Monthly Archives: February 2017

Legal Protection for Foreign Direct Investments (FDIs) in Nigeria

For healthy and continuous in flow of Foreign Direct Investments (FDIs) to Nigeria, the country has over the years put in place friendly legal framework for Foreign Direct Investments (FDIs) protection.

In this Foreign Investors’ Guidelines for Doing Business in Nigeria Series, we shall be examining the legal mechanisms put in place for the purpose of encouraging an increasing FDIs inflow and ensuring foreign investors’ confidence in the country.

We shall be discussing foreign investors’ protections ranging from certainty of arbitral proceedings and other dispute resolution mechanisms in the country.

The fact with modern economic systems is that no country can be an island economically; Foreign Direct Investment (FDI) protection is very essential to the successful attainment of foreign investors’ business objective(s) and economic development of any economy.

There are steps that host countries can lawfully take in the exercise of their sovereignty and power can lead to depriving foreign investors of reaping the fruits of their investments.

Host government actions that can affect foreign investment adversely includes nationalization; the act of a government taking control of a private enterprise and converting it to state or public ownership.

Expropriation; the act of a government taking possession of or otherwise meddling with privately held assets or property for the use and benefit of the public, or in the public interest.

The legislative and administrative acts of the government as government action can also have adverse effects on foreign investors’ businesses in Nigeria.

This is the indirect or creeping form of expropriation. The only difference is that, it mode of operation shifted attention from the physical and actual taking-over of an investor’s assets to the legislative and administrative acts of the government.

While not depriving a foreign investor of the ownership of an asset in this type of government control, it is capable of significantly reducing the value of properties and investments of the foreign owner.

Foreign investors don’t like investing in country’s with risk such as arbitrary revocation of a license; permit or a concession after the investor has made the requisite investments.

The advancement and expansion of international business relationships and the importance of foreign direct investment to the economic development of Nigeria has made the country to put in place some foreign business protection laws for the purpose of encouraging foreign investors.

Nigeria has performed greatly in providing protections to potential foreign investors.

Investment Treaties

In spite of the provisions of Section 12 of the Nigerian Constitution, investment treaties entered by the country are binding on, and enforceable against Nigeria upon ratification under the principle of ‘pacta sunt servanda’.

Also, by a literal application of Article 31 of the Vienna Convention on the Law of Treaties which provides that a treaty shall be interpreted in good faith in agreement with the ordinary meaning to be given to the terms of the treaty.

Bilateral Investment Treaties (BITs): Nigeria entered into its first Bilateral Investment Treaty (BIT) with Germany in 1979 which came into force in 1986.

According to finding from my investigation Nigeria has entered into 28 Bilateral Investment Treaties (BITs) between 1986 and November, 2015.

Of the total number, 13 are currently in force, 14 are signed and 1 repealed. The Bilateral Investment Treaties (BITs) currently in force are the ones entered into with Finland, France, Germany, Italy, Netherlands, Romania, Serbia, Spain, South Korea, Sweden, Switzerland, Taiwan, and United Kingdom.

The 14 BITs which have been signed by Nigeria but are yet to enter into operation were signed as far as back as 1996.

In addition to the usual investment protection standards, these BITs provide that a contracting state shall not damage by irrational or unfair means the maintenance, management, disposal of investment in its territory of nationals or companies of the other Contracting Party.

And the same recompense for losses suffered due to a safety event made to a domestic investor shall be allowed to the investor from the other contracting state.

These BITs also provide for the right of subrogation allowing foreign investors to obtain suitable investment insurance and for these investment insurance providers to seek remedy on their behalf from Nigeria.

The BITs that are presently in force have also made satisfactory requirements for the standard investment protection. These include fair and equitable treatment, umbrella clauses, most favoured nation status, national treatment, obligations against arbitrary and discriminatory measures and security.

Multi-lateral Investment Treaties (MITs): Economic Community of West African States (ECOWAS) treaty is one of the famous MITs Nigeria have entered. The ECOWAS treaty was signed on 28th May 1975; it came in into force on the 20th June, 1975.

The treaty currently has 15 signatories who are member states of ECOWAS.

Article 2 of the Treaty gives ‘Community Enterprise’ status to businesses whose equity capital is owned by two or more member states, and citizens or institutions of the Community.

Article 16 of the Treaty provides that Community Enterprise shall be accorded favourable treatment with regards to incentives and advantages, and shall not be nationalised or expropriated by the government of any member state except for valid reasons of public interest, and subject to the payment of prompt and adequate compensation.

Organization of Islamic Conference (OIC) investment treaty is another MIT Nigeria has entered into in relation with providing favourable conditions for foreign investments in the country.

OIC is a treaty with an Agreement on Promotion, Protection and Guarantee of Investments among Member States of the Organization of the Islamic Conference, which came into force in September, 1986.

Chapter 2 of the Treaty mandates all member states of the Organization of Islamic Countries to provide adequate security and protection to the invested capital of an investor who is a national of another contracting member state.

The terms of protection specifically include the enjoyment of equal treatment, undertaking not to adopt measures that may directly or indirectly affect the ownership of the investor’s capital or investment and not to expropriate any investment except it is in the public interest and on prompt payment of adequate compensation.

