Marketing and Management Purchasing - Supply Chain Management

Question: Discuss about the Marketing and Management for Purchasing, Supply Chain Management. Answer: Introduction The study consists of branding and marketing strategy of an assisted living facilities company of New Jersey. The company chosen for formulating the strategies of marketing is Union Family First. The sector is developing recently in United States along with different parts of the world. The company is focused on providing facilities to the elderly people along with providing safety and health standards. Many theories and models would be described in the study by elaborating branding, positioning, marketing and consumer behavior strategies. Marketers are always focusing on innovation that would help the company to make stand apart from the competitors present in the market. Marketing communication channels are implemented for Union Family First while promoting the brand in the market. It also includes the mission statement of the company aligned with the marketing strategy formulated for the enterprise. Consumer behavior is a vital factor that businesses focus nowadays for catering ta rget customers with specific products. The main aim is to attract more customers towards the products of the enterprise. Marketing of Union Family First is important because it is a new business in the market and people must know about the enterprise i.e. increased brand awareness. Branding Strategy Multiproduct branding strategy is the best strategy Union Family First should adapt to increase the brand awareness in the market. In this strategy, the company will use its brand name in its products. The strategy of brand building is also known as umbrella branding, corporate branding and family branding. There are many advantages of using this strategy to build brand by the company (Kapferer, 2012). The strategy can capitalize on the companys brand equity. If customers gain positive experience about the products of the brand, then he will pass positive feedback for the other products of the company. As the name of the different products serving by the company include companys name in the brand, other products and services will enjoy the advantage. The company is new in the market. Hence, the branding strategy of Union Family First will be unique so that customers get attracted by the name and facilities provided by the company (Aaker Joachimsthaler, 2012). The process of branding will include brand logo, slogan for the brand along with brand extension. However, the concept of brand extension is possible only when Union Families First will able to uphold a strong brand image in the market. Brand extension is defined as the employment of the existing brand name to a new category of product. The slogan of the brand is Happiness for life. in this case, special care to patients suffering from Dementia and Alzheimer. The company must follow few components for building a comprehensive strategy. They are purpose, emotion, consistency, employee involvement, flexibility, loyalty and competitive awareness. Brands should be promising in nature. A defining purpose of the company can differentiate it from its competitors in the marketplace. It will define the brand positioning in the market. Union Family First can use intentional purpose in brand building that includes motivation of making money along with doing well to the community (Braun et al., 2013). After setting the purpose the brand logo, slogan is commenced which will be used to implement in the next steps of branding strategy. The company should maintain a consistency that will communicate the message of the brand to the target customers. Emotion of the consumers is a vital thing of consideration for brand building. Customers should be included in the strategy for making strong image of the brand. In the competitive business world, brand must b e flexible in nature to adapt changes in the market (Gummerus et al., 2012). Apart from that, Union Family First should incorporate loyalty, competitive awareness in implementing the multiproduct branding strategy along with brand extension for building successful image in the market. Marketing Strategy Union Family First can use integrated marketing communication mix for promoting the brand in the market. In United States, many companies are into this business. The company must differentiate its facilities from its competitors to gain attention from potential customers in the market. The target customers of the company include senior citizens along with family persons. Marketing communication of the company include sales promotions, advertising, public relations, direct marketing and personal selling (Tukej et al., 2013). Union Family First can advertise their brand in the local television channel of New Jersey along with radio broadcasting, print ads, billboards, web pages, motion pictures, etc. Display ads are very important in terms of increasing brand value and brand awareness in the market. The billboards of the facilities should present in prime locations of New Jersey so that people can get idea about the new upcoming brand in the market. The content of the advertisement sho uld be innovative and clutter breaking (Armstrong et al., 2012). Personal selling includes sales people to meet potential people and convert them into customers via sales presentation, sales meeting, telemarketing, etc. The sales people of the company should be trained in a way so that they can convince elderly people to avail the exclusive service provided by the company. The company can take part in exhibitions, trade shows, trade-ins for forecasting their brand in public. Direct marketing technique of Union Family First consists of promotional letters, online display ad, online display ads, social media marketing, etc. The company must have to develop a website that should be user-friendly and must contain all the required information a viewer search for an assisted living facility (Rothaermel, 2015). A professional high quality video must be uploaded on YouTube. In this way, the marketers of Union Family First can increase customer engagement. The company must register itself in Google My Business and Google Local in search engine optimization. Union Family First can sponsor many cultural events in the community for branding and marketing of the new company (Barney, 2012). A timetable is provided for the marketing strategy adopted by the firm for checking the time required and budget involved in the commercialization strategies of Union Family First. Outline Number Task Name Duration Start Finish Predecessors 1 Marketing strategy of Union Family First 105 days Wed 8/17/16 Tue 1/10/17 1.1 Billboard advertisement 15 days Wed 8/17/16 Tue 9/6/16 1.2 Promoting on social networking sites 10 days Wed 9/7/16 Tue 9/20/16 2 1.3 Advertising on media channels and press 10 days Wed 9/21/16 Tue 10/4/16 3 1.4 Hiring search engines web sites for search optimization of company's websites 1 month Wed 10/5/16 Tue 11/1/16 4 1.5 Brand awareness by participating in trade shows and social campaigns 15 days Wed 11/2/16 Tue 11/22/16 5 1.6 