Leader’s Ability Essay

The level of difficulty a new leader will experience throughout the progression of business growth will depend on the leader’s ability. Any person can become a successful leader either through luck or through hard work. Luck may come in the form of inheritance or support from a family member or a close contact. Ability will be earned through hard work and dedication, which will reward the leader with knowledge and respect. To compare the two, luck may be a quicker way to success, however, ability through hard work and dedication will surely build a stronger foundation for ability to maintain the earned power; thus, allowing the leader to have a firmer grip on his position and enable him to keep his power for longer. The leaders employees having seen him progress through different stages, growing and working towards his goal of obtaining power will have respect for him, because the average employee can relate to him having seen the leader do the employees work in the past. Chapter 6 elaborates on a theme of personal ability. â€Å"Virtà ¹Ã¢â‚¬  is the Italian word Machiavelli uses to describe a successful leader, the meaning of which does not have an English equivalent; however, comes closer in meaning to the Latin word virtus,†virility† in English. Although the exact meaning of â€Å"virtu† has not been specified, it is understood to describe ability, skill, energy, forcefulness, strength, ingenuity, courage, or determination. Virtà ¹ is the quality which defines a successful leader, and is the quality one must possess in order to succeed in the world of business. Having to evaluate any successful leader of the current times, each one of them possesses this quality, taking for example Donald Trump whom inherited his fortune, or Warren Buffett whom grew his account from nothing to billions of dollars. Also, it is stated in this chapter that virtà ¹ without opportunity is wasted, and opportunity without virtà ¹ is wasted as well. This suggests that having all the qualities of a successful leader will not guarantee that one will become as such without being given the opportunity. Alike with being given numerous opportunities, one will not succeed without having the qualities, or at least having the potential of the qualities required to become a successful leader. All the opportunities without the ability to take advantage of them will be wasted. Business Relevance The following are two examples of acquiring power; one is through inheritance, the other through hard work and dedication. Trump was born in New York City in 1946, the son of real estate tycoon Fred Trump. Fred Trump’s business success not only provided Donald Trump with a posh youth of private schools and economic security but eventually blessed him with an inheritance worth an estimated $40 million to $200 million. Donald Trump then went in his father’s footsteps to become the next real estate tycoon before continuing on elsewhere in his career. This is a classic example of inheriting a parent’s fortune and using it to obtain power through taking advantage of opportunities made available to Trump through his father’s success in real estate. Born in Omaha in 1930, Buffett worked at a grocery store run by one of his relatives for a good period of time. He even sold assorted products as a door to door salesman. He used some of the money that he earned to fu nd a bank account. He also used some of his money to buy different items that he could invest in with the intention of earning money. It is estimated that he had earned about five thousand dollars from his work when he graduated from high school. Later, Buffett created Buffett Associates, Ltd. in 1956. He was able to get a few partnerships with some businesses during this time and eventually got to where he had nearly $300,000 in capital around the end of that year. The partnership of Buffett Associates, Ltd. helped make Buffett a millionaire in 1962. Nearly a million dollars of the $7 million that the partnership had came out of his money. This example explains Buffett’s success through hard work and dedication. Buffett grew his account from zero to millions over the period of thirty years. He did not inherit a fortune, therefore he had to work from the bottom up. People around the world respect him and seek his expertise on becoming successful. Regular folk can relate to him because they know he used to be one of them, he too used to no money, and a great amount of determination to become successful. Right or Wrong Machiavelli explains that the level of difficulty a new leader will experience throughout the progression of business growth will depend on the leader’s ability. This is true for both Donald Trump and Warren Buffett because they both became successful leaders through luck and through hard work respectively. For Donald Trump, success came in the form of inheritance from his father, which was a quick way to gain knowledge and power. However, there are a lot of people who view Trump as an amoral capitalist. This supports Machiavelli’s theory of quick success and how it brings about disrespect. Donald Trump’s case however is not supported by Machiavelli’s theory of short lasting power. The reason for this is that the theory cannot be always accurate, there are exceptions. Also, at this time and age, having the knowledge and the funds to gain power, will give one the ability to keep their power. For Warren Buffett, his ability was earned through hard work and dedication, which rewarded him with respect. Buffett’s dedication to succeed surely built a stronger foundation for ability to maintain the earned power. This has turned Warren Buffet into an investment guru whom people all around the world look up to and respect. His investment strategies are highly successful and are adopted by investors everywhere. Warren’s power came from working from the bottom up and demonstrates a well-built foundation for acquirement and maintenance of power and success. This supports Machiavelli’s theory of long earned and long lasting power directly. In conclusion, Machiavelli was right; however, his theory does not apply to every single case and thus, is not a completely reliable way to evaluate or forecast one’s position in an industry or the potential of gaining power and becoming successful.