Host states are further obligated to guarantee free repatriation of any capital and returns due to an investor.

Conventions to which Nigeria is a Signatory:

The country is signatory to a number of Conventions which have been entered into for the purposes of protecting foreign direct investment.

The most significant convention in this regard is the Convention for the Settlement of Investment Disputes between States and Nationals of Other States (ICSID Convention).

International Centre for the Settlement of Investment Disputes (ICSID) as an arbitral institution under the World Bank Group is a fully integrated, self-contained arbitration institution that provides standard arbitration clauses, arbitration proceedings rules, arrangements for venues, financial arrangements and administrative supporting including the appointment of arbitrators to parties.

Convention for the Settlement of Investment Disputes between States and Nationals of Other States (ICSID) primarily provides for the settlement of investment disputes between investors and sovereign host states.

It has also taken the necessary legislative measures to make the Convention’s resolution effective in Nigeria by enacting it as a domestic legislature in the International Centre for Settlement of Investment Disputes (Enforcement of Awards) Decree No. 49 of 1967.

Another significant investment protection convention Nigeria has entered into is the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards.

New York Convention was adopted by the United Nations in June, 1958 and it mandates domestic courts in signatory countries to give effect to arbitration agreements, and to also recognise and enforce valid arbitral awards given in other signatory states.

The New York Convention in other words is particularly significant for the enforcement of arbitral awards resulting from non-ICSID investment arbitration proceedings.

In an attempt to bring into conscious awareness the legal guidelines to undertaking business in Nigeria to intended foreign investors, we shall specifically be reviewing domestic legislations and investment treaties which collectively make up the legal framework for foreign investment protection in the country.

The Domestic Legal Framework:

The notable investment legislation in Nigeria is the Nigerian Investment Promotion Commission Act, CAP N117 Laws of the Federation of Nigeria (“NIPC Act”).

The NIPC Act provides the fundamental and suitable legal framework for the protection of foreign investors in the country. Part 5 of the NIPC Act provides that foreigners may invest and participate in any enterprise in Nigeria.

They are assured unrestricted transfer of funds attributable to the investment such as profits, dividends, payments in respect of loan servicing, and the remittance of proceeds obtained from the sale or liquidation of assets or any interest in the venture through an approved dealer in freely convertible currency.

Section 25 of the NIPC Act clearly provides that no enterprise shall be expropriated or nationalised without prompt payment of compensation; the same section also provides a protection clause to an investor to claim “creeping” expropriation by establishing that the acts complained of indirectly results to expropriation or have expropriatory tendency.

Lastly, the NIPC Act provides that disputes between a foreign investor and any government in Nigeria arising from an investment shall be submitted to arbitration within the framework of any investment treaty entered into between the government of Nigeria and any state of which the foreign investor is a national.

It further provides that where there is a disagreement between the Nigerian government and the foreign investor on the mode of dispute settlement, the dispute shall be submitted to ICSID for arbitration.

Foreign investor is thus at liberty in Nigeria to institute arbitration proceedings against a government even after bringing a claim or counterclaim against the government in a court or domestic arbitration.

Another domestic legislation that provides protection to foreign investors is the Foreign Exchange (Monitoring and Miscellaneous Provisions Act) CAP F34.

Section 15 of this Act provides that any person may invest in any business venture with foreign currency or capital imported into Nigeria through an authorized dealer who will issue a Certificate of Capital Importation to the foreign investor.

Sub-section (4) of the same section in addition guarantees unconditional transferability of funds in freely convertible currency of any such monies arising from an investment made in Nigeria with foreign currency, including dividends and profits, payments in respect of loan servicing, and remittances of the proceeds of sale or liquidation of assets.

A similar provision on repatriation is also found in Section 18 of the Nigeria Export Processing Zones Act, CAPN107 (“NEPZA Act”).

Section 18 of the NEPZA Act provides that foreign investors who invest in outlined businesses within an export zone shall be eligible to remit profits and dividends earned in the zone and repatriate foreign capital investment at any time with capital appreciation of the investments.

Other foreign investors’ protection laws are the Arbitration and Conciliation Act. The act gives foreign investors the opportunity to determine the mode of settling disputes that may arise out of their investments without resort to litigation in domestic (Nigeria) courts.

With the anticipation that such settlement will unfailingly and efficiently protect and enforce the rights of foreign investors and their investments provides a framework for domestic arbitration it also makes provisions for international commercial arbitration which is more preferable by foreign investors.

Section 56(2) (d) defines ‘international arbitration’ to include any arbitration that the parties have expressly agreed in the arbitration agreement to treat as international arbitration. The Act provides that every arbitration award is capable of enforcement under the New York Convention.

Nigeria’s entries into these investment treaties and its enactment of the Conventions into domestic legislation have made the protection mechanism part of Nigeria’s legal framework for protection of Foreign Direct Investments (FDIs) friendly and convenient to actual and potential foreign investors.

A Compaq Guide About Business Setup in Dubai

Dubai is the one of the fastest growing business hub with the state of the art facilities available for local and international business. Dubai is an integral part of business world and is leading with innovation. Dubai is politically stable and has strong economic culture and government of Dubai offer friendly business regulations which attracts the investors from around the world. This article will provide you a Compaq guide regarding business setup in Dubai. Before you start your business in a unbeaten economy like Dubai first you need to under the culture of it. Dubai being an international city is a multi-cultural city, people from all around the world are present in Dubai. After familiarizing yourself with the cultural you must learn about the rules and regulations and kind of the business you can start.