Promotion of services through sales representatives 1 month Wed 11/23/16 Tue 12/20/16 6 1.7 Advertising through pamphlets on local shops 15 days Wed 12/21/16 Tue 1/10/17 7 Table 1: Marketing Strategy of Union Family First (Source: Created by author) Positioning Statement There are many assisted living facilities in New Jersey. The companies in this sector already occupy dominant position in the market. Every company specializes in particular factors that attract new clients to their enterprise. Positioning is very important for starting a new business in this sector. The primary target market for Union Family First is the people between the age group of 45 to 55 years (Kozlenkova et l., 2014). They are the people who will choose facilities for their parents. However, secondary target market of the enterprise is the elderly people. Many old people are alone and search suitable complexes for themselves in their old age. The company promotes the product in the market by conducting extensive market research so that it can satisfy the demands of the customer (Morgan, 2012). Market research will help Union Family First to know about competitors as well as latent needs of the prospective clients. The assisted living facilities companies in New Jersey are Pe ggys House (PH), Residence at Forsgate (RF), Sunrise of Basking Ridge (SBR), Merion Garden Assisted Living (MGAL), Granville House (GH), Juniper Village (JV), Reflections, Presbyterian Home (PH), Sunrise of Edgewater (SE), etc. A perceptual map is developed for union families first for developing marketing positioning strategy of the company in the market. The map will help the enterprise to understand about its position in the market (Sirianni et al., 2013). Development of perceptual map by Union Family First helps the marketer to frame a positioning strategy along with a positioning statement. The perceptual map is drawn in the following regarding affordability and quality of the assisted living facilities of Union Family First (Fuchs Diamantopoulos, 2012). Figure: Perceptual Map of Union Family First (UFF) (Source: Author) According to the perceptual map of Union Families First, the company will position itself as budgetary living with high quality of service provided to the elderly people. As it is a new business in the market, the price should be kept quiet at the beginning for attracting customers. The positioning statement of Union Family First is Assisted living homes at affordable prices with high-class service provided to the customers. Consumer Behavior Consumer behavior is a vital aspect that companies must focus for developing new products as well as formulating marketing plans according to the nature of the customers. The company is based on New Jersey. Union Family First can use theories of consumer behaviour for determining the buying behaviour, purchasing decision, influence of people on shoppers, and nature of buyers in the market (Ridder et al., 2014). The business of assisted living facilities is itself a niche category of business. Black Box model is used for identifying the behaviour of the customers in the market. It is a theory of behaviorism that will help the company in determining the decision-making process of the buyers along with their characteristics. The theory considers rational decision-making process of customers in the market (Schiffman et al., 2013). However, consumer behavior is important in formulating the positioning strategy, marketing strategy and branding strategy of the company. The company collects a lot of information by implementing the model in real life scenario. The target customers must belong to middle class and upper class of the society. The lifestyle of the people should be healthy. The target customers especially the family person must be working in higher position in organizations (Kacen et al., 2013). It is clear that the people are knowledgeable enough to decide their preferred companies for availing services for their nearest people. Another significant advantage of the model is recognizing problem. If the Union Family First provides effective solutions to the problem raised in the minds of the customers, then the company will definitely convince the customers (Venkatesh et al., 2013). Based on the consumer behaviour, the branding strategy, marketing strategy and the positioning statement of Union Family First are right in terms of identifying target markets. The marketing plan is perfectly aligned to the consumer behaviour. Every strategies of the company are targeted towards the nature of customers so that the brand earns recognition and reputation from the market. Mission statement of the company The mission statement of Union Families First is to create a nurturing, exceptional and supportive environment to the elderly people with newly designed beautiful homes. Union Family First is a company based on New Jersey in the sector of assisted living facilities. The company is focused to serve elderly people along with providing extra healthcare facilities. The headquarter of the company will be located at Cape May area of New Jersey. Union Family First focuses on delivering exceptional flats with modern amenities. Extra care should be provided to older people along with different types of healthcare facilities within the residential complexes. The company owns its licensed physicians and physical therapist to provide emergency support to the elderly patients. The people who will reside in the residential complexes of Union Family First will feel difference provided by the company. The staffs that are in charge of the flats or living facilities are well trained and are known for providing excellent customer service. The executives of the company are constantly focused in building trust and good rapport with the existing customers. The living faci lities of Union Family First are built in areas that are located in the outskirts of main city of New Jersey. Conclusion The study explains various framework of marketing and consumer behaviour that enhance the company to build a strong image in the assisted living facility market. The market is developed in United States. The accommodation for the elderly people is a booming industry in United States. The company has sufficient scope to expand its business in the New Jersey area by formulating effective marketing strategy. Elderly care in an assisted living facilities company is a sensitive issue that targets senior people and their families. A sense of care and trust should be build among the clients of the company. Fostering trust is a vital aspect that can actually enhance the company to gain confidence of more customers in the market. Apart from that, word of mouth is an important aspect that can create a significant impact in the marketing of the company. Theories of marketing framework, maintaining referral network, consumer behaviour are implemented in the study for commencing the marketing pla n of Union Family First. The study also includes mission statement of the company that incorporates objectives of the company in the marketplace. However, implementing this marketing