Boeing E-enabled Advantages Essay

Boeing is an American multinational corporation that designs, manufactures and sells fixed-wing aircraft, rotorcraft, rockets and satellites. It also provides leasing and product support services. Boeing is among the largest global aircraft manufacturers, is the second-largest aerospace & defense contractor in the world based on 2012 revenue and is the US’ largest exporter by dollar value. Boeing stock is a component of the Dow Jones Industrial Average. The Boeing Company’s corporate headquarters are located in Chicago and the company is led by Chairman and CEO James McNerney. Boeing is organized into five primary divisions: Boeing Commercial Airplanes (BCA); Boeing Defense, Space & Security (BDS); Engineering, Operations & Technology; Boeing Capital; and Boeing Shared Services Group. In 2013, Boeing recorded $86.623 billion in sales, ranked 30th on the Fortune magazine â€Å"Fortune 500† list (2013), ranked 95th on the â€Å"Fortune Global 500† list (2013 ), and ranked 26th on the â€Å"World’s Most Admired Companies† list (2013). The success of this aviation company began when the founder of Boeing, William E.Boeing, bought a shipyard in Seattle on the Duwamish River, which later became his first airplane factory. Boeing, a graduate from Yale University incorporated Boeing on July 15. 1916 as ‘Pacific Aero Products Co.’ which later transformed the company into a world’s largest aircraft manufacturer throughout the aviation history. Between World War I and II, Boeing grew to be one of the largest aircraft by supplying the military with training and fighting planes, pioneering airmail planes and routes, and developing early passenger planes. During World War II, Boeing was ‘one of the country’s leading defense and space contractors’. The B-17 â€Å"Flying Fortress† and B-29 ‘Super Fortress’ bombers were an essential military force, and the B-52, and eight-engine bomber that made debut in 1952, had been used in the Vietnam War, the Persian Gulf-War 1991 and in Afghanistan in 2001. Research and development that took place during the war years set the stage for the coming age of commercial jetliners, which Boeing would dominate for the remainder of the 20th century. Boeing’s Aircraft Production Boeing made its entry into commercial aviation in 1954, by introducing Boeing 707 to the world. The aircraft, four-engine jetliner based largely on ‘C-97 Stratofreighter’, a military-tanker transport which competed directly with the Douglas DC-8. While Boeing’s foray into commercial aviation was risky at first, the success of 707 eventually helped establish Boeing as a leader in commercial aviation, which until then had been dominated by DAC (Douglas Aircraft Company). The 707 was followed by the 727 in 1962 and the 737 in 1967, and in 1968, Boeing rolled out the 747-its flagship aircraft and the largest civilian aircraft the time. 757, 767 has been added to the 7-series of jetliners right after the ‘impending disaster’, when the Congress had pulled the plug on funding for development of the Apollo Project. During that time, cyclical aviation industry faced a massive downturn, and Boeing had to bear the high start-up cost. Wilson, the president of Boeing at that ‘downfall period’ was force to cut Boeing’s employees from 105,000 to just 38,000, just to maintain the company’s relevancy on financial. Throughout the 1980s, Boeing was virtually unrivalled in commercial aviation. Its 2 main competitors, McDonnell Douglas in the US and Airbus in Europe, held less than half of the market share combined ad neither had a family of airplanes that could compete with Boeing’s versatile 7-series. The second half of 1980 and the early 1990s witnessed nearly unmitigated growth for Boeing. Although the defense and space sectors struggles as the US government cut funding, the commercial aviation division prospered. Air travel had been growing steadily since 1970; ad Boeing broke its own sales record for 6 years in a row starting in 1985. In the 1980s alone, Boeing received orders for more than 3,500 jet liners, which represented half of all jetliners sold by Boeing since the first 707 order was placed in 1956, and in 1987, the 737 surpassed the 727 as the world’s best-selling jetliner. In 1989, Boeing announced plans to develop the next airplane in the 7-series, the 777, to be rel eased in 1995. By 1992, Boeing employed nearly 150,000 people and posted net earnings of 1.5 billion. It was the country’s leading exporter and was considered one of  the nation’s most admired companies. The company that started a mere hobby had become ‘the king of the jet makers.’ Problem Statement Throughout the e-Enable program, Lou Manchini, the Vice President of CAS (Commercial Aviation Service), stated that the main goal of the program was to continue running a profitable business while integrating each business unit with the strategy. This strategy was the implementation specifically for Vision 2016, on how to bear the challenges ahead and putting ideas into practice. The entire effort to implement the goals was handed to Chris Kettering, the program director of e-Enabled. ‘e-Enable’, which adverse the cost-cutting of long term financial strength of BOEING, has revealed Scott Carson’s proposal on breaking down sops of communication among different units. In order to sustain the business through cost-management, the problem of this case has been identified as how e-Enabled can aid the program for long-run sustainability. Could e-Enabled provide the advantage that airplanes used to provide? How concrete