The Suez Canal Essay - 1704 Words

The Suez Canal was a construction of a canal to make routes shorter. More importantly the canal was a construction of many dreams, profits, and the unification of the West and the East. Lesseps and his companions began to embark on a journey with a great dream in mind. In his book Parting the Desert, Karabell not only shows the history of the construction of the Suez Canal and the unification of East and West, however also shows the destruction of many countries hopes and dreams Lesseps main mission was to change the political landscapes of three continents through the building of the Suez Canal. He had a vision of progression and knew with this vision that he would achieve greatness and his name would be immortalized. He†¦show more content†¦At a banquet thrown by the French consulate some silverware disappeared, Muhammad came under suspicion, but Lesseps came to his rescue and proclaimed his innocence thereby saving his honor and reputation. Muhammad had a son named Said, who was overweight. Muhammad became worried that Said would become a liability, because people might look at his son and lose confidence in him. He turned to Lesseps for help and Lesseps promised he would try to help Said lose weight. In the end he didnt have the heart and would go horseback riding and sneak Said macaroni, thus forming a friendship which continued for years after. In 1854 when he came into power, he invited Lesseps to celebrate his inherited fortune. Le sseps eagerly accepted his invitation, hoping that he could convince Said to help him with his vision of the canal. Said too had a dream and his vision converged with that of Lesseps. In helping Lesseps with the canal, he hoped he would be able to see Egypt restored to its prominence. He thought the canal would somehow lead to a better Egypt, one that was no longer under the rule of the Ottoman Empire, and one that would thrive on the valuable resources of the Nile Valley and the trade of the Eastern Mediterranean. Egypt wasnt going to be Lesseps only supporters, he needed help from other countries, and France too felt that they would benefit fromShow MoreRelatedConstruction of the Suez Canal594 Words   |  2 Pageshad choice the Suez Canal .I will talk about the construction of the Suez Canal and the purpose of building such a famous and an important man made structure in the Arab World that make me proud of their working even there were no modern equipment that help them in to their work. Canal is water manmade canal that where ground before constructions by digging the ground to depth that allow water to go through so the ship can move easily in to from one water surface and another .Suez Canal is a102 mileRead MoreTurning Point : The Suez Canal1679 Words   |  7 PagesAfrica, it is now in Europe.† - Isma’il the Magnificient Turning Point: The Suez Canal (1869) Control and influence of strategic chokepoints in a modern context, such as the Suez and Panama canals, are an essential ingredient to any nation’s survival and dominance. The Suez Canal opened in 1869 and allowed for the speedy transit of more than 21,415 vessels in 2013. The canal handled eight percent of global trade and, in 2012, accounted for $5.12 billion in revenue for EgyptRead MoreThe Suez Canal Crisis2451 Words   |  10 PagesThough widely acknowledged as one of the smaller incidents of the Eisenhower Presidency, the Suez Canal Crisis did not only present one of the most concerning existential threats during the 1950s, it became a crucial turning point for U.S. foreign policy in the Middle East. Beyond that, this crisis bucked the hundred-year-old status quo of Britain’s monopoly of power in the region. Due to the large flow of cross currents occurring at the same time, such as Egypt’s engagements with the Soviet UnionRead MoreBritish Control Over The Suez Canal1351 Words   |  6 Pagesmaking it a protectorate in order to have control over the Suez Canal. The Suez Canal connected the British Empire in the west to India in the east, making it significant trade route for Britain to control. During the Cold War, Egypt became an area of great tension, challenging British control over the canal. There was an increase of nationalism, along with the rise of Gamal Abdel Nasser to power. His rise to power lead to the Suez Canal Crisis and Egypt’s independence from Britain in 1956. TheRead MoreLester B. Pearson and the Suez Canal Crisis1449 Words   |  6 PagesThe Suez crisis was a conflict that could have easily turned into a third World War. With a battle between the Israelis and Egyptians at Sinai, the British and French invasion of Egypt, and nuclear threats from the Soviet Union, all of the elements were present to escalate the conflict and pull other countries into the fray. Canada had no direct ties to the Suez c risis, in terms of control or economic interest. However, Canadian Secretary of State for Foreign Affairs, Lester B. Pearson, persuadedRead MoreThe Suez Canal Crisis : An Emerging Country Into Financing A Project1149 Words   |  5 PagesThe Suez Canal crisis began when an outsider exploited an emerging country into financing a project in which a country has no mean of financial recovery. The Suez Canal was geographically significant with an international interest to facilitate trade and commerce. It provided an economic boost to the international community following the opening of the