Legal structure of business setup in Dubai is according to UAE Federal Law No. 8 of 1984, and after the amendment in Federal Law No. 13 of 1988 – the Commercial Companies Law, and its by-laws regulate the function of foreign business in Dubai, United Arab Emirates. In wide terms the requirements of these regulations are: The Federal Law requires a total local equity of not less than 51% in any commercial business and describes seven categories of business organizations which can be established in the UAE. This regulation explains the requirements in terms of shareholders, directors, minimum capital requirements and business incorporation processes. This law further lays down the requirements of governing conversion, merger and dissolution of companies and businesses.

In Dubai, you are given plenty of opportunities; you get benefits of best economy based on strong administrative foundations. Authorities of Dubai have divided the city in different economic jurisdictions. You can start different types of businesses in Dubai bases on type of business and location; types are divided in three main categories which are Mainland, Free Zones and Offshore. Another thing to remember is that Dubai welcomes foreign investment but there are rules and regulations that must be followed. In order for you to enter in Dubai, UAE you need to have sponsor, a sponsor will take your responsibility. Importance of a sponsor can be determined by the fact that for any purpose if it is business or you are just visiting you must have a sponsor. When it comes to start a business in Dubai you are require having a sponsor, any kind of business needs a sponsor or service agent. In mainland a local resident or a of United Arab Emirates based company act as a sponsor, for professional service you need service agent as sponsor and for setting up a free zone business you also need a sponsor, in this case free zone acts as your sponsor.

Business setup in Dubai mainland requires you to have a valid license issued by the administrative authority. The name of the authority is Dubai Economic Development (DED); it is a government agency responsible for issuing the business licenses. Renewal of the license, cancellation and up-gradation are also handled by Dubai Economic Development (DED). To ease the investors Dubai Economic Development (DED) operates for different localities, thought scrutiny process of the application is strict but department ensures the quick application processing. In Dubai mainland, Dubai Economic Development (DED) issues four types of licenses, commercial, professional service, Branch office and industrial license.

To setup your business in Dubai mainland under commercial license you are by law mandated to have the help from local UAE resident which is also called local sponsor. Local sponsor is by law hold the 51% shares of your business and you will hold only 49% of shares. However you are given full administrative rights. You can draw contracts with local sponsor and allocate a yearly fee for being a sponsor. Local sponsor sometimes work as silent partners. Local sponsor can be an individual or it can be a UAE based company or group.

However, if you are setting up a business which involve professional services you don’t need to have a local sponsor, in that case you only need a service agent. Service agent works on your behalf and helps you deal with the local administrative authorities to start your business. You are allowed to hold 100% of your professional business and service agent will only be paid once for the service he offered.

Free zones are special economic zones in Dubai which are specially designed to attract the foreign investment. Free zone based business are fully owned by the investor and there are plenty of options to choose with. Every free zone in Dubai has a governing authority or free zone authority. For business setup in Dubai you would need deal with the free zone authority. You may be asked by the authority to provide different legal documents before you finally give the go ahead in form of license by that authority.

Free zone offers different attractive options for foreign investors such as you are given 100% of ownership of your business. There are many options free of tax you can avail like no personal income tax, corporate tax exemptions. There are different types of business setup options in Dubai free zones like you can start of your business enterprise as a limited liability company or service provider organizations, there are different licensing options. Business setups in free zones are allowed to perform international trades. When time comes you can easily wind your business. There is less paper work involved when it comes to end your business from a free zone.

Offshore is another type of business setup offered in Dubai and has been very famous. Offshore means a business entity setup outside of the resident country in an offshore jurisdiction. Dubai offshore jurisdiction provides number of benefits to your business in terms of asset protection, tax optimization and business expansion. Businesses setup in Dubai offshore jurisdiction must abide the offshore companies rules and regulations and is not allowed to trade inside the offshore jurisdiction.

To sum up, after making decision with the kind of business you are willing to start in Dubai you need to deal with the concerned authority. The best way is to hire a professional help. You will be able to find number of consulting firms who are willing to help you deal with the paper work and the authorities. You will be asked by regulating authorities to provide different documents and submit paper work.

Here are few steps you may follow, first of all do research and decide the type of business you are willing to embark, choose jurisdiction and follow through. It is recommended to get the help from a professional when it comes to business setup in Dubai. Ready your paper work for the licensing and get a guide on licensing terms and conditions as there are certain activities you are allowed and certain activities you are not allowed to perform. There are license you can choose which allows multiple business activities.

What To Expect From a Financial Course

Thanks to the influx of technology and the Internet what once was only available to a privileged few is now available to a wide array of people from all walks of life. Thanks to online financial courses, students who once would have been unable to attend prestigious schools of finance or tertiary education colleges are now able to pursue the degrees in finance they desire.

Simply put, finance education and financial courses are available with the click of a mouse.

A finance course consists of studies relevant to global finances. Courses vary from one-time seminars, to certificate and diploma programs, to undergraduate and post-graduate degrees.