the advantages were to withstand the tight competit ion from other makers, and would BOEING’s transition into services prove to be the silver bullet – the solution to the airlines financial woes and to BOEING’s aggressive competition with Airbus? SWOT Analysis Strength Weaknesses World leading/largest aircraft company, used by many Airlines Company and military. Having full concentration especially more on R&D activities/ Wide product and service range, which consists of commercial airplanes, defence work and aerospace The practise of having a healthy financial performance, despite some losses from previous business deals. Strong product and strong technology. Issues of safety (example: 787) Problems on labour forces due to committing into large numbers of workers. Communication issue between departments in the company because of the  company size and high number of staff. In order to stay in business, the company is too dependent with contract with U.S government. Opportunities Threats Aircraft demands from other continents. The increased demand for fuel efficiency in aircraft may lead to company to invest in developing efficient aircrafts. Data availability that can be provided to airlines operators, security agencies may lead to improvisation on the products. Military expansion in new country will requires more aircraft. (Eg: U.S invasion to middle-east) The growth of freight transport market. Competition arises as reported that Airbus are in pursuit to offer services for the military and commercial aircraft sector. New entrants of competitor also exist in defence sector. Uncertain airlines industry environment. The need for lighter version of fuel-efficient planes. Case Analysis ‘e-Enabled Advantage’ strategy was first unveiled in June 2003, the Paris Air Show. Core concept of the strategy, whereby all data and information system relating to airplane maintenance, flight operations and passenger needs would be seamlessly interconnected to effectively bring the airplane into the airline’s network during flight. Through acquisitions, Boeing has increased the value of its e-Enabled campaign by holdings companies that offered different advantages to support its IT credibility of the airline system and established a consumer-friendly website to increase airline technical awareness. The participating companies are: Companies Support Type Preston Aviation Solutions A Comprehensive suite of IT Solutions to need the needs of aviation customers. Jeppesen Sanderson Inc. Provides a full range of print and electronic flight information services. Continental Data Graphic Corp Customized information and documentation to airlines including illustrating and editing materials. MyBoeingFleet.com Provides powerful and flexible tools to manage crew scheduling in both regulated and deregulated environments. SBS International Provides IT maintenance and platform stability Hughes Electronics Corp. Recognized as the world leader in, reconnaissance, surveillance, and imaging systems. After the acquisition, the company further their long-reign campaign IT based strategy with e-Enabled to reach customers on feedback of how to improve the operational quality of Boeing services by introducing ValSim in 2004 (Valuation Simulation), a program that visualized its customer’s business structure using Microsoft Visio to demonstrate how the CAS Software portfolio adds value to the operations. Efficiency is the core success for survival in any airlines industry. When we talk about operational, efficiently is the ‘heart’ that pumps the ‘life’ into the core. With e-Enabled, many within Boeing believed that it is the ‘fundamental’ to deal with the pressures of cost against revenue on demand over supply and aviation competitive market. Also by looking at its e-Enabled environment, the objective is to ensure integrated solutions to services and product will be realized from time to time. As forecasted by analysts, Boeing will have an average of 5% growth in passenger volume over next 2 decades. Summary & Recommendations Boeing’s e-Enabled Advantages has proven that’s the functionality of the strategy has strengthen up the company’s financial position as well as embedding better IT solution in aircraft industry. Boeing has proved a strategy that could sustain their organization for many long years ahead, while having a competitive advantage in the airline industry especially to compete with Europe’s Airbus. One of the most talkative subjects coherent with the powerful e-Enabled Advantage is the Boeing 787 Dreamliner. It is a plane that defined the while e-Enabled Advantage campaign, which fully embedded enabled features. Since  the safety of the aircraft is being questioned from time to time, research and development if Boeing still has ample time to carry out strategic analysing on the aircraft in order to strengthen up e-Enabled advantage. e-Enabled campaign is a serious campaign, thus full support from other bodies and JVs are required for the sake of e-Enabled functionality. This is to recommend that Boeing should look for more promising companies (as a failover backup) that could support e-Enabled if the current supporting bodies fail to deliver through its standards. Other recommendation that can be described in this study case is to offer certain features or software on a free trial or discounted fee to allow airline operator to understand the advantages and scope of e-Enabled services. The awareness and widespread of understanding may need to be improved through not only websites but also other sources of medias.