plan, Union Family First will definitely achieve the goals of marketing along with organizational goals. Reference List Aaker, D. A., Joachimsthaler, E. (2012).Brand leadership. Simon and Schuster. Armstrong, G., Kotler, P., Harker, M., Brennan, R. (2012).Marketing: an introduction. Pearson Prentice-Hall, London. Barney, J. B. (2012). Purchasing, supply chain management and sustained competitive advantage: The relevance of resource based theory.Journal of Supply Chain Management,48(2), 3-6. Braun, E., Kavaratzis, M., Zenker, S. (2013). My city-my brand: the different roles of residents in place branding.Journal of Place Management and Development,6(1), 18-28. Fuchs, C., Diamantopoulos, A. (2012). Customer Perceived Positioning Effectiveness: Conceptualization, Operationalization, and Implications for New Product Managers.Journal of Product Innovation Management,29(2), 229-244. Gummerus, J., Liljander, V., Weman, E., Pihlstrm, M. (2012). Customer engagement in a Facebook brand community.Management Research Review,35(9), 857-877. Kacen, J. J., Hess, J. D., Chiang, W. Y. K. (2013). Bricks or clicks? Consumer attitudes toward traditional stores and online stores.Global Economics and Management Review,18(1), 12-21. Kapferer, J. N. (2012).The new strategic brand management: Advanced insights and strategic thinking. Kogan page publishers. Kozlenkova, I. V., Samaha, S. A., Palmatier, R. W. (2014). Resource-based theory in marketing.Journal of the Academy of Marketing Science,42(1), 1-21. Morgan, N. A. (2012). Marketing and business performance.Journal of the Academy of Marketing Science,40(1), 102-119. Ridder, H. G., Hoon, C., McCandless Baluch, A. (2014). Entering a dialogue: Positioning case study findings towards theory.British Journal of Management,25(2), 373-387. Rothaermel, F. T. (2015).Strategic management. McGraw-Hill. Schiffman, L., O'Cass, A., Paladino, A., Carlson, J. (2013).Consumer behaviour. Pearson Higher Education AU. Sirianni, N. J., Bitner, M. J., Brown, S. W., Mandel, N. (2013). Branded service encounters: Strategically aligning employee behavior with the brand positioning.Journal of Marketing,77(6), 108-123. Tukej, U., Golob, U., Podnar, K. (2013). The role of consumerbrand identification in building brand relationships.Journal of business research,66(1), 53-59. Venkatesh, V., Thong, J. Y., Xu, X. (2012). Consumer acceptance and use of information technology: extending the unified theory of acceptance and use of technology.MIS quarterly,36(1), 157-178.

Understanding How an APUSH DBQ Sample Works

Understanding How an APUSH DBQ Sample WorksThe Apush DBQ sample essay service is a new business to many business schools. Students who have completed Business Law, Accounting, or Finance courses find that they enjoy the course's a great deal but do not like having to take multiple exams. If you wish to reduce your burden, consider completing some APUSH DBQ samples. There are some quick tips for getting the most out of your APUSH DBQ services.One of the biggest advantages of APUSH DBQ is that it will help you understand what differentiates a truly good essay from a mediocre one. It also gives you a general idea of what you should expect in each essay type. However, when working with a blank piece of paper, or another blank sheet of paper, it can be difficult to give any specific direction or instruction.The process of taking a DBQ, then submitting it, and then waiting several weeks for a decision is a frustrating one for many students. One of the best tips for helping you to better un derstand how this process works is to start a business on your own. Start an Internet based business that allows you to operate an online business. After the basic set up has been completed, create a simple to-do list with the key areas of focus.You will have to select certain times of the year to run the business. Determine how much you will need to charge per sale. Then, make a choice of the types of business you want to do. A business that requires more detailed manual work will require you to spend less time on it, while a short-term consulting business will require more time than a long-term consulting business.One of the benefits of doing an APUSH DBQ sample is that you can research the products and services that are available to you and the people you sell them to. This will allow you to get a feel for how the sales and marketing process will work. Your goal, at this point, is to determine if your customers will purchase the product or service from you.It is difficult to revi ew a sample of a DBQ and understand it if you are not familiar with the material. This will take some research on your part. In addition, it can take some time to read the material and understand it thoroughly, so if you are working with a blank sheet of paper, or a different blank piece of paper, then your APUSH DBQ services may not be as effective as they could be.Finally, if you are doing a DBQ for a company that charges by the hour, then you will have to assess your time. Many things have to be taken into consideration. You will need to budget in time that you will use during the day for reviewing the material, and you will need to budget in time that you will need to devote to proofreading the material.

Gothic Cathedrals Essays - Church Architecture, Architecture

Gothic Cathedrals tracery - In architecture, branching, ornamental stonework, generally in a window, where it supports the glass. Tracery is particularly characteristic of Gothic architecture. Example: The tracery in a rose window of Washington Cathedral, Washington, DC. This graphic displays four different photos-- they amount to a zoom into the tracery. Also see fenestration, foil, quatrefoil, and stained glass. rose window - Large circular windows of tracery and stained glass found in Gothic cathedrals. Also called a wheel window. Examples: transept - An aisle between the apse and nave. It cuts across the nave and side aisles to form a cross-shaped floor plan. Also see architecture, cathedral, and Gothic. nave - The major, central part of a church where the congregation gathers. It leads from the main entrance to the altar and choir, and is usually flanked by side aisles. An example: A photo of the nave of the cathedral of Notre Dame in Paris, France, as seen upon entering it from the narthex, and looking toward the altar. The ceiling's vaults are visible above. Light is entering the nave through stained glass windows. Also see column and pier. aisle - A long, narrow space on either side of the nave of a church, usually between a row of columns or piers and the outer wall. It is often referred to as a side aisle. choir - The part of a church where services are sung. It is usually east of the transept, and within the chancel, but may extend into the nave. chancel - The part of a church reserved for clergy and containing the altar and the choir. ltarpiece or altar-piece - A piece of artwork which is placed above and either on or behind an altar in a Christian church or other religious platform. Usually it is a votive painting, a set of painted and/or carved panels (often a triptych), or a decorative screen.

