Globalization Essay Example | Topics and Well Written Essays - 500 words - 19

Globalization - Essay Example This has an impact on the capitalist social and economic relations through microeconomic and multilateralism phenomena like competitiveness of businesses globally. The consequential change of production systems has an impact on the labor process, class structure, technological application, and capital organization and structure. Globalization marginalizes workers that are less educated and less skilled. As a result of globalization, expansion of business does not automatically result in increased employment. The higher mobility in comparison to labor can cause high capital remuneration. Power in the global economy is a company’s ability to command the tangible as well as intangible assets that result in increased loyalty of the customers irrespective of location. A company can tap into global networks no matter what is its geographic location or size. Globalization has had mixed effects on world economy with the increase in trade and foreign direct investment on one hand, and increased labor and production costs and income inequality on the other hand. Globalization has mixed effects on currency as a result of which, certain countries become stronger economically while other countries loose economic strength. Acceleration of globalization has caused market conditions to change. This has affected the volatility and value of national currencies all over the world. For example, the euro EUR in the European Union has replaced a number of local currencies. The Renminbi RMB has challenged the power of the US dollar. Many other currencies are linked with euro and dollar to deter harmful volatilities and fluctuations. Countries like Germany and China have taken advantage of the power of global currencies’ unification to sustain their growth. On the other hand, countries like Spain and Greece have gathered huge national debt while other countries have become poorer. A range of factors

Advocacy Assessment based on Conditional Cash Transfer Programmes Essay

Advocacy Assessment based on Conditional Cash Transfer Programmes... (see attachment) - Essay Example mote the Progresa as the model for CCTs or safety net programmes in countries in which the World Bank has a policy influence like in Nicaragua (Bradshaw 2008, citing the work of SEDESOL 2003). Bradshaw (2008), however, advanced five criticisms on the Progresa/Oportunidades model. First, the empowerment of women is only incidental rather than a main aim of the Progresa. In words of Bradshaw (2008) as suggested by Molyneux (2006), women are â€Å"at the service of the New Poverty Agenda rather than served by this agenda.† Second, based on the experience of the Progresa/Oportunidades, the higher grant for women’s enrolment into schools were interpreted by beneficiaries as higher costs involved in sending females to schools thereby discouraging the poor to send their girls to schools. Third, the Progresa/Opurtinadades program failed to explicitly recognize the highly unequal relations between men and women in the households and, thus, even if wives are allowed by their husbands to collect money under the CCTs, the power relations in the households remain lopsided in favour of males. Fourth, the CCT as implemented in the Progresa/Opurtunidades failed to target th e poorest among the poor well enough. Finally or fifth, the CCT as implemented in the Progresa/Oportunidades have been inadequate in teaching mothers the â€Å"mothering skills† in â€Å"improving their families’ health, nutrition, and education.† Based on the program implementation assessment, the key features of a CCT program that should be implemented in Nicaragua is something that has benefited from the lessons that can be obtained on the CCT as implemented in Mexico and other countries. In upgrading the CCT program, we can derive valuable lessons from Bradshaw (2008) that can improve the implementation of the CCT in Nicaragua. The lessons from Bradshaw (2008) can be translated into a five-point reform for the CCT in Nicaragua. First, we must include the empowerment of women of women as the main aims of

Where do we draw the line between Business Intelligence and Industrial Research Paper

Where do we draw the line between Business Intelligence and Industrial Espionage - Research Paper Example organized by an enterprise to collect, store, access and analyze information about the market and competitors so that better business decisions are made possible (Biere, 2003; Scheps, 2008). These corporate databases (Loshin, 2003, p. 1) of information have turned raw data into valuable business information asset that has enabled the enterprise users to look at and manipulate information in a different way leading to fruitful business decisions that are in corporate benefit. Moss and Atre (2003, p. 4) have listed activities which are assisted by BI decision-support programs. These include Online Analytical Processing (OLAP), data mining, forecasting, business analysis, analytic analysis, knowledge management and so on; and, BI decision support databases include data mining databases, operational data stores, operational marts, web warehouses, and etcetera. To monitor BI activities and databases and companies organize BI groups within the organization and also hire professionals from outside who analyze the company’s performance, strengths and weaknesses, and compares the gathered information to predict where the company stands in the market. This helps increase profitability, reduce costs, improve customer relationship management, and decrease business risks (Loshin, 2003, p. 2). Research by Subramanian and IsHak (1998) also found that US companies who used advanced BI systems for competitor analysis enjoyed greater profitability than the companies which did not. Guttman (1995, p. 26) has defined Industrial Espionage (IE) as an â€Å"act of gathering proprietary data from private companies or the government for the purpose of aiding other company(ies)†. Companies may get involved in IE for their competitive advantage and governments may use IE to support other companies. Whatever, the case, the information has to be processed through computers and thus it becomes liable to threats regarding information security. The biggest threat employee sabotage, that is, the