Contribution of Capital in Growth Assignment Example | Topics and Well Written Essays - 500 words - 1

Contribution of Capital in Growth - Assignment Example   b) In such a model, the growth rate of output is ∆y/y =(SAnd), and therefore arise in depreciation cause a reduction in an economies output and since the growth rate of capital is a function of such depreciation and since they the increase in depreciation decreases capital stock. And since consumption is relative to output a decrease in output impacts in a similar way to consumption as they are positively related. Therefore it can be seen that increase in depreciation will reduce the capital stock, in the long run, reducing capital, capital-output per worker and finally consumption.   At steady state the optimum capital is utilized and since the government takes up all the units produced. The labor force utilizes all the capital available which the government takes up as indicated by point A. Also at this point, the government saves nothing since it utilizes everything in purchasing the entire output.   b) increase in government purchases will cause an increase in productivity per worker but since the capital is a function of depreciation capital at the disposal of the workers will decrease in the long run causing a reduction in the output per worker and consequently a reduction in consumption an increase in â€Å"g† cannot even match the growth of population or labor force of an economy.

Why the government should create policies that make buying locally Research Paper

Why the government should create policies that make buying locally more appealing to us in the United States - Research Paper Example Lester Brown, President of the Earth Policy Institute states, â€Å"The prospect of peaking oil production has direct consequences for world food security, as modern agriculture depends heavily on the use of fossil fuels.† Modern agriculture depends heavily on fossil fuels to operate the heavy machinery necessary to take the worlds supply of food from a beginning, on the farm, to its end, in the hands of the consumer. Brown points out many aspects in his article to support the fact that the rising cost of fossil energy is driving the American economy back into its local communities. Every product produced that ends up in the hands of the consumer is directly effected by the use of fossil fuels. Past decades of inexpensive oil has created this dependency which in turn has given rise to the way our society lives. There is virtually no limit to the distance that food can travel to the consumer. Many of the products that we consume daily travel from China, an emerging country, als o, have seen a growing dependency on fossil fuels. In their effort to become more capitalistic, backward agricultural methods have been replaced with modern machinery dependent on oil. Dependency on oil not only creates higher cost in food; it also creates a constant flow of filthy air back into the environment. Therefore, with these notable factors, should the government make policies that drive the consumer back toward the local economy? It’s a question of individual initiative in most instances, but most of us look to the government for guidance just as a child looks to its parents. Should the government be involved at all in the daily lives of the consumer? Policy is not treated in the same fashion, as are laws. Policies put forth to a society as a whole give suggestions and positive influences that are more readily accepted by the majority. A policy is a more tactful way of achieving an end result without the rigors of law. Consider our food safety! Where do our foods or iginate? What are the safety factors involved in transporting foods from such long distances? What are the positive factors of focusing more on local grown foods? The Food and Water Watch states, â€Å"Our current food system is broken, and it didn’t happen by accident.