While “Finance” may seem to be a simple topic, it is actually a complex and diverse course of study. The basic area of study covers everything from finance theory to the application of statistical and mathematical principles. From the basics, students of finance would pursue specialized education in areas of banking, accounting, business management, and law.

The quantities of available finance courses are bountiful. These courses focus on areas like corporate finance, investments, banking, fixed income and financial management, financial engineering, derivatives, interest rates, risk management, personal finance, computer applications of financial management, international finances, financial institutions and banking, as well as insurance and risk management. Specialized financial courses are available to help analysts and advisors build additional skills in the areas of education finance and budgeting, health care finance, global finance and managerial finance.

College finance courses take the simple finance courses outlined above and provide more details, address more issues and give undergraduate and graduate students the advantage. These college finance courses cover aspects like in-depth corporate finance, monetary economics and its position in the global economy, business economics at microeconomic level, investment management, corporate valuation, international corporate finance, analysis and financing of real estate investment, international financial markets, international banking, urban fiscal policy, fixed income securities, behavioral finance, finance of buyouts and acquisitions, among many others.

Once an advanced degree of finance study is being pursued, a student will encounter the progressive courses of econometrics, principles of micro and macro economics, statistical practice, accounting, and international trade.

It’s best to understand financial courses as much as possible so you can make an informed decision and take the best steps possible to reach your objective. Our time is our so precious and despite cell phones and other conveniences we seem to never have enough of it. See below for more information on Finance Course.

The Economy, Credit and Trickle Down Economics (The Ripple Effect)

When people spend money, someone is effected. If you spend one dollar or one million, spending of money creates cash flow, cash flow creates jobs. The economy is driven by the exchange of goods and services and the movement of money. Even money is a product, when credit is too expensive in the form of higher rates and fees, consumer spending is limited, especially for larger purchases. The current credit crisis is an example of this. When consumer choices are are limited because credit isn’t available for larger purchases it can have a devastating effect on all types of businesses connected to those products. When business succeeds we all benefit. A particular business may need a supplier or shipper, printing company or any number of other business services. All those businesses benefit, as well as their employees and the local economy where that business is located. An example of this is a company with 250 or 500 or any number of employees in Anytown USA. When those employees go to lunch, buy gas for their car, shop at local stores near work etc. it has a positive impact on the local economy. Spending money is extremely important to driving the economy, this is why every news station in the country reports on year end holiday sales figures. Because it effects every business that manufactures, ships, sells, repairs, cleans, installs, or advertises those products. If businesses don’t make enough profit, they lay off workers, less workers means less money being spent and in turn more jobs being lost. Many different types of businesses rely on each other for survival. Let’s say a very large company does business with several hundred other businesses, like Wal-Mart or General Motors. Now, think of all those employees and all of the various products and services they spend their money on. It can only do good things for the economy, however if any large portion of the money flow stops, well, big problems can occur, just like the problems our economy is facing now.                     

Now let’s take a look at the wealthy and their effect on trickle down. If a person, rich or poor or anyone in between spends money, someone benefits, but let’s look at it from the top down. Some wealthy person owns their own business or multiple businesses and employsnumber of people. Those employees pay taxes and spend money on all the necessary life expenses and someone else earns their income from that money. Also this rich guy may own a home or two or three, and when he buys a home or a car, money exchanges hands more taxes get paid and income earned and so on. What about maintenance on his house and cars? Painting, roofing, carpet cleaning and floor care, house keeping and for the cars auto mechanic, car wash, tires. The list goes on and on, so I really don’t think anyone should be upset when the rich get richer, because they are most likely to spend more of it and have a positive financial impact. All the companies that help maintain their possessions and those people that work for them receive a benefit and in turn employ others who also spend money and pay taxes. So, a wealthy person automatically redistributes wealth every time he spends money. The creation of wealth is the reason why most people have a job in the first place. Companies don’t start out of thin air, they are started and run by people, and if they are successful companies, someone might have become wealthy because of it. That wealth is spent and maybe that rich guy decides to start another company or allow someone else to start their own business and the cycle of trickle down starts all over again, so thank some rich guy for the fact that you even have a job. All of the places you spend your money, someone is making money and you are supporting a job and business. The economy runs well when we spend money, the more we spend the more everyone benefits. TRICKLE DOWN DOES TRICKLE DOWN. It is an economic fact, even if the rich get richer and poor get poorer, money still flows from the top to the bottom. If an area has businesses, it has employees who spend money on food, housing, transportation, entertainment and so many other things. So think about the benefits of big business improving income for many other smaller businesses nearby. Many businesses do business with each other and this improves the economic situation for everyone, so go spend some money.