Steps In Purchasing A Mobile Home Essay Example

Steps In Purchasing A Mobile Home Essay Example Steps In Purchasing A Mobile Home Essay Steps In Purchasing A Mobile Home Essay Steps In Purchasing A Mobile Home There are a variety of steps involved in purchasing land and a mobile home. From clearing land to landscaping requires many hours of hard work. You will be faced with obstacles and financial situations that you will have to over come in order to make a house a home. The first step in buying a home is to decide where to live; most mobile home dealers only sell the mobile homes. It is normally up to the buyer to find their own land. Once the land is located, it is time to arrange for a construction loan to pay for all the necessary additional expenses. It is not just buying the home, but all the other steps that are such a hassle. This is where hard work is involved. First find a home that is suitable for your needs. It is the buyer?s decision how to finance the mobile home. The buyer has several options. They can self finance the expenses or rely on another company to take care of securing financing. In approximately thirty days the financer can get the loan approved and closed. The next step is preparing the land. Once the buyer decides on their home, land, mobile, water, needs, feet, three, placed, should, septic, once, hundred, cost, additional, work, trim, tank, system, step, runners, ready, perk, next, installed, driveway, concrete, buyer, been, twelve, skirted, out, make, lines, involved, inches

Networking is the most important skill a new manager needs to develop Essay

Networking is the most important skill a new manager needs to develop if they are to be successful in their sector - Essay Example Today in fact every business faces fast changes and new opportunities constantly. That requires from managers to keep trace on the recent developments in terms of products, customers, employees, and so on, and that makes one of the most critical managerial skill to be networking (Pfeffer, J. 2009). Every successful manager has a priori several traits, which help him to network. He or she can certainly do well such things as: talk, listen and hear, remember names of people, keep in mind the news related to the company’s products, industry news, staff changes, etc. Such a manager knows his or her colleagues good, has good relations with them, knows what is going on in the organization and outside. All that gives additional advantages, for example, to apply for a position, which have just become vacant, or to get involved in an interesting project, about which not many people know, etc. Such a manager values his or her connections, tries to keep and develop them. He or she never burns bridges, for example when leaves some place in a bad situation, he or she will try his or her best to save good relations with people, because there is a very big chance to meet them in life later, may be in other roles. Networking assumes the ability to speak good. In order to develop speaking skills a person needs to practice them. Toastmasters’ clubs exist to become a great speaker and to find new acquaintances. In order to find new acquaintances a person needs to have deep knowledge in at least several general topics to be able to talk about, say football, music, and politics. In this case there is a very big probability that a person will be able to keep communication with somebody whom he or she sees the first time in life. Knowing other cultures and other languages increases the networking opportunities greatly. In case you know a foreign language you may

Falls Prevention in Australia Essay Example | Topics and Well Written Essays - 3250 words

Falls Prevention in Australia - Essay Example Unintentional falls are common risks mostly among elderly individuals who may experience non-fatal injuries from these falls. Fall-related injuries are common among these older adults, hip fractures being one of them. Mortality rates in relation to falls are also high in this age group, and death is even a major possibility among those 85 years and above (Currie, 2007). This is also the case in Australia where the common sufferers of falls belong to the above 65 age group (Department of Health and Ageing, 2012). Fall-related injuries mostly include hip fractures and wrist fractures. Some patients have also been known to suffer head injuries from their falls. The older the patient, the risk of death is also higher, especially among the above 85 years old age group (Department of Health and Ageing, 2012). The cost and health impact of these falls are also significant, sometimes leading to other health problems and issues (Currie, 2007). For the elderly individuals, the recovery period from their falls is usually longer. Due to prolonged healing, they may also develop pressure ulcers which can further delay the healing process (Currie, 2007). Falls management cost the government millions of dollars, with costs amounting to 170 million dollars for fall-related injuries. Moreover, the risk of re-injury or future falls is also an ever-persistent risk for patients (Currie, 2007). In effect, falls are a significant public health issue which needs to be addressed by health authorities. Throughout the years, various studies have been undertaken on the problem of falls and related injuries, including interventions to prevent and manage their occurrence. This study seeks to evaluate the clinical question: How significant is lighting in the prevention of falls among the elderly? This study shall first evaluate the literature on falls prevention, critically evaluating such literature and assessing their formal and structural validity and reliability. This review shall also d iscuss the search strategy applied in order to establish studies to be reviewed. Then, it will identify the critical assessment tool to be used to evaluate the data. A critical review of the validity of the study findings will also be discussed. Potential barriers and facilitators to the implementation and/or maintenance of the strategy shall then follow. This paper shall end with a conclusion which is based on the quality of the studies and relevance of the findings. Body There were six studies retrieved for this study, and most of them were quantitative studies. Five of the studies had a prospective experimental design. One study had a correlational design. All of the studies were quantitative studies, in other words, they are an empirical assessment of phenomena using numerical and statistical analysis and frameworks (Bruce, Pope, and Sanistreet, 2008). Five of the studies were prospective studies as they were carried out on respondents who would be recruited and who were to be s ubjected to various procedures and processes. Experimental studies are those which evaluate cause and effect relations among respondents which are studied under controlled settings (Bruce, et.al., 2008).