Global economic development Essay Example for Free

Global economic development Essay If Gwlad want to achieve any economic growth and attain a strong economy as its neighbors in Western Europe it must carry out detailed SWOT analysis. Such an analysis involves determining the country’s strength, weakness, opportunities and threat. One of the major strength that Gwlad enjoys as a country is it strategic location. Being close to the most developed nation in the world then it will be easier to access and export goods abroad to a market which is willing and able to buy. The second strength is the relative peace that the country enjoys and that of the surrounding nation which means that foreign investors will be willing to set up businesses (Anderson, 2007). One of the main weaknesses in this country is low level of industrialization which will translate to low out put and therefore less export compared to other country in the surrounding. Also with a population of just 3 million people it means that the aggregate demand is very low and for multinational who want to venture into such country and market their produce, the low demand expected for their products may discourage them. Furthermore this country seems to be expecting poor infrastructure and this raises the cost of doing business which discourage foreign direct investment (root 2006). The low level of services may be another hindrance to foreign direct investment. Foreign investors Global economic development 2 values a strong financial system that is able to allocate capital efficiently, mobilizing saving, monitor firms, share and diversity risk with the low level of GDP the consumers’ purchasing power is weak and therefore this further reduces the aggregate demand and output levels in the country. Also the country relies on few sectors to support the economy and there is a need to expand on such areas (Carroll, 2006). One of the major threat that the country faces is competition form rivals who are well established and their industries have become stable such that they are able to supply goods in the global market at low cost. Secondly since the country is not a member of European Union then members may impose both tariff and non tariff barriers to trade from goods exported from Gwlad which will increase the prices of good exported on members country. High prices will discourage consumers’ consumption of such goods which will ultimately reduce export and affect the country’s balance of payment. The country should take steps to proceed with privatization of most public corporations since such move encourage foreign direct investment and also improves on transparency and good governance of such companies (ridout, 2005). Since the financial system play a pivotal role on the growth of an economy the government should implement policies designed to streamline the sector. To encourage investment in the country then it is also vital to revise its taxation policies and develop a scheme geared towards benefiting foreign business. Entry of multinationals in the domestic market have some adverse effects in that some of the domestics firm are not strong enough to compete favorably with foreign firms such that they require protection from the government. Therefore the government Global economic development 3 should develop policy geared towards protecting domestic firms and also protecting capital flight which mostly affect the balance of payment of the country if not taken into consideration. To ensure that employment level in the country rises and that multinational does not take advantage of lack of employment policies to bring in expatriate even in areas where local can work then labor policies should be drawn which includes issues of minimal wages to be paid. Regional trading blocks such as the EU and others aid international trade by reducing or eliminating both tariff and not tariff barriers to trade therefore incase Gwlad want to participate more in the global market then it should realign its foreign policies which will enable it to be accommodated in such trading blocks. Active signing of both bilateral and multilateral agreement is necessary in improving penetration to foreign market thereby improving on export which translates to a higher GDP (melchet, 2005). CASE STUDY 2 Though strategic location and the issue of wages rate are considered by a foreign investor in determining whether to invest in a certain country or not, there are other major factors which are first considered. The availability of energy and associated cost are given priority in manufacturing industries since energy cost comprises a huge percentage of manufacturing cost hence one of the main determinants in making investment decision. The level of infrastructure is also considered by business. The possibility of growth and political stability should also be an integral part of such a marketing strategy since these two factors will determine whether a business will grow in foreign market. Through most of the study conducted it has also been proved that vibrant financial system Global economic development 4 also plays a major role in encouraging FDI (zedillo, 2005). On marketing Gwlad I would include such issues as tax system which benefit inventors e. g. tax allowance on investment. To increase foreign income from tourism then issues such as beautiful scenery and variety of wildlife have to