† The Fair Farm Bill works to bring positive aspects, changes, and upgrades when needed. It also promotes the local food movement, pointing out that locally grown foods are more accessible, healthful, tasty, and help local communities prosper. As local communities prosper, it brings the economic living standards back to an acceptable quality of life. The current food system consists of large monopolies formed primarily to sustain themselves economically due to rising cost of fuels and other expenses. Farmers have been forced to merge with others into large conglomerates, which have not been a positive factor for the consumer in producing quality, healthy, and fresh foods. Foods that are produced in other countries do not have the same health standards supported by the policies of the United States. The merger era also destabilized pricing. Pricing in any industry normally fluctuates by supply and demand. Large conglomerates monopolize the market creating their own pricing structures, but questionable inferior quality foods. Smaller local food entities focus more on quality vs. quantity. Competition is what drives any capitalistic society to improve on what now exists. In order for local small business to exist, there must be a breakdown of the large conglomerates. A competitive atmosphere fuels more business, better quality, and lower pricing; which will be passed to the local communities giving easy access

Demand versus supply paper paper Essay Example | Topics and Well Written Essays - 1250 words

Demand versus supply paper paper - Essay Example As a result, many diseases that were considered deadly a few years ago are effectively curable today. As an important example of these improvements, prescription drugs have leapfrogged in the health industry in ways that in some cases they have even reduced the occurrence of surgery (Kimbuende et al, 2010). This paper attempts to discuss customer demand for prescription medicines in connection with the variables of cost and supply in the USA. The major question we, at the very start, come across is if the theories of economics fit well in case of healthcare. According to Scott II (2001), the actual application of the concepts and theories of economics are not a straightforward exercise. The application of economics to healthcare theories is a complex question and therefore, the results found in research can not always be dependable. However, there are two major economic concepts that apply well to the case of healthcare: (1) Allocation of Scare Resources and (2) Economic Efficiency (Scott II, 2001). In case of our health care product, prescription medicines, these two notions are the most obvious. Thus, as far as the allocation of resources is concerned, more and more is being devoted to the production of such magical potions to produce even better products and at lower costs (Scott II, 2001). With the discovery of every new disease more allocation of resources takes place in the prescription drugs industry, not to forget that in most of the cases prescription drugs are more than necessity. Moreover, increased competition in the drug industry demands the firms to be more efficient in their production. The question then arises if there is any relevance of the forces of demand and supply in the prescription drugs markets; it has been observed that an increase in the market prices for prescription drugs serves as a signal to the producers that they are in demand and the supply is thus triggered (Scott II, 2001). Thus we

Chapter 9 poetry questions Assignment Example | Topics and Well Written Essays - 500 words