Psychiatry – The Nightmare of the People


In this paper I want to review the investigations from the Citizens Committee for Human Rights in Mental Health. It is this organisation in the United States and other countries that have consistently brought the dangers of psychiatry to the attention of the general public who by and large are the victims of a marriage between pharmaceutical companies and their paid distributors of lethal drugs, psychiatrists. This alliance has been based on the greed for money, profits and kudos all in the name of a science that as one leading authority called – “hokum”

Introduction: A Short History

The history of psychiatry is strewn with the deaths; torture and misadventure that would make any sane person wonder why it has been allowed to continue to practice this black art for so long. Of course the anti-psychiatry movement has been around for almost as long as the profession itself. How did this all begin? You have to go back to the days of the asylums that grew up in the early part of the 1800’s particularly in England and the USA. These places were no more than prisons for the mad, those souls that could not function within the societies norms that dictated how one should act and behave. The head of the asylums was a medical doctor, the first psychiatrist. This man caged the mentally ill in cells, with no heating, little food but rotten scraps and in order to cure them of their madness the inmates were tortured by flogging, burning, immersion in water and many other inhumane acts called treatment. The down fall of the asylums started in England with the York Retreat a Quaker run institute for the mentally ill run on very different lines from the asylums that were government institutions. In the York retreat the inmates were given jobs to perform, were helped by keeping simple rules and rewarded for following them.

They received humane treatment that would lead them to God and sanity. While the York retreat had some success it was still based on control of the mad. Later as the years went by and the 19th century ended the rise of the huge mental hospitals arrived. Psychiatry had new weapons to defeat the mentally ill, this time with brain surgery called lobotomies, hydro-treatment, fire hoses to spray patients with forced jets of water, wet blanket wrapping, where patients would be bound in wet sheets on a bed unable to move for hours, insulin injections, to cause artificial brain seizures and of course electric convulsive therapy – shocking patients with bolts of electricity in order to numb the brain into not remembering why they had problems in the first place. As the 21st century arrived the cost of these hospitals became so burdensome to governments they closed them down and in their stead introduced “care in the community” which ironically did not care at all and most mental health patients became homeless and the new beggars in our streets. It was not until the early 1900’s that finally Freud introduced his “talking cure” a humane way to try and understand the plight of the mentally disturbed and a way of giving them insight and a possible cure. Of course you had to have money for this treatment much as you do today.

Psychoanalysis is for those who can pay the price. As the century blossomed so did Freud’s theory which was to become many types of therapy from behaviourism, cognitive, transactional and many more variegation of his original idea. In fact without Freud there would be no modern psychology as we know it. From about 1960 a new ear for psychiatry emerged. All those barbaric treatments that never worked were about to be replaced, not by another type of institutions but by a chemical straightjacket that came from the pharmaceutical industry. Now drugs were the new form of treatment, suddenly the lowly carer of the insane, and the psychiatrist could become a real doctor and prescribe psychopharmecutical drugs to all. So an era of drug pushing began, where new mental disorders were manufactured in order to sell more drugs. Early in the century Krapelin invented a small book called the DSM (diagnostic statistical manual of mental illness) in this book he gave lists of mental symptoms that if added up in one person lead to a label for their problem, such as depression, anxiety, mania, hysteria, homosexuality, immoral behaviour and much more. As the years went by the profession of psychiatry kept adding to this book and inventing new labels in order to match a drug to manage it.

Today we have the DSM IV version with the next one almost completed as number V. Over the years it has discovered all sorts of new ways to classify human emotions as being mentally ill. Bipolar disorders, ADHD in children, PTSD for soldiers (shell shock of WW1) and many others. While these labels may have some usefulness and have been recognised as genuine problems for a few people, now of course according to psychiatry we are all mentally ill, if not at this moment but in our lifetime. So they divide populations into existing clients of drugs and potential clients of drugs. Today mental health is not a profession, not even a scientific medical branch but simply a marketing arm of the pharmaceutical industry that pays millions of dollars annually to keep the myth of mental illness alive and expanding.

The Evidence;

Here I would like to list some facts that speak for themselves.

• 100 million people worldwide are on psychotropic drugs

• In addition to crippling scores of people daily, every month psychiatric drugs kill an estimated 3,000 worldwide.

• 70% of all psychiatrics drugs are prescribed by general physicians.

• 374 mental disorders are listed; almost all with out a single scientific test to prove they actually exist biologically.

• Psychiatric drugs in 1966 were 44 but by today that has risen to over 180.

• The top five drugs gross more money than half the world’s nations.

• Drugs make over a third of a trillion dollars a year.

• 20 million children around the world are prescribed psychiatric drugs (USA 9 million alone). Most under 5 years old for non-scientific problems.

• Every 75 seconds someone is involuntarily committed a mental institution in the US alone.

• Electric shock therapy is still in use even though it causes memory loss and has little long term benefit to the patients. This is straight forward abuse of Human Rights.

All the above were researched by the Citizens Commission on Human Rights and backed worldwide by some of the most eminent psychiatrists and psychologists today.

The long list above is only the tip of the psychiatric abuse saga. It is a profession based on money and more money. Most drugs in the market are only tested for less than eight weeks in clinical trials before being given FDA approval by a panel of psychiatrists paid for by the very drug companies they are supposed to be regulating. Not a single medical drug on the market today is free of side effects which of course are the real effects of taking dangerous drugs for often fictisous mental illnesses. You cannot solve a life issue my masking it with drugs and expecting to feel better. The issue is still there – so you have to take the drugs for a lifetime in order to never think about your real problems. Of course with the side effects of one drug you are prescribed many others all to combat each others effects – so most people with a diagnosis of mental problems end up on a cocktail of drugs for life. It is amazing the amount of money people spend to chemically anesthetise themselves when a tiny proportion of that cost could be spent seeing a counsellor, psychologist and therapist and actually dealing with their issues and never having to take a drug in the fist place.