be included. Further more technology play a major role in global market and therefore a mention of the technological achievement and possible advancement in technology should be included in the countries marketing strategy as firms currently rely on technology in performing it core business. Case Study 3 Technology advancement have led countries like china and Japan to be the most industrialized and leading exporters in the global Market. Consequently their economy have grown and a country like china with a population higher than the whole of Africa have been able to support its citizen and even offer loans and grant to other nations. Though technological advancement is key to economic development it has to be matched with good governance and visionary leaders who are able to inspire their people to reach new height (Polanski, 2004). In developing the economic policy there are others sectors which should be considered. This includes, health, financial sector which includes among other banks, insurance market, and the capital market and aerospace and automotive sectors in the transport industry. Case Study 4 One of the major strength of developing domestic companies is that it protects capital Global economic development 5 freight which adversely affects the balance of payment and the exchange rate. Domestic companies mostly employ people from within the country which reduces the level of unemployment. The income generated by domestic firms is usually re invested back thereby improving in economic growth. Some of the other income which is distributed as dividend to the owner increases the level of aggregate demand and saving levels due to increase in disposable income. Where aggregate demand increases business will be forced to produce more goods which lead to their growth and expansion (McDonnell, 2003). As saving levels increase businesses will have available capital for investment and through the multiplier effect where investment increase the GDP will also increase therefore accelerating the economic growth of the country. If steps are taken to develop domestic companies then they may grow to a level of being multinationals which will generate foreign income to the country. One of the major threats in developing domestic companies is that in case of harsh economic condition they may not withstand and therefore collapse. There are also possibility of political interference in the management and operation of such firms. Due to the limited fund available it may not be possible to avail all the required capital for expansion which means that such business will be operating below capacity and there will be under utilization of resources. Further more the economy can grow at a very low rate if only the domestic business are relied upon to accelerate growth. Lack of competition will be another weakness in that business will not improve on core area of performance such as technology therefore products will be of low quality and higher Global economic development 6 price with inability o compete in global market. Where competition lack then there is low level of creativity and innovation in products and service development therefore the economy will lag behind (Coparosa, 2004). Where the country is able to attract foreign direct investment then it is able to improve on technological advancement since such investors transfer technology to the host country. Further more since the country is experiencing a capital rationing this foreign firms do not require any form of financing from government and the funds available could be used to develop other sectors where foreign companies are unwilling to invest. Furthermore this foreign firm introduces competition which forces business to produce goods effectively and efficiently. The major threat of encouraging multinationals to invest in the country is that they can kill local industries incase where such firms are not able to compete favorably. Some of the multinational which occupies a greater stake in the economy sometimes dictate or influence the policy made by government to their advantage since where e government fail to comply they threaten to withdraw. One of the main weaknesses of using FDI is the issue of capital flight. Most usually send the profit generated from its operation back to it parent company which adversely affect the economy. However such businesses are able to sustain harsh economic condition and also improve the level of infrastructure in the host country. In using combination strategy the government ensures that domestic firms grow while at the same time attracting foreign direct investment which steers the economic growth. There should be a balance between protecting domestic firms and maintaining Global economic development 7 environment which enables foreign firms to compete fairly with domestic firms (Roca, 1983) Due to shortage of funds that the country experience and other benefits that accrue from having FDI it is advisable that the country employs a combination of strategy if it aim to achieve faster economic development. Case study 5 In persuading multinationals to develop local supply chain then the country have to change policies on taxation of this foreign firms. Issues such as tax allowance on investment can encourage such multinational to set up business to take such advantages of allowance. Also policies that streamline the financing system