Chapter 9 poetry questions - Assignment Example The speaker seems to lose hope that his love is in heaven as the poem progresses. He continually needs reassurance from the raven. His feelings are one of utter despair trying to hold on to something positive out of the situation. I do find myself moved by this poem. No one can prove a heaven or for that matter a hell exists. I have had people in my life die that I would like think are in heaven, but I don’t really know. 3. In paragraph 17 of his essay â€Å"The Philosophy of Composition,† Poe draws his reader's attention to several aspects of the poem, especially the refrain, the progression of the speaker's questions, and the versification scheme. He notes that the refrain "must be sonorous and susceptible of protracted emphasis, admitted no doubt: and these considerations inevitably led me to the long o as the most sonorous vowel, in connection with r as the most producible consonant." Look for other words in which the sound reflects and reinforces the sense, as this one does. Pay special attention to the alliteration, the assonance and consonance, and the internal rhyme as well as examples of onomatopoeia, such as "rapping, tapping" or "silken sad uncertain rustling." What other aspects of the poem do you see which are not mentioned or explored in the essay? One example is borrow, sorrow, and morrow. Another example is ‘thrilled me-filled me’.

Globalization Effects upon Power and Responsibility of Firms Essay

Globalization Effects upon Power and Responsibility of Firms - Essay Example Globalization has drawn manifest impacts upon different aspect of businesses and many philosophies and phenomenon exists within the business world got new directions in the era of globalization. The emergence of globalization has also evolved the debate about the power and responsibilities of the companies in the globalized era. This debate is often concluded with the explanation of the phenomenon of Corporate Social Responsibility (CSR) .The notion of Corporate Social Responsibility has also changed significantly due to the emergence of globalization. (Collins, 2003, p143) The following essay aims to discuss the impact of globalization upon the power and responsibilities of the companies and businesses. The essay discusses the emergence of CSR in the context of globalization and discusses some important managerial and environmental issues that drastically need to be addressed through the CSR plans of the companies (Hutton and Giddens, 2001, p312). Globalization effects upon Power an d responsibilities of the firms Globalization has altered the traditional patterns of conducting businesses and the firms of the modern era have become significantly different from the firms of the past. In the wake of globalization the firms are provided with wide variety of opportunities for the development and expansion of their businesses however, at the same time their powers and responsibilities are also affected in the changing business scenario. The effects of globalization upon the power and responsibilities of the firms have appeared to be very important point of discourse for the social scientists, experts and theorists and there have been many approaches divulged by the researchers to identify the core benefits and setbacks of globalization in terms of determining the new dimensions of power and responsibilities of the firms in the era of globalization (Collins, 200, p395). The analysis of the emerging business scenario altered by globalization unfolds some important asp ects regarding the effects of globalization upon the powers of the firms. It appears that globalization has main added to the power of the firms by providing them opportunities to easily manage their operations all over the world. The business scenario has also changed a lot in the emergence of globalization that also strongly affects the power and responsibilities of the firms in the modern era. International trade is going through revolutionary changes in the modern world as the technological advancement has changes the traditional ways of doing trade and now the countries are adopting modern ways to conduct their trade operations. The advancement in technology has revolutionized the international trading activities as well. Computers and internet have drawn strong impacts on the trading, investment and other business related activities. For example the advancement in transportation has enabled the traders to transfer goods and services in short time of period to a far distant pla ce and the communication technology allows the traders of different countries to keep in instant contact with each other with the help of mobile phone and internet (Rodrik, 1997, p68). The firms operating at different scales are now able to easily get involved in the international trade operations because it has also become simple, less expensive and secure with the advancement in technology. The traditional trading system involves a multitude of complicated steps and documents but E-commerce has simplified the process of the international trade and offered a unique ability to reduce the complexities of the system. Now the

