father he knows he was in the wrong. It is this fact that makes me feel that he isnt the most responsible for the Eva Smiths suicide. However, his actions were a vital role in her death. He made Eva pregnant at the worst time possible, and it could be said that he raped her; Eva was heavily drunk and Eric might have taken advantage of this and therefore made love to her, leaving her pregnant (after all, it was him who had insisted he should go home with her, and who had threatened to make a row). This alone could have driven Eva to suicide, knowing that she would be raising a child on her own with little money, no home or security. I very much doubt she would have been able to pick herself off her feet at this stage, and cope with her life. Her moral was lower here than at previous stages. This meant that she wouldnt have had a desire or made any effort to pick herself off her feet. Eric plays the last true important role in Eva/Daisys demise, getting her into the condition she could not possibly cope with without help; he took her to the point of no return. However, there were options to assist her. For example, the Brumley Womans Organisation charity was an option. There were ways around this situation. The girl took this into account and so therefore that was why Sybil Birling and the charity was really Eva Smiths last resort. Eva Smith appealed for the Brumley Womans Organisation, which gave money out to women who were in desperate need of it, such as Eva Smith. Sybil Birling was a prominent member of the charity. Eva came to her asking for money because she was carrying Erics baby and had no job and thus no money to support herself. She went to the charity claiming to be Mrs. Birling, as she thought that if she was carrying Erics baby and used the Birling name, she would have a better chance of getting a response and therefore some money. Unfortunately she was shut down because Sybil Birling thought that she was mocking her and so she refused to give her money. She did not believe Evas stories about her husband deserting her etc, and so said that she felt perfectly justified in advising my committee not to allow her claim for assistance. .ub7ef678056475949fc34eaea20d0e55b , .ub7ef678056475949fc34eaea20d0e55b .postImageUrl , .ub7ef678056475949fc34eaea20d0e55b .centered-text-area { min-height: 80px; position: relative; } .ub7ef678056475949fc34eaea20d0e55b , .ub7ef678056475949fc34eaea20d0e55b:hover , .ub7ef678056475949fc34eaea20d0e55b:visited , .ub7ef678056475949fc34eaea20d0e55b:active { border:0!important; } .ub7ef678056475949fc34eaea20d0e55b .clearfix:after { content: ""; display: table; clear: both; } .ub7ef678056475949fc34eaea20d0e55b { display: block; transition: background-color 250ms; webkit-transition: background-color 250ms; width: 100%; opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #95A5A6; } .ub7ef678056475949fc34eaea20d0e55b:active , .ub7ef678056475949fc34eaea20d0e55b:hover { opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #2C3E50; } .ub7ef678056475949fc34eaea20d0e55b .centered-text-area { width: 100%; position: relative ; } .ub7ef678056475949fc34eaea20d0e55b .ctaText { border-bottom: 0 solid #fff; color: #2980B9; font-size: 16px; font-weight: bold; margin: 0; padding: 0; text-decoration: underline; } .ub7ef678056475949fc34eaea20d0e55b .postTitle { color: #FFFFFF; font-size: 16px; font-weight: 600; margin: 0; padding: 0; width: 100%; } .ub7ef678056475949fc34eaea20d0e55b .ctaButton { background-color: #7F8C8D!important; color: #2980B9; border: none; border-radius: 3px; box-shadow: none; font-size: 14px; font-weight: bold; line-height: 26px; moz-border-radius: 3px; text-align: center; text-decoration: none; text-shadow: none; width: 80px; min-height: 80px; background: url(https://artscolumbia.org/wp-content/plugins/intelly-related-posts/assets/images/simple-arrow.png)no-repeat; position: absolute; right: 0; top: 0; } .ub7ef678056475949fc34eaea20d0e55b:hover .ctaButton { background-color: #34495E!important; } .ub7ef678056475949fc34eaea20d0e55b .centered-text { display: table; height: 80px; padding-left : 18px; top: 0; } .ub7ef678056475949fc34eaea20d0e55b .ub7ef678056475949fc34eaea20d0e55b-content { display: table-cell; margin: 0; padding: 0; padding-right: 108px; position: relative; vertical-align: middle; width: 100%; } .ub7ef678056475949fc34eaea20d0e55b:after { content: ""; display: block; clear: both; } READ: Drama piece Essay She was also astonished that such a girl could have applied for help using the name Mrs.Birling, scruples that were simply absurd in a girl of her position, which means that those less off should have no rights. This shows that Mrs. Birling is very anti-lower-class. Mrs. Birling continued to pass the blame, First, the girl herself. Secondly, I blame the young man who was the father of child she was going to have. Indeed later on she did find out that the young man happened to be her son, Eric. Mrs Birling was prejudiced against her case, because Eva Smith used the name of Mrs. Birling. Knowing the facts about Eric we now know this was justified usage of the Birling name. As far as responsibility goes, I would say that Mrs Birling was another one of the major characters responsible for Evas suicide, although she did not accept it for any of her actions. She, like her husband, did not admit that she was in the wrong, though we all know that she was