are also important since the financial system is a factor considered by multinational before venturing into any market. To encourage multinational to undertake research and development in the country then the country should have a well designed policy concerning copyright, trade marks or use of intellectual property. Also where commercial services such as advertising, local research firms and professional service are established and well regulated then multinational can be motivated to use such services. Furthermore policies concerning regional integration are important since it assist business to supply it commodity to other international market without barriers to trade both tariff and non tariff therefore improving on it competiveness in the global market. In addition the transport system is necessary for efficient operation of any supply chain therefore policies should be designed to improve such systems. Global economic development 8 CASE STUDY 6 Where a country is a member of the EU then there is no obstacle on free movement of goods, people and capital therefore the country can easily market and export its goods to members countries thereby improving on its balance of payment. Through the European social fund then the country will be able to improve on its level of employment thereby raising the standard of living of its citizen. The creation of European investment bank will facilitate the economic expansion of the country through creation of new resources. The EU has also developed a well established system of ensuring that competition is fair in the common markets which will therefore means that weak members states such as Gwlad are not exploited or taken advantage of by other strong and developed nations. However being such a member of EU then you have to adopt a common custom tariff and common commercial policy towards non members which may therefore reduce the country aggressiveness to participate in the global market. Countries such as China, Brazil and Australia are the new fastest growing economy in the world hence they provide a ground on which new market can be found. Further more bilateral and multilateral agreement with such country can be more beneficial than joining a trading block for a country with a weak economy (godison, 1988). For a country like Gwlad which need to achieve faster economic development it need to develop free trade agreement with this growing economies as they present a better opportunity for growth than a trading block. CASE STUDY 7 Global economic development 9 One of the merit of having a cluster development policy is having a balanced economy in that you do not allow foreign firm to dominate the local market but also give chance for domestic business to grow and reach a level at which they can compete in the global market . having both local and foreign firm present multinational from influencing government policy with threat to with draw since their position will be taken up by local firms. One of the problems inherent in such a cluster development policy is development of policy which attracts foreign entity while at the same time ensuring protection to domestic firms. The best option of organizing sector development is having specific policies that take special need of each sector rather than general policies which just give a general outlay instead of specific guideline for sector development (madon, 1997). CASE STUDY 8 As the company is ready to employ 30,000 people this will be a great boost to the economy as it will reduce the level of unemployment and ultimately increase the GDP. However where foreign suppliers are contracted to supply good rather than local suppliers this will lead to loss of business and capital flight from the country. Furthermore the demand by this firm that the country liars with the host country of these suppliers to request for a tax break may be an added cost to the country as they may in return ask for other favors which may hurt the economy. The government should agree to give research and development grant but not succumb to demand of allowing foreign supplies to be contracted as this will erode most of the benefit generated. Global economic development 10 References Anderson, AT 2007, Developing m-services: lessons learned from the developers perspective, Communication of AIS, VOL. 2007, issue 20. Carroll, M 2006, An interview with Prime Minister Lee, Institutional Investors, vol. 40, issue 9. Caporaso, J 2004,Dependence, dependency, and power in the global system: a structure and behavioral analysis, International Organization, Vol. 32 Issue 1. Emerging Markets Debt Report 2000, Political risk: Thumbs up for Brazil, Stormy Clime in Vennie, Vol. 13 Issue 4. Godison, N 1988,Londons place in the global securities market, International Affairs, Vol. 64 Issue 4. Madon, S 1997,Information-Based Global Economy and Socioeconomic Development: The Case of Bangalore,’ Information Society, Vol. 13 Issue 3. Melchet, L 2005,The Age of Environmental Impasse? Globalization and Environmental Transformation of Metropolitan Cities, Development Change, Vol. 36 Issue 5. Global economic development 11 McDonnell, I Lecomte 2003, Public Opinion and the Fight against Poverty, DAC Journal, Vol. 4 Issue 2. polenske, K 2004, Competition, Collaboration and Cooperation: An Uneasy Triangle in Networks of Firms and Regions, Regional Studies, Vol. 38 Issue 9.