Drug abuse Research Paper Example | Topics and Well Written Essays - 1500 words

Drug abuse - Research Paper Example This research paper will seek to explore the above three topics in drug abuse so that by the end of the paper, the researcher will provide recommendations on how to reduce drug abuse in the American society. The commonly abused drugs are alcohol, cocaine, marijuana, heroin and tobacco. This research paper will analyze and examine the health effects it has on the user. Further, it will analyze the short term and long term effects of the drugs so as to give a clear understanding on the effects of drug abuse. The paper will also research on the effects of the drugs to the non-abusers. Non-abusers can be the family members of the abuser, the community around or even the whole country. The research paper will create more emphasis in knowing the different causes of drug abuse for different groups of people. After understanding the causes of drug abuse and the effect it has on the society, the paper will also seek to evaluate the effectiveness of the available control measures. A person begins to experience massive deterioration in health with the starting of use of illicit drugs. The different health costs that were incurred in America in the financial year 2007 lists the number of patients who had been admitted to the hospital and the reason or the cause of their admission. It was found out that the subtotaled health cost rounded up to $11,416,232. The detailed description when given was found to be specialty treatment included $3,723,338. The specialty treatments included a huge population undergoing detoxification, residential, outpatient whose primary abused substance is an illicit drug. It was also noted that most of the people who were the patients of drug abuse were found out to be affected by diseases such as HIV, hepatitis C, hepatitis B, tuberculosis, poisoning and the likes. The latest census reports that about one million of the people of America are living affected by HIV and AIDS due to drug

Fiat Assignment Example | Topics and Well Written Essays - 3500 words

Fiat - Assignment Example There are many reasons such as inflation, increased competitiveness from Japanese and Korean manufacturers, the emergence of low cost Asian manufacturers, change in policies and the global crisis. As a result, huge losses have been faced in terms of sales and turnover. There are many internal issues as well that have added to the existing problem of Fiat. This can be handled by identifying the key opportunities. The transformation of opportunities into strengths is the need of Fiat to come out from the crisis. Legal and consumer trends are looking for green technology and gas- efficient cars. This can be a major advantage for Fiat as it has always been addressing environmental concerns. In this report, an analysis of all such areas has been done which have contributed towards the decline of the Fiat’s performance and ranking in the automotive industry. The aim is to figure out the problematic areas where change and direction is required. In the first section, the background of the company is discussed. The external factors such as economic or technological which are the major indicators of growth or decline in any industry are evaluated to understand the current market trends and situation. The major challenges faced by Fait group are outlined keeping in mind its strengths and weaknesses. In the end, recommendations are given in the form of solutions that must be incorporated in the company’s strategy to address the major areas of concern. Company Background: Fiat is one of the founders of European Automotive Industry and has a history of more than 100 years. The acronym of FIAT is Fabbrica Italiana Automobili Torino. It was established on the eleventh of July 1899 by a group of investors and has its headquarters in Turin, Italy. Today, it has been operating in more than 61 countries with 1,063 companies. It has diversified into a pool of industries and has been designing and selling cars, trucks, construction & agriculture equipment, engines, mil itary vehicles, aviation etc. At the time of its inception, Giovanni Agnelli, one of the members of the Board of Directors, stood out and was known as the company’s innovator and mastermind. He had a great strategic vision and determination to make the company highly successful. Due to his utmost efforts along with the other members of the company, Fiat gained recognition at a very early stage and it is said to produce more than 10% percent of Italy’s GDP. In 1900, the first factory was opened in Carso Dante with a workforce of 150 workers who produced 24 cars. As of 2009, only the domestic workforce has reached to 198,348 workers. It has a workforce of about 223,000 people. Out of which, 111,000 are outside Italy. Fiat logo was designed in 1904 which has become a status symbol due to the superior and world-class cars manufactured by the company. During the First World War, it aimed at the production of munitions. With the rapid technological changes, developments were made at the railway sector, commercial vehicles etc. The year 1958 was marked as an economic boom for Italy which was facing a downfall due to the advent of the Second World War. The automobile sector also grew as it was the driving force for the Italian economy. Fiat experienced an increased production along with the exports from 1965 to 1977. In the year 1979, an independent automobile sector came into existence which was named as Fiat Auto S.P.A which included Fiat, Autobianchi, Ferrari, Abarth