Hiv Aids Situation In South Africa

Hiv Aids Situation In South Africa The HIV/AIDS epidemic has had a devastating effect on the South African population. The Human Immunodeficiency Virus (HIV) is first transmitted through bodily fluid contact à ¯Ã‚ ¿Ã‚ ½ usually through blood, semen, vaginal fluid, pre-ejaculate and/or breast milk (Centre for Disease Control and Prevention 1999). Ultimately, HIV advances to Acquired Immunodeficiency Syndrome (AIDS) where the condition markedly attacks the immune system by increasing the risk of a variety of infections caused by bacteria, parasites and viruses (Centre for Disease Control and Prevention 1999). Typically, the development of AIDS from HIV takes approximately five to eight years, but can be postponed with the aid of anti-retroviral drugs (Centre for Disease Control and Prevention 1999). It can be noted that the disease affects individuals at the prime of their lifetimes. Sexually active men and women, as well as young children are affected most by this illness because HIV is transmitted through events such as unsafe sex, contaminated needles and/or transmission from a mother to her newborn during birth (Centre for Disease Control and Prevention 1999). The concurrent nature of this disease makes it a greater threat to economic growth in South Africa à ¯Ã‚ ¿Ã‚ ½ once one partner contracts it, the other partner does too. An individual is most susceptible to acquiring the disease from their sexual partner if that partner was infected less than a year prior. Clearly then, the disease is affecting the most economically active proportion of the South African population. It is estimated that 5.7 million people or about 12% of their population is affected by HIV/AIDS (United Nations Programme on HIV/AIDS 2008). When examining the HIV prevalence rate for the labor force (ages 15-49), the rate increases to 18% (Figure 1) (United Nations Programme on HIV/AIDS 2008) (United Nations Statistics Division 2009). The disease is far more prevalent among females between the ages of twenty- five and twenty-nine à ¯Ã‚ ¿Ã‚ ½ at a prevalence rate of 32.7%; for males the age range is between thirty and thirty-nine and the prevalence is only about 25.8% (Figure 2) (United Nations Programme on HIV/AIDS 2008). The impact of the epidemic can be seen most profoundly by the dramatic change in South Africaà ¯Ã‚ ¿Ã‚ ½s mortality rates. The overall number of annual deaths increased sharply from 1997, when about 316, 559 individuals died to about 607, 184 deaths in 2006 (Figure 3) (Statistics South Africa 2008). Obviously, the rise cannot necessarily be attributed solely to HIV/AIDS, but what is essential here is that young adults are shouldering the burden of this increased mortality rate (Figure 4). In 2006, 41% of deaths were associated with twenty-five to twenty-nine year olds; in 1997 this percentage was about 29% (Statistics South Africa 2008). This is a significant marker in concluding that AIDS is a major factor in the overall rising number of deaths. Clearly then, it is not uncommon for one or more parents to die when their children are young. The number of premature deaths has risen considerably: 39% in 1997 to 75% in 2009 (Harrison 2009). This indicates that 80% of the sample population would lose more than half their per capita income with the death of the highest income earner (Harrison 2009). Thus, the HIV/AIDS epidemic that started in South Africa in the 1980à ¯Ã‚ ¿Ã‚ ½s has had a negative impact on the health status as well as the economic development of individuals and households. ECONOMY OF SOUTH AFRICA In South Africa it can be said that their income has increased simply by examining their Gross Domestic Product (GDP) over the last thirty years (Figure 5). As can be noted, GDP has steadily increased over the last twenty years (World Bank 2010). South Africa is a country that perhaps has the best operational and entrepreneurial environment in Africa à ¯Ã‚ ¿Ã‚ ½ it is considered to also have one of the most politically stabile climates in the Sub-Saharan African region. Moreover, it has a very advanced financial system à ¯Ã‚ ¿Ã‚ ½ the South African stock exchange ranks among the worldà ¯Ã‚ ¿Ã‚ ½s top ten largest exchanges. 1948 marked the beginning of the Apartheid; the economy had been divided into two à ¯Ã‚ ¿Ã‚ ½ a privileged white sector an impoverished black one. The policy was heavily criticized and many sanctions were placed against South Africa in the 1980s. It was at the end of this period, when GDP as well as HIV/AIDS began to rise. Examining trade specifically, it is noted that South Africa is the worldà ¯Ã‚ ¿Ã‚ ½s largest producer and exporter of platinum and gold as well as of base metals and coal. It is the worldà ¯Ã‚ ¿Ã‚ ½s fourth largest producer of diamonds. Agriculture only accounts for about 3.4% of GDP, whereas services account for roughly 65.1%. South Africaà ¯Ã‚ ¿Ã‚ ½s other main industries are mining, automobile assembly, metalworking, machinery, textiles, iron and steel, chemicals, and foodstuffs. Their exports account for roughly 30% of their GDP. South Africaà ¯Ã‚ ¿Ã‚ ½s major trading partners include the United Kingdom, the United States, Germany, Italy, Belgium, China and Japan. South Africaà ¯Ã‚ ¿Ã‚ ½s integration into the global economy became very apparent in the 1990à ¯Ã‚ ¿Ã‚ ½s, especially after the implementation of rapid tariff liberalization after 1995, the export orientation of industrial policy and fiscal restraint through its macro-economic policy, the Growth, Redistribution and Employment Strategy (GEAR) in 1996. What has become clear through my research is that integration of South Africa into the global economy has brought about economic stability for the nation but it has not translated into sustainable economic growth or a reduction in income disparities. High unemployment rates dominate which leaves those from disadvantaged households largely marginalized. Moreover, their volatile domestic currency has created much instability in the export market. This generalized story of the South African economy has been provided to show that the country has enjoyed increased wealth over the last 15 or so years, some of which can be attributed to globalization. Trade activity, specifically exports is only one component of this