Psychiatry, disables, kills and creates drug addicts. Simple really when you add up the costs to society. Do they still have a place in modern medicine at all? Well yes, they could concentrate on helping severely disturbed people with understanding, kindness even when they may have to assert some control over that individual for a short time. However for the vast majority of patients taking psychotropic drugs they could stop them tomorrow (or at least phase them out to minimise withdrawal effects) and start going to see a therapist. I would recommend a counsellor skilled in Cognitive Behavioural Therapy for depression and anxiety, Transactional Analysis for parenting, communications skills, stress at work and many other day to day issues that require some practical skills insight. For personality problems with anger, emotional turmoil, long term unhappiness and dysfunction then a psychoanalyst would be perhaps your choice. Most psychologists who treat patients in counselling are Eclectic this means they borrow from many styles of theory and practice to use the most appropriate approach based on each clients needs. The list is endless but any therapy that helps you to become stable, responsible for your own actions and gives you the insight into choices is better by far than a life time of drugs and unhappiness.

How Does the Media Influence the Economy?

Does the media have any influence on the economy? The media has influence, good or bad, on the economy. I am not stating that it is the only thing driving the forces of the economy, but if you think about all of the bad news that has been out about how little people are spending, layoffs, a downed economy, and other variables; it does have some influence on what people do.

When the news coverage talks about how bad an economy is doing, it can help to drive fear into the lives of people and force people to spend less in an economy. That fear can also trigger businesses to slow down on spending, which can also have an effect on other businesses. Have you ever watched the news and heard stories about various crimes that may have happened and felt like crime is rising in your area? You see, businesses rely on other businesses to make money as well. Doctors use other doctors to get referrals and businesses do the same with other businesses. Here is one example. A slow economy means that fewer homes are built due to slower sales. This would also mean less lumber, flooring, tile, paint, sinks, bath tubs, dry wall, light sockets…and the list goes on for the supplies being used to make homes. And the products are made by more than one manufacturer. This also would mean less sales people and workers would be needed for all of these industries.

You should ask yourself how do you feel about things after hearing about it on the news? Do you think good or bad depending on how the topic is covered? And does it affect or influence your decisions about buying a particular product? Automobile recalls can help to decrease the confidence of consumers to buy a particular automobile. Even though the recall could be on one model, people may stay away from the brand if it is publicized repeatedly in the media. Why? People may be conditioned to think that the product, or products, that the manufacturer makes are unsafe.

The good news is that in this economy, all businesses are not suffering. The news that most people hear is only about companies that are laying off workers or companies that are completely going out of business. But why do we not hear about all of the other companies that are doing well, increasing margins, increasing profits, and expanding in this economy? It is probably because bad news sells faster than good news. People are sometimes more interested in bad or tragic news verses being more interested in good and prosperous news. If you think about any changes that you have made in your life during the recession and how you are spending more or less money. This is also a contributing factor that a lot of people have been doing as well.

You can look at discount stores and know that they are drawing in more people than normal during the recession. Why? The reason is that people are looking to save more and keep more money in their pocket. When this happens, people tend to go to other resources that are available to get some of the same things that they are used to getting. You can also look at the stock markets. They tend to fluctuate when instant media coverage of financial cuts for the government of businesses are announced. This happens in real-time since the information is available everywhere online, television, cell phones, and radio. Have you been affected by the news that you hear or watch? The media can be a power influence on us all. I am not saying that it is a bad thing, but it does have some influence on what we do and how we think.

Why Businesses Fail Without Accounting Finance Help

To succeed in the business world is tough and especially if you are not too familiar with the different strategies which are needed to make a business successful. Accounting finance, bookkeeping, promotion, marketing, production and manufacturing are some of the strategies that you need to undertake for running a business successfully.

Accounting finance is something that any business needs to seek help with. If you are running a large scale business, there is no question that a separate department or outsourcing is needed. If a person is running a small scale business, they may be able to handle the accounting finance work themselves, but background knowledge is a must. Attempting to calculate these figures can be very time consuming and frustrating if the education or skills are not possessed.

Accounting finance will service a business by keeping a proper record of all the financial aspects of the business. Each business needs to keep a record of all the fiscal dealings that they do on a daily basis, as this is the only thing which will help in determining how good or bad the business is doing.

Often it happens that the person handling the accounting finance or the financial aspect of the business does not make it a habit to maintain all the financial records consistently, especially the small transactions that are done on a daily or weekly basis. It is very important to have all the things documented and it will be best if these things are written down because they are quickly forgotten.

Now accounting finance help is something that you cannot avoid and so you must make sure that you get the best professionals to do the work for you. There are many well-known firms that perform excellent accounting finance. Using a true army of dedicated, experienced personnel such firms have the capacity to deal with various financial accounts, engaging in bookkeeping and income tax services. The benefits of outsourcing the accounting finance helps in every aspect of a business, and this is the reason why there is a large surge in the number of business owners and entrepreneurs opening up to the idea of outsourcing the work.

The experience of professionals can help people understand and maintain their financial records in a more effective manner. With accounting finance services, one can learn the true basis of accounting and benefit from an advantageous tax system suitable for corporations. Their intention is to use all the available resources and trained staff to help deal with issues such as audit and budget possibilities. Using such a service, greatly assists in accomplishing a company’s clear objectives.