canal, with the exception of the Egypt economy. The canal builder, Ferdinand de Lesseps coerced Mohamed Aly’s son, Mohamed Sayeed of Egypt into financingRead MoreAn Observation Of Egyptian Nationalism And War Surrounding The Suez Canal1887 Words   |  8 Pagessurrounding the Suez Canal Using Karabell’s social history Parting the Desert, for nineteenth century Egypt, and al-Zayyat’s novel The Open Door for twentieth century Egypt, this essay observes Egyptian Nationalism throughout the period. Parting the Desert tells the tale of the Suez Canal, its design, financing, building, and eventual war. The Open Door presents a twentieth century coming of age during the period Britain viewed the Suez Canal as a vital strategic asset, Egypt took control of the Suez CanalRead MoreEisenhowers Containment Through Action by Inaction During the Suez Canal Crisis3848 Words   |  16 PagesTaylor Dukes American Presidency Richard Skinner March 15, 2012 Eisenhower’s Containment Through ‘Action by Inaction’ During the Suez Canal Crisis The 1950’s demanded a certain kind of American President: one tranquil enough to reside over a post-WWII society, and yet bold enough to propel the country through the Cold War. Though a description of â€Å"Ike† Dwight D. Eisenhower as a strong central leader heavily contradicts the construed image of a â€Å"kindly grandfather figure, a bit inarticulate andRead MoreThe Defense Of The Suez Canal957 Words   |  4 Pages1. Battles of WWI The Defense of the Suez Canal, 1915; 2. Write a brief outline that includes the key summary information of  ·Who: The British in control of Egypt, commanded by General Sir John Maxwell and Major-General A. Wilson (150 dead) VS the Turkish commanded by Djemal Pasha (1400 Dead).  ·What: This was a battle over the Suez Canal that resulted in British victory.  ·Where: The Suez Canal in Egypt.  ·When: This battle took place during the third to the fourth of February 1915  ·Why: this battleRead MoreExisting Canals in the World: The Panama Canal and The Suez Canal1642 Words   |  7 PagesIntroduction Canals are human-made and completely subject to the sovereignty of the state in which they are located. Canals are internal waters that have no right of innocent passage through canals. Typically, there are only two canals in the world - Panama Canal and Suez Canal. Panama Canal opened on 15 August 1914 with a total length of 80.5km (50 miles). Panama Canal is the integral link for shipping traffic from the Pacific and Atlantic Ocean in North U.S. (refer Fig. 1). Panama Canal consist a

How to Lie with Statistics Free Essays

A Synopsis of How to Lie with Statistics by Darrell Huff When most people hear or read a statistic, they quickly have to decide if the numbers listed are valid or invalid. It is usually assumed that the author of the statistic is knowledgeable in the field to which the statistic pertains. However, on many occasions, the statistic is false, due to the author’s wording. We will write a custom essay sample on How to Lie with Statistics or any similar topic only for you Order Now Darrell Huff’s novel How to Lie with Statistics is a manual that can help individuals catch these lies. The novel allows readers to solve marketing ploys and dismiss certain statistics as faulty. The first chapter focuses on bias. The book states that all statistics are based on samples, and these samples have bias. This means that no matter what the reader will have a biased opinion. This bias is spawned from the respondents replying dishonesty, the author choosing a sample that gives better results, and the availability of data. Huff uses a survey of readership of two magazines, which had refuting results. This is because, due to the readers’ personal biases, they answered the survey dishonestly. This example closes the chapter, teaching readers to always assume that the sample has a bias. The second chapter focuses on averages. It states that there are actually three types of averages: mean, median, and mode. Mean is the arithmetic average. Median is the name given to the midpoint of the date. Finally, mode is the data point that occurs the most often in the data. Thus, the type of average used can alter the results of the statistics. The next chapter explains how sample data is chosen to prove certain results. Many marketing campaigns use this technique. They choose sample sizes that give their wanted results. Huff’s solution is that one must determine if the information is a discrete quantity or if a range is involved. The following chapter discusses errors in measurement. It explains two measures for measuring error: Probable Error and Standard Error. The probable error uses the error in the measuring device used to measure the error in the measurement. The standard error is the standard deviation of the sampling distribution of a statistic. Chapter five explains how to manipulate a graph in order to show the results one wants. For example, if one was using a line graph to show a 10% climb, they could remove the unused parts of the graph to make their results seem more extreme. The next chapter discusses how two-dimensional images can deceive readers. A picture may be increased in all dimensions, making it seem much larger than it really is, giving the impression of a greater increase. Chapter seven focuses on the semi-attached figure. Simply put, if one cannot prove what they wish to prove, they