Graduation Speech -- Graduation Speech, Commencement Address

Isn't it strange how princes and kings And clowns who caper in sawdust rings And common folk, like you and me Are builders for eternity. For each is given a bag of tools, A shapeless mass, and a set of rules. And each of us, a life is flown, Must either build a stumbling block or stepping stone. Builders for eternity ... what an awe-inspiring thought: That you and I not would be, nor could be, but are builders for eternity. On this day, the seventh of June 2006, at our high school graduation night, the night we say goodbye to the structured life high school offers, the night we say goodbye to friends and teachers that have impacted our lives in so many ways. This night, as we bid farewell and invite the broad, new horizon ahead of us, we must ask ourselves this: What kinds of builders will we become, and what will we build? Life is filled with endless opportunities of what we can become. Not merely as a profession, but what makes us as individuals. As we, builders for eternity, fabricate our lives from here on out as high school graduates, I hope and pray for the very best for each and every one of us; that we can all build, for ourselves, and, more importantly, others, stepping-stones. In doing this, there are three words that stand out to me to keep in mind. They all start with the letter E. The first E is for Enjoy. A band named Aerosmith said: "Life is a journey not a destination." So live it accordingly. Let us enjoy being who we are, doing those activities that excite, enliven, and motivate ourselves. It is often important and necessary to do things that are not fun, but overall, be you, someone who you will enjoy being. The second E is for Effort. "A person should do his or her job ... ... in this gymnasium this evening has these three items: A bag of God given talents, a life of time to do with what we please, and a few laws to live by when applying these talents and time. So, with these thoughts in mind, what is the challenge before us? ... And each of us, a life is flown, must either build a stumbling block or a stepping-stone. On behalf of the Humphrey graduating Class of 2006, I would like to thank the School District Board of Directors, administrators, teachers along the entire path, and any more members of the Humphrey School District staff. Also, thank you parents, families, and friends for your love and support. Congratulations Class of 2006. We made it, and have made it this far together. After tonight we take separate paths to conquer what lies before us. Let's choose our battles wisely, fight a faithful fight, and win. Thank you.