The strategy, which will be needed for maintaining the accounts of your business properly, is different for every business. Therefore, the professional who is offering accounting finance help to your business must make sure that he is fully aware of all the different aspects of your business. Then based on that, decide what will be the best way to handle the accounts and finance of your business. Accounting finance help can do wonders to your business when doe in the correct way.

Market Global Structure

A multinational firm’s organizational structure that reflects the “global” philosophy that the world is basically one homogeneous market is called a “global structure.” For example, by this philosophy, many large electronics and consulting firms, while allowing for minor local adjustments to packaging and language, basically project the same kinds of products and services around the world. However, there are several differences in terminology and philosophy in this field.

First, a “global” philosophy is characterized by seeing the world as one more-or-less monolithic market with similar tastes and preferences. In contemporary parlance this is opposite to a “multidomestic” (or multinational or multilocal) philosophy by which one sees the world as made up of many more-orless unique markets, each with its distinct tastes and preferences. A position between these two extremes is called regionalism, whereby one sees the world as being made up of a small number of quite homogenous regions. These constructs can be applied to industries, firms, and organizational structures, and it is informative to understand how global thinking at industry and strategic levels apply.

For example, George Yip sees globalization as a function of the degrees to which the global marketplace is fragmented, local customer needs are distinct, local sourcing imperatives exist, costs are heterogeneous, and trade barriers are significant to cross-border commerce. Thus Randall Schuler, Peter Dowling, and Helen De Cieri and other scholars refer to some industries-like commercial aircraft, copiers, generic drugs, most electronics and computer hardware-as global industries; while retail, the food industry, and most services are considered substantially multidomestic.

Multinationals-and other large firms, for that matter-generally are divided into several parts, units, or divisions that reflect some aspect of their strategy. This link between structure and strategy was made famous in the classic book Strategy and Structure by Alfred DuPont Chandler. For example, a firm with five product categories may have been structured into five divisions, each division mandated to manage one of the product categories. Chris Bartlett and Sumantra Ghoshal build on this logic as they focus on organizational responses to global and local forces; and they describe four organizational types (or mentalities) for the global organization that represent organizational and strategic responses to various industry contingencies. For example, they describe the global firm that views the world as its market, assumes that national tastes are more similar than different, and that believes in standardized products; and these strategic approaches require structural integrative mechanisms that are to coordinate worldwide activities, production, marketing, research and development (R&D), and planning.

Thus, it is these structural processes that are implied by the term global structure. Mechanisms All large organizations need some structures that coordinate and integrate to some degree. However, the global strategy relies on these structures for implementation There are three major aspects to this kind of structure. The first is the locus of strategic responsibility. Second, the way the structure separates reporting relationships and dictates how the firm is divided. This aspect of structure may be called structuring. The final aspect is the kinds of coordination and integration systems-these may be called processes.

Locus of strategic responsibility: A crucial aspect of organization structure is the extent to which decision- making autonomy is delegated from corporate headquarters to parts of the business. In the global firm there is a strategic imperative to centralize important strategic decisions. For example, decisions on product range, research and development, branding, and human resource management tend to be made at corporate rather than subsidiary level. Even customer service, which is the function most likely to be located closer to the customer, may have its major policies and standards set at corporate level. Structuring: A characteristic of the global structure is that it is relatively blind to geographic distance and instead focuses on one or more other strategic dimensions-like products or markets-that it considers more important (than geography) to its success at implementing a global strategy.

Thus a global structure commonly has a major top-level division into product categories (generally called a global product structure), markets (global market structure), or some matrix (global matrix structure). As an example of a global product structure, Procter & Gamble (P&G) has three global product divisions, namely Global Beauty, Global Household Care, and Global Health & Well-being. However, the distinction between product and market structures is likely to be blurred-for example, Boeing’s business units seem like different product divisions (commercial airplanes, integrated defense systems, and Boeing capital corporation), but in effect all three have the aim of marketing various aircraft and aerospace products and services to different market groups-in this case commercial airlines, governments, and financial intermediaries.

The global matrix structure attempts to organize activities by two (or more) managerial dimensions-like product, geography, and/or market. For example H. J. Heinz has simultaneously geographic divisions in North America, Europe, Australia/New Zealand, and emerging markets (selected countries in Asia and eastern Europe); several product categories, namely ketchup/condiments/sauces, meals and snacks (including frozen foods), soups/beans and pasta, and infant feeding; and separate operations for retail and food service channels. In a global structure these various departmental and business divisions may have necessary aspects of local focus, but essentially they work together for implementing the firm’s global strategy.

Processes: Finally, and very importantly, structure implies processes such as coordination, integration, and information systems. These processes tend to be pronounced in the global structure, and generally very common in contemporary organizations. Kwangsoo Kim and Jong-Hun Park identify four generic integrating mechanisms: (1) people-based integrating mechanisms that use people to coordinate business operations across borders, involving the transfer of managers, meetings, teams, committees, and integrators; (2) information-based integrating mechanisms use information systems such as databases, electronic mail, Internet, intranet, and electronic data interchanges to integrate business operations across borders; (3) formalization-based integrating mechanisms rely on the use of standardized or common work procedures, rules, policies, and manuals across units; and (4) centralization-based integrating mechanisms retain decision-making authority at the corporate headquarters-a similar concept to that in the “locus of strategic responsibility” section above.