can merely prove something else and then give the impression that these two things are the same. Huff uses cold medicine as an example. A pharmacist wants the reader to believe that their medicine cures the cold, but instead the label reads that the medicine kills 32, 132 cold germs. The pharmacist then hopes that the reader makes the assumption that because the medicine kills such a high number of germs, then it cures the cold. Huff is therefore teaching not to assume. The following chapter focuses on cause and effect. Huff stresses that readers must ask for when certain data was collected and if the amount of data was adequate for the entirety of the experiment. Chapter nine teachers readers how to ‘statisticulate’, meaning how to manipulate readers by using statistics. This chapter is essentially a list of what to look for when determining the validity of a statistic. Huff explains various tricks, such as measuring profit on a cost price and how income calculations mislead by using children of a family as the average. The final chapter instructs readers on how to talk back to a statistic. Huff emphasizes that readers must ask who the author his and how did he come to collect the knowledge listed in the statistic. Also, he encourages readers to question if someone changed the subject of the statistic. Finally, he explains that one must be able to understand the data presented, and if it does not make sense, then it is most likely untrue. Overall, Huff assists readers in how to determine if a statistic is valid or invalid. Though the book was published over fifty years ago, these methods are still in use. How to cite How to Lie with Statistics, Papers

Business Risk Management

Question: What is risk management?Identify at least 10 business risks facing shang TIF and the business objective. Answer: Business Risk Business risk is probability of earning lower than expected profits. The business risk is influenced by the several factors such as overall economic climate, per unit prices, sales prices, and competition and input prices. Prioritizing the Risks The risks are prioritized as follows: Table 1: Prioritization of risk Risks Ranking o Political risk 2 o Risk related to government regulations 4 o Risk of technology 3 o Risk of not offering better services 5 o Not earning higher profits 7 o Not Meeting the expectation of passengers 6 o Risk of charging high prices 10 o Risk of natural calamity 9 o Imbalance in supply and demand 8 o Not having sufficient resources 1 Justification of ranking The risks are prioritizing on the basis of controllability of risk factors and the loss done by the risk to the business. As per the risk table given above the most urgent risk for the company will be to not have the sufficient resources. This kind of risk will be impacting the business and profits negatively. This is followed by political risk and government regulations, which will impact the business. Risk of charging high prices is given least weigh as it might be possible that passengers would be ready to pay higher prices to get the better experience. Risk responses strategy The risk Reponses strategy is made by keeping in mind the business of the company. The business of company is highly seasonal. First half of the year is low and second half is quite higher. The company needs to take the approval from the government for operating in particular route. It has to comply with the safety regulations of safety maritime. Keeping in mind all the factors, the risk responses strategy is framed. Control activities Control activities taken to mitigate the impact of the risk can to have the abundant of resources. The company can reduce the risk by making contingency plan to combat the effect of natural calamity and political risks. Technology related risks and other risks can be encountered by infusing more capital. Objective specific risk ranking Organization risk environment The risk environment of the organization can be understood as the environment of uncertainty. Environments of the organization are complex set of relationship which is not easy to understand. Advice to management The management of the company can be advised to make the contingency plan for combating with the risks. There are so many kinds of risks which cannot be controlled but the impact of which can be alleviated by the help of contingency plan. Most urgent risk The most urgent risk is risk of not having sufficient resources. The company should make sure that it possesses all the resources required for business. Recommending changes to management The company is dealing in the diverse culture. Company has to make changes to the cultural environment of the company. The culture of the company should be flexible and should have diverse workforce. The management of the company should try to improve the operations of company. Financial risk management Situational analysis This report is a case analysis report of a Regional Bank Manager making a proposal for the committee for approval based on a solution provided to hedge the perceived interest risks of two corporations. The two parties involved in this case are: Diamond Corporation Ltd. which is a diamond mining company and is an existing client of this Regional Bank Random Trading Pty Ltd. which is a Trading company and is not a client of this bank. The perceived interest risks of both the companies are opposite