Emerging Nokia Essay

1. What strategy would you recommend for Nokia going forward? Please develop a complete strategy that addresses the following issues: Choice of scope: does it make sense for Nokia to be in both emerging and developed markets, or should they choose not to play in certain markets? How integrated should it be into manufacturing, services (apps), software development, sales, etc? Answer1: Choice of scope: With dwindling sales in developed countries like USA, UK, Germany, Russia and Italy and even in emerging markets like India, Indonesia and Brazil (as per Exhibit 1) despite previously having a stronghold, Nokia now had to decide if it should continue its focus on emerging markets or attempt to salvage the sales even in the developed markets. Status in developed markets: 1. The operators usually have more power but this was changing since the emergence of iPhone. It is a replacement market with users looking for up gradation 2. Competition- Growing competition from companies like Motorola, Samsung, LG and Sony Ericsson. The RIM‘s launch of Blackberry(2002) and Apple’s iPhone (2007) was a further set back 3. New Operating System- Emergence of new user friendly operating systems such as Google‘s Android and Microsoft’s Windows mobile further put Nokia on the back foot 4. Inability to understand demand- Nokia failed to identify the growing consumer need for touch screen phones 5. Target – Nokia operated at all price points where as competitors like Apple (high-end segment) and Samsung( mid and high end segment) had a clearly drawn up strategy Slowdown in some emerging markets: 1. Reverse bundling allows the manufacturer to wield more power than the operator 2. There is lower cost of production which helps produce inspirational products at low rates 3. The growing competition from companies like Samsung that were offering the latest technology at competitive prices 4. Therefore, Nokia lost out on the middle and high segment but continued to grow in the low-end mobile segment as it had identified the gaps in emerging markets and customized services to suit the local consumers Nokia must recognize the difference in the different market  segments and take the challenges head on to be able to operate in both markets. It must clearly identify the segments it wants to operate in and also change its positioning based on the data below. Data from Exhibit 11: Percentage of phone sales by segment Emerging Markets Developed Countries Mid East AP w/o Japan Latin America E. Europe Japan W. Europe North America Basic 41% 43% 20% 34% 0% 4% 8% Enhanced 40% 44% 58% 45% 32% 29% 43% Smart Phones- E. level 10% 7% 12% 10% 6% 34% 8% Smart phone- Feature 10% 6% 9% 11% 62% 33% 41% Penetration 58% 45.50% 80.30% 127.50% 86.60% 122.90% 84.90% Nokia Market Share 61.40% 42.30% 32.80% 48% 0.30% 39.40% 7.20% In emerging markets, Nokia must focus on Basic and Enhanced phones, as that is the largest segment as the market is still evolving and low cost handsets coupled with customized services will help further grow its footprint. In developed countries, Nokia should look at development of high end- high technology driven models in the Smart Phones Entry Level and Feature segment. At the same time when it comes to Japan, Nokia should look to  divest as it is largely smartphone driven market and Nokia has very little market share and does not have the requisite technology to successfully compete in that segment yet. It is essential for Nokia to follow the innovations in developed countries especially USA and adapt them to developing markets if it wants to stand up against competition in both the markets. Mobile phone industry has followed the International Product Life Cycle but now they have reached a stage where different approach is required for innovation to take place in developed and developing markets to meet their specific needs. Another key thing that Nokia must do is to reconsider its Transnational Strategy and adopt a Multi-Domestic Strategy to be able to cater to the distinctive needs of both the developed and emerging markets and to be more locally responsive. Level of Integration: Manufacturing- It should continue to be highly integrated as that is its core competency and contributed to operating profits with a CAGR of 13%. It helps in cost control especially in price-sensitive emerging markets. Operating System- Low integration. The future of Symbian isn’t very bright as competitors like Android of Google and Apple already have a lot of applications to offer on their OS. hence, it must look to finding a partner for a better OS as has been shown by its adoption of windows OS. Service (Apps) – Low integration. This can also be outsourced since it is not a core competency of Nokia and customer Value given to third party applications is on the rise (as per Exhibit 6) Sales and Distribution- Should be highly integrated as it has already developed a vast distribution and achieved great penetration in emerging markets which has been a source of higher margins by direct selling to consumers and is also a core competency. 2. What products should it offer – smart phones, low end phones, etc? Source of advantage: what will be the distinctive competitive advantage that Nokia will offer? Choice of activities: what choices should Nokia make in all its key activities, and where will it locate those activities – for eg., HR policies, manufacturing, R&D, software development, sales and marketing, etc. What is the justification for your strategy recommendation? Answer2: Addressing the consumer needs should be the strategy for Nokia in both emerging and developed market. In the emerging markets where Nokia is already a leader, it should focus on catering to the growing bottom of the pyramid consumer. The biggest advantage that Nokia offers is its reach. It should focus on its complimentary telecom industry trend, specifically in India, telecom players are involved into price war and which gave customer a higher bargaining power to switch. In such case coming up with dual sim phone would cater to the primary need of market. The applications in the phone should be in sync with local leisure such as music, newspaper and such more. Instead charging user for Life tools, revenue generation should be from advertisers. Provide time bound high end test features in low end phone during successive OS updates; this will generate user awareness and need for high end smart phone. On the other hand, in developed markets, Nokia has lost its share to other players. Customer demands smartphones with high quality user interface experience and applications and data security (RIM’s competency), Nokia need to target it. Nokia’s target should be the esteem need of user. Developing an OVI ecosystem with third party app developers, advertisers through more free and few paid applications for users. This will give Nokia a distinct advantage in the market if acted as 1st mover. More investment and development for user data security will generate trust among the users. In the mobile phone industry, the product life cycle is very short. Every year a new product is available on the shelf. Hence responsiveness to the consumer’s need is a must. Nokia failed to do that this with the clamshell model in China. By the time it came out with the product, the trend for clamshell models had faded and Nokia lost out to competition. Key advantages of Nokia a. 3 distinct operating system platforms that can offer the base for wide range of products catering to all user segments. b. Longest and complex supply chain in the world. It has the most efficient sourcing, logistics, manufacturing, and distribution of any company in the world. c. Nokia offers the OVI Store: the second largest app store in the world which is growing 70% per month as per Tero Ojanpera, Nokia’s EVP for the Services. d. With the acquisition of Navteq Corporation, it has a strong presence in the GPS  world and provides a wide range of geographic image support covering almost more than 180+ countries. e. In India. Nokia has a strong hold of rural market with their distribution system handles by HCL Info systems. In Latin America, it has a dedicated team to manage the relationship with America Movil and Telefonica and to co-ordinate sales and services across the region. Choice of activities a. HR policies should be locally controlled by subsidiaries to keep local culture intact. b. Manufacturing should be done on a global scale to utilize cost and resource arbitrage. Core product R&D should be centralized with satellite R&D in each market to add local flavor to the product. c. Software development centers have to be installed in countries like India or Philippines to utilize local talent and expertise in software development. d. Sales and marketing should be again localized. Country specific distribution channel should be adopted.