The more global the firm, the more it uses these processes. Intel, for example, uses relatively few formal structural mechanisms, but several cross functional teams-including information technology (IT), knowledge management, human resources, finance, legal, change control, data warehousing, common directory information management, and cost reduction teams-as integrating processes that allow them rapid adaptation to changing conditions. Integrating mechanisms can also have negative effects-perhaps tying the hands of local managers, imposing compliance costs (both time and other resources), and creating unintended bureaucratic barriers to efficient decision making. A study by David Brock and Ilene Siscovick, for example, found effects of integrative factors at subsidiary level were often negative.

What To Do With An Economics Degree

Economics deals with the production and distribution of wealth, goods, and other services. Many students who obtain a degree in economics find jobs as economist, while others pursue similar careers in other relevant fields in business, academia, private sectors, and government. Students who wish to pursue a degree in economics will study topics such as forecasting, macroeconomics, global and emerging markets, economic development, microeconomics, economic reporting and analysis, managerial economics, and calculus.

While at their college or university, students should explore different concentrations that align with their desired career. Those who hold economics degrees can work in businesses such as banks, petroleum companies, universities, credit card companies, medical associations, and many others. Some specific jobs include economist, financial advisor, accountant, financial analyst, stock broker, personal banker, investment advisor, and actuaries. Individuals will most likely be working with finances, so both liking and understanding simple and complex math foundations is a plus.

If individuals are interested in the business sector, they will be finding jobs in transportation, health, labor, industry, and private firms. Employees in these fields typically have advanced statistics, writing, verbal communication, and computer skills. For those who are learning more towards government, the most likely departments in which to be employed include finance, business, labor, agriculture, international trade, transportation, and urban economics. In order to submit an effective resume to these departments, students should try to involve themselves in student government, find an internship in a government agency, and consider graduate school to be eligible for a wider variety of careers.

Many individuals who hold an economics degree go into the economic and market research field. These typically include business firms, consulting firms, consumer goods manufacturing firms, and market research firms. An accompanying business minor is also a great support when finding a job in this field. Students should also try to involve themselves in the campus newspaper, work for a political campaign, and take a business research practicum.

Another available field is in banking and finance. Graduates may work at regional and commercial banks, or Savings & Loan associations doing work such as trusts, operations, systems, and credit lending. In order to be successful in this career, students should have advanced computer and analytical skills, and have some experience as a cashier, teller, or have worked as a financial officer or treasurer.

The majority of people who pursue this degree are interested in becoming economists. These professionals will analyze and conduct research about how resources are distributed and used in order to produce services and goods. Most individuals will have specialized knowledge in a certain concentration in this field, such as industrial economics, organizational economics, and microeconomics.

Accounting Finance – The Heart of Any Successful Business

At the core of any successful business is a well organized management. Financial accounting is a very important tool for business. Aside from knowing strategies such as bookkeeping, marketing, advertising and production, a good and stable business must also have a competent system for accounting finance.

Whether you like it or not, accounting finance is one thing you cannot dispense with in the world of business. It is a very important tool in determining where and how exactly your money is being spent. Also, it is most important in terms of taxes and other pecuniary obligations.

Good Accounting Means Good Business

Accounting ensures you how much you have, how much you owe, and helpful in assessing the value of your business. Are you generating any profit or operating at a lost? Accounting records will answer your questions. Accounting serves as the proper recording tool of the financial status of any business. Fiscal dealings are best kept right on track with an effective accounting department.

A good accounting system within one’s business is a great help in making business decisions. This also shows how credible you are with other companies. Accounting does not only place you in a very knowledgeable stance, but it gives you that confidence by being armed with the facts and figures revolving around your business. Knowledge is power.

Professional Accountants

It is to your advantage if you are an accountant by profession. But if not, you can still do your own accounting if you are operating a small-scale business. However, if you have a big company it is advisable to hire a professional accountant especially if you do not have the time and the skill for it. You must realize that there are various strategies in keeping various kinds of accounts in a business.

It is also best to check the accounting firm’s competence, credibility and confidentiality issues. It is very important that in any business, you would be able to trust your accountant with sensitive information, including profits and sources of income your business is accumulating.

Accounting standards you should know

To the untrained and unsuspecting eye, accounting principles might seem hard, intimidating and complicated, but it is in reality very simple if you get past all those figures. All you have to know in accounting are these: Accounts are always divided into three types, namely assets, liabilities and equity. Each account is unique and simple yet forms part of the very foundation your business is operating on.

“T” accounts can be managed by drawing a T like figure with a left and right section divided by a vertical line. On the left side, you can place all your debits or the so called assets. On the other side, you can list down all your liabilities or what we call credits.

The general rule is that for every liability, there must also be a corresponding asset so that a balance will be achieved. If the credit is more than your debit then perhaps you are already generating a loss in your business.

Mastering these simple accounting principles will help you in determining where your business stands. You will also be more confident in presenting these financial records even if federal agents pay you a visit for an audit. GP