in nature with James Lincoln, Chief Executive of Diamond Corporation Ltd. having a view that the interest rates would fall in future while Luke Washington, Chief Executive of Random Trading Pty Ltd is worried about exposure to potential increase in interest rates (Alexander, 2008 ). The summary of both the companies is as below: Company Diamond Corporation Ltd Random Trading Pty Ltd Loan Amount $ 5,000,000 $ 5,000,000 Loan Status Debentures Issued Loan Required Interest Rate Fixed at 7% Looking for a fixed interest rate below 10% Interest Rate Risk Perception Rates will fall Rates will increase Looking for Variable interest rate loan Fixed interest rate below 10% Credit Rating AAA ABB Solution to hedge the perceived interest rate: As a Bank Manager, if I assess the perceived interest risk may be hedged as below: Diamond company is looking for a variable interest rate that my regional bank can offer at BBSW (bank bill swap rate) + 1% against the debentures of the company fixed at 7% fixed rate Random Trading Pty Ltd can be provided with the loan at the fixed rate of above 7% and below 10% which the Chief Executive will happily accept. This way, if the interest rates fall, the loss against the fixed 7% from the Diamond Company is mitigated from the profit of having fixed rate from Random Trading Pty Ltd. Similarly if the interest rates are increased, the loss against the fixed rate loan to Random Trading Pty Ltd may be obtained from profit from Diamond Corporation having variable rate. This way the interest rate risk at both the companies is hedged for the bank. Also, this would increase the business of the bank by adding a new client Random Trading Pty Ltd to its clientele list. Though the credit risk rating of Random Trading Pty Ltd is ABB but as trading company being into services, the credit risk for a loan amount of $ 5 million should be acceptable and is recommended to the committee for approval. Short Note to Diamond Corporation: It has been a great pleasure dealing business with you as a client and this is in reference to our recent discussion regarding your Fixed Interest Rate Debenture Loan of $ 5,000,000. Considering your concerns about the interest rate risk involved, we hereby propose you with a variable interest rate on the debenture loan issued to you at a cost of BBSW (Bank Bill Swap Rate) + 2%. This proposal has been considered keeping in view of our long term relationship and effective business dealings with you. We request you to kindly revert with your acceptance and acknowledge. We look forward for a long term relationship and take customer satisfaction as our priority. Short Note to Random Trading Pty Ltd In reference to our discussion about your companys growth strategies and fund raising aspects, we are glad to propose you a loan of $ 5,000,000 at a fixed interest rate of 8% per year. A detailed sanction approval along with terms and conditions shall be provided subject to approval from the concerned authority. In view of the same, we request you to kindly submit a detailed note on your growth strategies and business profile along with a request proposal for the loan requirement so that appropriate decision may be recommended to the concerned authorities for approval. We would also like to inform you that 0.5% of the loan amount would be charged as a one-time payment as the fund arrangement and processing charges. Request you to kindly provide with us with the details required as stated above at the earliest. We look forward for a long term relationship and take customer satisfaction as our priority. Recommendation proposal to Bank Authorities This is to bring to your kind notice about the proposals I had assessed recently related to an existing client, Diamond Corporation and a new envisaged client, Random Trading Pty Ltd. Diamond Corporation has been an existing client to our Bank since many years and has a Debenture loan sanctioned from us at a fixed interest rate of 7% per annum. The loan raised is to the tune of $ 5 million. The company is an AAA credit rated company having good standard diamond mining operations. In my recent client interaction with the Chief Executive of the company, it is understood that they are looking for variable interest rate availability against the fixed interest rate that they are currently charged as they perceive decrease in interest rates. He has even mentioned about the company being exploring options to mitigate this risk perceived by them. The client being a good credit rated company and with the possible solution as to be discussed below, I recommend to sanction the client with a variable interest rate of BBSW + 2% to continue the client over longer run. The solution I have for mitigating or hedging the risk involved with Diamond Corporation is to start a business with Random Trading Pty Ltd. Random Trading Pty Ltd is a trading company doing its business from past few years and the credit rating of the company if at ABB. Though credit rating is having higher risk as compared to Diamond Corporation, the company being into services and ding good has a positive recommendation. In my recent meeting with the Chief Executive of Random Trading Pty Ltd, they are looking for a loan of $ 5 million for their business expansion and growth. They are keen towards a fixed interest rate. A detailed profile of the company and their growth strategy is attached for your