Social promotion in NYC public schools

Today New York City district accounts approximately 1. 1 million students, what is one of the largest public school districts in USA. Just couple months ago, Mayor Michael Bloomberg and Chancellor Joel Klein introduced new approach towards the social promotion in public schools in NYC. According to the Raymond Domanico, the proposed initiative will hold back around 15,000 third-graders in case if they fail English and math tests. [#1, P. 4] Of course, the issue of social promotion in public schools is a controversial one and contains numerous cons and pros which were lately widely discussed among the educators. In this essay I am going to provide detailed information regarding social promotion in NYC. The idea of social promotion was initially introduced in NYC in the beginning of 1980s. The program looks alike to the one proposed by Klein and Bloomberg not long ago. Though, 20 years ago it was called â€Å"Promotional Gates Program† and obligated students of the third and seventh grade to pass English reading test and math test before they are accepted to the upper grade. They were also proposed to study at summer schools if they fail the test and retake it at the end of August. Only if they fail this test for the second time, they will be turned back to the same grade again. The novelty of Mayor’s initiative concludes in that, that if the third-graders fail the reading and math test (will not pass level 3, where 4th level is considered to be the highest) – they will be offered another chance to take it but previously attend the summer school. The trick and the topic for the continuing discussions of educators is in that, that the passing level for the second test attempt – is level 2 (the rest of scenario of social promotion is invariable – if students fail this level, they are to repeat third grade again). Some argue that this method will provide weak students the understanding that their flabby achievements will be tolerated, and therefore these students are left with each year behind their progressing classmates. But the Chancellor Joe Klein notes, that â€Å"No one wants to hold students behind. So large numbers of students are promoted even though those students are not prepared for the next grade. The result is that many students are passed through the system from one grade to another without the necessary preparation and skills. These students typically fall further and further behind until they ultimately leave school unprepared. † [#1, p. 4] Now it becomes more understandable, why these changes raised number of accusations from the side of educators and have opponents as well. New Mayor’s approach is retrieved towards summer schools as well: those will be available for the students who are not only third graders but also second graders and who demonstrate poor results and attendance during that grade. The class size is decreased to the quantity of the small group and will account approximately 15 students in each. As to me, this point of the program is very commendable and worth of appropriate attention. Of course, the other question which is usually discussed when the program is either implemented or maintained – is its budgeting. Our case is not an exception. It is worth saying that budget of NYC is to cover these expenses and the size of this burden accounts $25 million (this number is an approximate, but the real one could be much higher). Therefore in order to deal with it, some high school principals in NYC has diverted the funds from the high school students toward the third grade program. Joe Mathew is supporting this idea as well and expresses his thought in the following way â€Å"Money spent on an extra year of schooling for retained students would be better spent on preventing low achievement†. [#2, p. 4] According to the statistical data, because of social promotion program, 25% of all ninth grade students in NYC public schools are over-aged for their class. #1, p. 4] This number brings to the conclusion, that these students most probably were detained once during there school time. In some schools also exists â€Å"unwritten policy of teachers and principals† which is aimed to minimize withholding of a weak students to the lowest quantity of years as it is possible. My opinion is, that when improving social promotion programs in NYC public schools, the attention should be paid to the identificat ion of the â€Å"risk† students or â€Å"risk† groups and work with them before it is too late. I think that it would be also more appropriate to aim these costs to the development of suchlike programs as preschool, improvement of the school in general and additional attention for the low-motivated students or the one who are behind the program. But, for myself I brought up the question for further discussion: is social promotion the result of school miscarriage or is it the sign of greater number of problems which school may face in a near future?