sort of globalization. NATURE OF CURRENT RESEARCH In the discourse of health, economic activity, specifically trade activity is rarely spoken to. Economists have not yet opened dialogue on this sort of topic à ¯Ã‚ ¿Ã‚ ½ this is clear in the modest amount of literature available on the subject. Relationships have been estimated between economic activity and the incidence of HIV in Africa. A noteworthy association comes from Emily Oster à ¯Ã‚ ¿Ã‚ ½ she suggests that a doubling of exports leads to a doubling of infections (Oster 2009). Using national trade openness as a proxy for traffic flows, evidence suggest that trade is a significant and positive predictor of HIV-infection (Clark and Vencatachellum 2003). It is estimated that 25% of epidemics spread via trade (Voigtlander and Voth 2009). This implies that the flow of people resulting from trade might increase the risk of infection. Further, much research has indicated that countries with higher road densities have had stronger relationships between exports and new infections (Oster 2009). This has been proposed to be the mechanism by which exports could affect HIV infections. The assumption here is that more exports means more production, therefore more trucking is necessary to relocate goods (Oster 2009). Fundamentally, it is the movement of people which is the underlying effect. Another major assumption that is made in some of the research is that migrant workers (ex. Truckers) have more sex than individuals in the general population (Anarfi 1993; Brewer, et al. 1998; Brockerhoff and Biddlecom 1999; Lurie, et al. 2003; Orubuloye, Caldwell and Caldwell 1993)and they have riskier sex than the average individual (Orubuloye, Caldwell and Caldwell 1993). The proximity to a road increases individual risk of HIV infection and the effect is sensitive to the use of the road (Djemai 2009). The increased mobility and greater number of opportunities to have sex induced by the presence of better road infrastructure has shown to increase AIDS (Djemai 2009). This negative effect of roads undermines the positive effects; contamination is not prevented even though individuals have better access to information and improved contact with condoms (Djemai 2009). Moreover, the mechanism driving the relationship between distance to a road and the risk of infection is shown to be the increase in demand for casual sexual partners which offsets the increase of condom use (Djemai 2009). Accordingly, the research shows that people choose to expose themselves to the risk of infection despite having better access to self-protective tools (Djemai 2009). Countries have been examined and have been grouped into categories according to knowledge dispersion. Kenya and Malawi, based on significant relationships between infection and road distance, suggest spatial inequalities in the access to information about HIV/AIDS (Djemai 2009). Cameroon and Ghana fit into the second category, where road proximity is not significant when the media are controlled for (Djemai 2009). Therefore, the media has an effect on knowledge transfer in some of the countries. Lastly, Ethiopia and Zimbabwe point towards success of dispersing knowledge about HIV/AIDS even to the most remote locations (Djemai 2009). Access to condoms is another topic of interest that has been given a great amount of coverage in the HIV/AIDS discourse. There are obvious spatial inequalities in the access to condoms across countries which are suggested to result from the supply of private and public medical services. Essentially, accessibility through roads increases the knowledge that medical services are available, but usage has not been shown to be statistically significant (Robinson, et al. 2006). It is apparent that access to condoms and to information about the importance of using them has facilitated their use, but once again the empirical evidence does not indicate anything statistically significant (Robinson, et al. 2006). Likewise, people are expressing their preferences towards the set of available preventative measures that are hurting their utility the least. This would therefore mean that individuals who are living closer to roads are using condoms more, but are also engaging in riskier sexual behavi ors (Kiriga, et al. 2002). Basically, the research implies that incentives to health are too low in the Sub-Saharan African countries that have been analyzed. The cost of changing behavior in Sub-Saharan African countries is too high. For individuals living in low-income countries with life expectancies of no more than 40 or 50 years, there is little incentive to invest in their health and thus their economies (Oster 2007). The United States is a prime example of how education campaigns did work in the mid 1980s, but that is also because the cost of premature death was high (Oster 2007). Lastly, Oster made a case for Uganda and concluded that thirty to sixty percent of the decrease in their HIV prevalence rate in the 1990s could be attributed to a decrease in export activity (Oster 2009). Oster claims that the reduction could be a result of a decrese in coffee prices during that time (Oster 2009). They are the only country in Sub-Saharan Africa to have seen such a decline in their HIV-infection rates. I think this could be a direct result of a decrease in the labor force during that time period which decreased the number of individuals present in sexual networks, thus reducing HIV-transmission. Another proposition could be that there was an eventual impact on the labor force, whereby there were less people because of increased mortality or morbidity, reducing the number of individuals in the sexual network. Regardless, the literature surrounding this area is very much in its infancy. This kind of dialogueà ¯Ã‚ ¿Ã‚ ½examining HIV/AIDS from a perspective that questions the integrity of economic activity is still fresh in the public health arena. CASE STUDY: SOUTH AFRICA Throughout all the literature, I was hard-pressed to find information on the relationship between South African trade activity and their HIV-infection rates. Therefore, to highlight once again, the purpose of this paper was to examine the variety of factors that contribute to high HIV/AIDS prevalence rates with a direct application to the