reference. I recommend this proposal at a fixed interest rate of 8% may be taken up which will hedge the variable interest rate recommended for Diamond Corporation. Though credit rating risk is different for both the companies, the positive review and business of Random Trading Pty Ltd adds on business to us and also provides a long term relationship with existing clients. With these observations, I recommend both the proposals for your perusal and approval. Diagrammatic Representation of the ProposalForeign currency forward exchange rate The foreign currency forward exchange is (FEC) is an agreement between the two parties for the purpose of exchange of one currency with the other currency on agreed date at an agreed prices and it is applicable for more than 2 business days post the agreement date. While arranging for the foreign exchange contract one has to quote a foreign exchange rate. Foreign exchange rate is rate at which one currency for another currency is exchanged at the future date. The rate is computed by adjusting the current spot rate by the forward margin (PDS, 2014). The risk is managed in such case by locking the exchange rate at the specified rate. The rate applicable on the trading is that which has been decided earlier, not the prices prevalent on the same day. This way risk of exchange rate volatility is divided among the parties associated with the contract (Standard Bank, 2016). For instance if an ABC firm is importing an irrigator in the United States due for the delivery after 4 months and full payment due after 3 months. The firm is having credit facility and they have contacted their treasury representative quoting the following prices: Current spot rate = 1.0004 Forward margin of 3 months = -0.00078 Then FEC rate is = 1.0004 0.00078 = .9926 They have agreed to buy irrigator after three months at AUD 151118.28 i.e. USD 150000/0.9926. The rate three months later is 0.9600. The company has saved the following amount on irrigator: 150000*0.9926 = 151118.28 150000*0.9600 = 156250.00 Interest Rate Option Markets of interest rates are among the most liquid and largest markets of the world today. The options are available both for speculation as well heading of the interest rates (Gupta Subrahmanyam, 2004). Interest rate options are suitable for hedging the risk against the movements of interest rates without forgoing the profits of the market trends. There are two terms cap and floor used for higher rates and lower rates respectively. A collar is encompassing both cap and floor. After determination of the strike price cap and floor i.e. upper limit and lower limits are decided. Post that calculations related to premium is done (Credit Suisse, 2016). This way the upper limit and lower limit of the interest rates are set by the parties in a bid to hedge against the prevalent risk. The trading takes place on the predetermined upper limit or lower limit of the interest rate. On each interest date current interest rate is compared with the strike price. When strike price is more than the interest rate, the trading does not take place. If interest rate is lower than the strike price there is occurrence of insured event. The bank can play the role of writer to pay the differences (CBOE, 2016). For instance, financial risk of the company can be mitigated by offering protection against the falling interest rates. Investor operating in money market can be profitable from rising interest rates by paying premium on the floor (Credit Suisse, 2016). Currency Swap Currency swap can understood to be a best way to hedge the transactions of loan. There is flexibility in currency swap that a fixed rate loan can be fully hedged with combination of currency and interest rate hedge with the help of fixed floating cross currency swaps. Swaps are way of managing the requirements of funding and debt rather than a method of borrowing money. It hedges the risk by making available cheaper funds by reducing cost of borrowing. It improves the income from investment. It hedges the exposure of lone term currency and reduces the financial risk of organization (MFX, 2016). For instance following are the rates quoted for cross currency interest rate swap for three year against the dollar. Sterling 7.74 -7.94 percent (Dealing spread of 20 basis points) Canadian dollars 6.50 6.75 percent (dealing spread of 25 basis points) The quoted rates are fixed rates that a bank is either required to receive (higher rate) or pay (Lower rate) in the cross currency interest rate swap. In this case, the counterpart will pay or receive the interest at LIBOR for 6month dollar (UST, 2016). References Alexander, C., 2008. Market Risk Analysis, Pricing, Hedging and Trading Financial Instruments. John Wiley Sons. CBOE, 2016. Interest rate options. CBOE. Credit Suisse, 2016. Interest-Rate Options. Credit Suisse. Duffie, D. Singleton, K.J., 2012. Darrell Duffie, Kenneth J. Singleton. Princeton University Press. Epstein, B.J., Nach, R. Bragg, S.M., 2009. Wiley GAAP Codification Enhanced. John Wiley Sons. Gupta, A. Subrahmanyam, M.G., 2004. Pricing and hedging interest rate options: Evidence from capfloor markets. Journal of Banking Finance, 29(1), pp.70133. MFX, 2016. Cross Currency Swaps. MFX. PDS, 2014. Forward Exchange Contract. Product Disclosure Statement. Standard Bank, 2016. Forward exchange contracts (FEC). Standard Bank. UST, 2016. Currency swaps. UST.