clearly. She also believes that she was within her right to refuse Eva the money. She thought that she was totally right in her decision even now, with the knowledge she has, Im very sorry, but I think she only has herself to blame, and I did nothing I am ashamed of or that wont bear investigation, both show this. I think that this is a good piece of evidence to support the idea of no responsibility being taken. I think that Mr and Mrs Birling share the same prejudice ideas and almost self-belief that they are never in the wrong. I think that the last piece of evidence also supports the idea that Mrs Birling has no guilt about Evas death and her part in it. As far as blame goes, Mrs Birling played a major part in the suicide of Eva Smith. She knocked her back when she had no money, was pregnant, had no boyfriend, husband, family or even friends that could help, and when her life was basically nothing. She knocked Eva back through not fault of her own. Mrs Birling was, as it were, the sole sentence to death, and by removing Evas rights based on prejudices, Mrs Birling left Eva only one way out. This was more than which Eva could take, and it was after this that Eva committed suicide. In conclusion, my opinion is that, although all the characters were to blame for the death of Eva Smith, Eric Birling was the most responsible. The other characters incidents were all uncalled for and was just them being either frustrated or prejudice towards Eva because, for example, of her working class background. However, Eric was not prejudice towards Eva/Daisy, and he was not really frustrated either. He simply treated the poor girl as if she wasnt human. He made love to her and then tried to pay her off when he realised she was in fact pregnant. After the girl broke away from him, she was left completely on the edge with nothing except the burden of an unborn baby. If Eric had not stolen the money that he gave to her, and got drunk and slept with her, she would not have had to leave him as she would not have got pregnant with no money and without a place live. Eric did however feel remorse for his actions but it seems to me though, that part of his display of emotions was to manoeuvre himself out of trouble with his parents. Since she had absolutely nothing after the relationship with Eric, except an unwanted unborn child, I think that this was the situation that drove her to the point to commit suicide by drinking the disinfectant. We mustnt, however, confuse blame with responsibility. All of the characters were partly responsible; some to a more deeper extent than others. But all the characters were equally to blame, as it was not just down to one person, just as the Inspector makes it clear at the end of the play, But each of you helped to kill her. Remember that, never forget it. The end of the play Essay Example For Students The end of the play Essay In this essay I am going to discuss the role played by Inspector Goole in the play An Inspector calls. In the play the inspectors takes many roles these include the catalyst, the social conscience of the other characters featured in the play, and the ghost which only comes into the play at the end of the play. The Inspector plays a crucial part in the play; he brings out the characters secrets and shows them for whom they really are. The Inspector plays the main role in the play, as without him the revelations of all characters would not come out. We will write a custom essay on The end of the play specifically for you for only $16.38 $13.9/page Order now Before the inspector arrives the Birling family are celebrating the engagement of Sheila Birling and Gerald Croft over dinner. Mr Birling, and Gerald are having a conversation about politics during. This being 1912 the women leave the table (Mrs Birling and Sheila), as it is not there place to talk about politics. During the conversation topics such as talk of a world war, the titanic setting sail and the suffragettes. During this conversation Mr Birling lets his views about these be known and as this play is not written until 1946 the audience already know what happened about a world war and the titanic. Mr Birlings personalities in this part of the play are for the first time shown and his. The writer makes sure that his personality comes across very poignantly. This part of the play tells us a lot of things such as the time the play is set in and womens standings compared to men. It shows how Birling feels about other people and his viewpoint on political subjects and the enhancement of technology. Priestly (the writer) is reminding the audience that the play is set in 1912. Then the inspector arrives and the atmosphere changes almost immediately. When the inspector first enters the room he plays the part of the catalyst. This is almost immediately shown by the reaction of Eric who before the inspector arrives is very relaxed and is drinking and making conversation, when he hears that an inspector is at the door he becomes uneasy, as quoted in the stage directions and becomes worried and he becomes very serious, well, I dont think its very funny, he says to Gerald after he made a comment. The stage directions say that the Inspector should create an impression of massiveness. This shows that the inspector is meant to cause a feeling unease and unrest within the over characters. After the catalyst inspector comes