situation in South Africa. To summarize, South Africa has one of the highest prevalence rates as well as one of the highest GDP values within Sub-Saharan Africa (Figure 6). Thus, examining it with a closer look at the structural issues systemic within the nation was interesting. Little research focused on South Africa for some peculiar reason, uncovering the issue with South Africa seemed very fascinating. To set groundwork for this discussion, it must be noted that the export market in South Africa predominantly is labored by low to medium skilled workers (Outtek 2000). These markets are primarily capital-intensive rather than labor-intensive (Abt Associates Inc. 2000). Due to that fact, capital-intensive markets generally employ low-skilled workers who, although are accumulating wealth, have low levels of education. Projections from companies confirm that the highest HIV infection levels are concentrated among low-skilled workers (Abt Associates Inc. 2000). Therefore, an individualsà ¯Ã‚ ¿Ã‚ ½ level of education is a determinant of the type of work they do, thus contributing to their likelihood of being infected. In a study that modeled each sector confirmed what they referred to as a sector gradient à ¯Ã‚ ¿Ã‚ ½ that prevalence rates varied by each sector of the economy (Figure 7) (Vass 2005). It was found that there were higher prevalence ratios in South Africa in the mining, tran sport, construction, government, accommodation and catering sectors (Vass 2005). The financial, insurance, business and communication sectors had the lowest aggregate HIV prevalence ratios (Vass 2005). The sector gradient visible in South Africa is reflective of a variety of high risk factors which are: age, gender, population group, skill level, and length of employment. There is a concentration of Blacks and women in low-skilled work; Whites are more heavily occupied in the high skilled occupations (Vass 2003). These conclusions are similar to projections of infection population groups (United Nations Statistics Division 2009). All of the studies that have been conducted in South Africa on the labor force and HIV-prevalence have assume that there is a constant risk associated with HIV-transmission; that each individual in each skill level has the same chance of getting infected with HIV. This coincides with the income and survival effect discussed below. We have established that increased exports are therefore enabling transmission of this disease because of the population group that is employed by the sector. Although, this conclusion cannot be quantitatively analyzed through empirical evidence due to limitations in data, the argument is still valid. Through figure 8 it can be seen that as exports have increased over the past fifteen years, so has HIV-prevalence. It is apparent through the data that HIV prevalence seems to plateau, however as per figure 9, it can be seen that the adult prevalence rates are still continuing to rise. The focus of this paper is primarily on the labor force (ages 15-49) or the adults, but what should be analyzed is that prevalence is decreasing for children and youth. This is consistent with public health officialsà ¯Ã‚ ¿Ã‚ ½ view to this disease à ¯Ã‚ ¿Ã‚ ½ they are focused on education and prevention campaigns for youth and children because they have been proven to be most effective if information has been accessed before sexual debut (Frolich and Vazquez-Alvarez 2009). Due to the fact that low-skilled workers who are occupied by the capital-intensive sectors, which contribute to the exports of the South Africa, have lower levels of education à ¯Ã‚ ¿Ã‚ ½ this must be an important aspect to consider in this discussion. However, because it is not the focus of this paper, I will only comment on the negative correlation that is found to be statistically significant for education level and HIV-prevalence (Walque 2009). It has been noted that income and education are positively correlated. So why in South Africa are the wealthiest the most affected, but the most educated not? Pursuing the topic at hand, we are discussing low-skilled workers who have very little education but who do have income that is relatively better than some of their educated counterparts. Thus we must discuss the relationship between wealth and this disease. Empirical evidence suggests that wealthier individuals are more likely to be infected with HIV as well as to engage in riskier sexual behaviors than their poorer counterparts (Walque 2009). Traditionally it is thought that income and health are positively correlated, however in the case of the HIV/AIDS epidemic in Africa, things are going in the opposite direction. People are adopting risky behaviors that reduce their human capital potential as their income increases. Taking into account the fraction of the population that is expected to engage in unsafe sex, individuals must decide whether their first sexual encounter should involve the use of a condom or not. Those who do not use a condom may contract HIV and not survive to experience a second encounter. Assuming that there is disutility in from using a condom to begin with (Agha, et al. 2002), it can be said that some individuals willingly trade-off future utility for the current utility gained from unsafe sex. I think a major reason why so many members of the population engage in unsafe sex in Africa is what I would refer to as an income effect. Individuals are more likely to engage in unsafe sex if their income depends not only on their own potential for human capital but also on the aggregate level of human capital present in the economy (Kiriga, et al. 2002). An individual may be more likely to engage in unsafe sex if they know that a large fraction of the population will also engage in unsafe sex. Thus, the negative macroeconomic effects of HIV/AIDS stem from this sort of effect: a large share of the population participates in unsafe sex, which leads to a lower level of aggregate human capital and hence lower income and consumption (Kiriga, et al. 2002). All of this directly leads to greater levels of induced poverty. Additionally, a term stemming from evolutionary biology à ¯Ã‚ ¿Ã‚ ½ a survival effect can be noted when individuals are aware that many people are having unsafe sex and they choose to have safe sex based on this premise. Individuals in this situation would be concerned with protecting themselves from contracting the disease. I would assume to see the survival effect in a part of the population that has greater potential for human capital (higher income capacity). However, this is not what we are observing in South Africa currently, therefore it is safe to believe that South Africa depicts an income effect. Part of the reason for this sort of pattern must be that household wealth correlates with urban residence, more explicitly as closer proximity to roads; HIV-infection is higher in urban areas as a result of the road density (Djemai 2009). Also, HIV prevalence is a function of survival, the wealthier people with HIV are more likely to afford the appropriate medication, thus living longer. Perhaps, wealth enables individuals to pursue multiple sexual partners. Wealth is often associated with mobility, time and resources to maintain concurrent relationships (Gillespie and Greener 2006)à ¯Ã‚ ¿Ã‚ ½ those that are characterized as an individual having a primary relationship as well as a secondary relationship, with the individual their having that secondary relationship with also having primary and secondary relationships. This causes an individual to knowingly or unknowingly have a large sexual network thus increasing the risk of HIV-infection. The economic factor in these relationships is obvious: wealth and social interaction are linked. Further, wealth increases the number of opportunities to engage in numerous sexual partnerships (Shelton, Cassell and Adetunji 2005). Furthermore, in South Africa, there is a stronger positive relationship for wealth and HIV status for women. Maybe, women exhibit this quality because wealth is contributing to their mobility and social status or it might be that women are improving their economic status by having more than one concurrent relationship. In any case, it appears that wealth appears to play a disadvantageous role in HIV transmission. The hypothesis here is that the combined effect of people being less worried about having the disease because they know they can afford treatment and having more individuals with the infection in the community is outweighing the disease itself. As these individuals are better able to manage the disease, the cost of acquiring it is very low. It can then be concluded that South Africa does show an increase in HIV/AIDS prevalence as a result of increased trade, but only because the individuals employed in the sector are low-skilled workers who have been pushed segregated into this category. CONCLUSIONS AND FUTURE IMPLICATIONS The future of the labor force infected with the disease looks quite bleak. Macro-economic modeling indicates that the labor force growth rate will decline which will result in a smaller labor force in the coming years. This will impede economic growth most definitely. ING Barings predicts an 18% decline in the labor force by 2015 (Orubuloye, Caldwell and Caldwell 1993)and Abt Associates Inc predicts a 21% decline when compared to a situation where no AIDS was present (Abt Associates Inc. 2000). The impact that this could have on productivity as well as South Africaà ¯Ã‚ ¿Ã‚ ½s exports is profound. Considering a large proportion of the sectors that contribute to export activity are experiencing high levels of HIV prevalence, it can be assumed that attrition is high in the labor force. The increased morbidity and mortality creates absenteeism which hinders not only productivity but also creates a further decline in skill-level and experience. An underlying issue is that the incentive to life to longer has not been addressed in South Africa. It is clear that poorer countries have a lower life expectancy even in the absence of HIV/AIDS (Voigtlander and Voth 2009). Many researchers have pointed out that a higher life expectancy increases the likelihood of surviving if individuals engage in safe sex, but it does not affect the likelihood of surviving if an individual engages in unsafe sex (Voigtlander and Voth 2009). Thus, unsafe sex has as higher opportunity cost. As a result, if the overall population is experiencing a greater life expectancy, more individuals will choose safe sex. Therefore, the issue here is how should low and middle-income countries increase aggregate life expectancy? The answer to this sort of debate is well beyond the scope of this paper, but can be addressed using basic public health and community development interventions. Also, what I think might be a solution to this issue is if the South African government introduced implementation of a free antiretroviral drug plan. This would ensure that HIV prevalence decreases. The argument here is that individuals who are wealthier are able to afford medical treatment à ¯Ã‚ ¿Ã‚ ½ they are clearly living longer than their poor counterparts. Thus, they are able to live longer and contribute to the labor force and economic productivity. Even though they are not participating in safe sex, at least they are living for greater periods of human capital aggregation, which increases expected income and lifetime utility from safe sex. The free antiretroviral drug plan would enable all members of the population, rich or poor to exhibit these characteristics. Thus, if lifetime utility is increasing, the opportunity cost to unsafe sex will increase. In conclusion, the low skill and education levels within the sectors that are participating in the export activity of South Africa is contributing to the disease à ¯Ã‚ ¿Ã‚ ½ that is the direct association behind why links can be made between exports and HIV-infection. Thus my research hypothesis does stand à ¯Ã‚ ¿Ã‚ ½ increase in exports has lead to an increase in wealth which has contributed to the spreading of HIV/AIDS. Therefore, policy discussions should be focused on the individuals who fall within this category. Addressing prevention programs geared towards the individuals are obviously in the labor force and who are in the low-skilled category seem to be of utmost importance. Figure 1 HIV Prevalence 1990-2008 Figure 3 Number of Deaths in South Africa 1997-2007 Figure 4 Number of Deaths by Age Group, 2008 Figure 5 GDP in $US 1980-2010 Noureen Noorani, 0550061 4A03 Final Paper