the spirit inspector. In this character the inspector gives the impression he is not human, you can see this through parts of his speech and his style of questioning, another why of viewing him as a spirit is the how his entrance has a massive impact on the atmosphere in the room and the effect it has on the other characters. The fact that the Inspector knows so much about the relationships between the family and Eva Smith gives out a sign of him being a spirit. The Inspector also knows a lot about how Eva Smith feels even though he apparently didnt know her, in parts of his speech he talks as if he knows her e.g. No. She wanted to end her life. She felt she couldnt go on any longer. The inspector could also be an impostor that is trying to set up the Birlings and Gerald The play gives an idea that the Inspector is a fraud by the way he questions them. He questions them one by one instead of them all at once, and he also only reveals the picture one at a time to each character, this could mean that he already knows what they are going to say and does not want them to lie during the future interview he will have with them. First he reveals the picture of Eva Smith to Mr Birling and tells him he once employed her. He is honest about the fact he employed her, but the Inspector always seems to be one step ahead of Mr Birling and all the other characters. .uaf6d71406ebe9cc7b2f2cebc13c4bcbc , .uaf6d71406ebe9cc7b2f2cebc13c4bcbc .postImageUrl , .uaf6d71406ebe9cc7b2f2cebc13c4bcbc .centered-text-area { min-height: 80px; position: relative; } .uaf6d71406ebe9cc7b2f2cebc13c4bcbc , .uaf6d71406ebe9cc7b2f2cebc13c4bcbc:hover , .uaf6d71406ebe9cc7b2f2cebc13c4bcbc:visited , .uaf6d71406ebe9cc7b2f2cebc13c4bcbc:active { border:0!important; } .uaf6d71406ebe9cc7b2f2cebc13c4bcbc .clearfix:after { content: ""; display: table; clear: both; } .uaf6d71406ebe9cc7b2f2cebc13c4bcbc { display: block; transition: background-color 250ms; webkit-transition: background-color 250ms; width: 100%; opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #95A5A6; } .uaf6d71406ebe9cc7b2f2cebc13c4bcbc:active , .uaf6d71406ebe9cc7b2f2cebc13c4bcbc:hover { opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #2C3E50; } .uaf6d71406ebe9cc7b2f2cebc13c4bcbc .centered-text-area { width: 100%; position: relative ; } .uaf6d71406ebe9cc7b2f2cebc13c4bcbc .ctaText { border-bottom: 0 solid #fff; color: #2980B9; font-size: 16px; font-weight: bold; margin: 0; padding: 0; text-decoration: underline; } .uaf6d71406ebe9cc7b2f2cebc13c4bcbc .postTitle { color: #FFFFFF; font-size: 16px; font-weight: 600; margin: 0; padding: 0; width: 100%; } .uaf6d71406ebe9cc7b2f2cebc13c4bcbc .ctaButton { background-color: #7F8C8D!important; color: #2980B9; border: none; border-radius: 3px; box-shadow: none; font-size: 14px; font-weight: bold; line-height: 26px; moz-border-radius: 3px; text-align: center; text-decoration: none; text-shadow: none; width: 80px; min-height: 80px; background: url(https://artscolumbia.org/wp-content/plugins/intelly-related-posts/assets/images/simple-arrow.png)no-repeat; position: absolute; right: 0; top: 0; } .uaf6d71406ebe9cc7b2f2cebc13c4bcbc:hover .ctaButton { background-color: #34495E!important; } .uaf6d71406ebe9cc7b2f2cebc13c4bcbc .centered-text { display: table; height: 80px; padding-left : 18px; top: 0; } .uaf6d71406ebe9cc7b2f2cebc13c4bcbc .uaf6d71406ebe9cc7b2f2cebc13c4bcbc-content { display: table-cell; margin: 0; padding: 0; padding-right: 108px; position: relative; vertical-align: middle; width: 100%; } .uaf6d71406ebe9cc7b2f2cebc13c4bcbc:after { content: ""; display: block; clear: both; } READ: Poetry Pr EssayThe Inspector always manages to get the secrets and revelations out of the family and Gerald. This seems strange, as he knows all about the family this implies he is not a real inspector. The ending of the play is a practically proof that the inspector as the Birlings begin to suspect something and Mr Birling finds out there isnt an inspector Goole on the force and then the Birlings get the phone call that tells them that a young women has killed herself and an inspector is on their way round to question them about it, This pretty much shows he is a ghost or even fraud, But the ending makes it clear that the whole inspection has been a hoax and not real. The ending leaves the audience guess what the inspector really is it is a cliffhanger. The Inspector finally plays the part of a social conscience for the family he gives them hints of how they should think and makes them regret how they acted he uses this on Sheila especially he quotes, think about the consequences of your actions he does this with most of the family and acts as a conscience for them. This gives more of an impression of him being a ghost, because he knows how to make the family regret what they did. The Inspector manages to break up the Birlings and Gerald altogether. He leaves the play with the family almost hating one another and arguing. It is as if he went there on behalf of Eva Smith to get payback for the way they treated her. The family look to be destroyed by the end of the play. Priestly has put a message across through the play that is to be responsible for your actions, as you will have to face the consequences. I personally believe the inspector is a spirit that has come to destroy the Birlings life and family on behalf of Eva Smith, and he does so successfully.