Preface xx
Brief Contents
Chapter
1 Business Fundamentals 2 Online Career Skills: Ten Easy Rules for Academic Success and Beyond 1-11
2 Economics and Banking 26
3 Legal, Ethical, and Responsible Business 58
4 Global Businness 92
5 Entrepreneurship, Small Business, and New Venture Creation 120 Online Career Skills: Constructing an Effective Business Plan 1-8
6 Business Management and Organization 152 Online Career Skills: Business Communications 1-9
7 Motivation, Leadership, and Teamwork 176
8 Human Resource Management 206 Online Career Skills: Finding a Job 1-10
9 Business Technology 242
10 Operations Management: Goods and Services 270
11 Marketing and Consumer Behaviour 298
12 Marketing Mix: Product, Price, Promotion, and Place 324
13 Financial Management and Accounting 366 Online Appendix 13A: Securities and Investments 1-11 Online Career Skills: Personal Finance 1-22
Gl index 000
Reference Notes 000
Sources 000
Credits 000
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Contents
A Note to Students xx
Preface xx
1 Business Fundamentals 2
Business Introduction 4 Online Career Skills: Ten Easy Rules for Academic Success and Beyond 1-11
A Glance at Canadian Business 4
Top 10 Richest People in Canada (2010) (CDN$ billion) 6
Business Benefi ts 7 Business Sectors 8
Factors of Production 10
On Target Nantucket Nectars: Tom and Tom Partnership 11
BizChat What Do These Two Businesses Have in Common? 12
Functional Areas of Business 12
Environments Of Business 13
Pest Model 13 Political-Legal Environment 15
Economic Environment 16 Socio-Cultural
Environment 16
Better Business, Better World Do You Prefer To Do Business with Companies You Can Trust? 17Top 10 Canada’s Top Employers for Young People (2010) 18
Technological Environment 20
Chapter Synopsis 21 Key Terms 23 Critical Thinking Questions 23 Application Exercises 23 Global 500 Research Project 24
Team Time 24 Ethics And Responsibility 24 Closing Case 25
Chapter Resources 25
2 Economics and Banking 26
Basics Of Economics 28Economics Defi ned 28 Types of Economic Systems 30
Business And Economics 32Supply and Demand 32
On Target World Record for Kinect 38
Business and Competition 38
BizChat Apple: Taking a Bite out of Microsoft? 40
Better Business, Better World Building a Stronger, Cleaner, Fairer World 43
Economic Indicators 44Economic Growth 44
On Target Countries by GDP (2010) 45
Infl ation 45 Unemployment 47
Government and the Economy 48Controlling Fluctuations in the Economy 48 Money
Supply 49
Chapter Synopsis 53 Key Terms 55 Critical Thinking Questions 55 Application Exercises 55 Global 500 Research Project 56
Team Time 56 Ethics And Responsibility 56 Closing Case 56
Chapter Resources 57
3 Legal, Ethical, and Responsible Business 58
Ethics: The Basics 60Ethics Defi ned 60 Personal Ethics 61
BizChat Can Living Ethically Make You Happy? 63
Personal Ethics Meets Business Ethics 64You As a Person and As an Employee 64 Identifying a
Company’s Ethics 66
Top 10 World’s Most Ethical Companies (2011) 67
Corporate Social Responsibility (CSR) 67Five Pillars of CSR 67 Challenges of CSR 73
Dangers of a Weak Ethical Focus 74
Legal Regulations, Compliance, and Consequences 74
Recovering from Weak Ethical Conduct 79
Better Business, Better World Transparency and Anti-Corruption 80
How can a Business Develop Ethical Practices 81Ethical Focus: Day One and Beyond 81
On Target Playing the Ethics Game 83
Increasing Profi ts through an Ethical Focus 83
Top 10 Top Ten of Canada’s 100 Greenest Employers (2010) 84
Chapter Synopsis 85 Key Terms 87 Critical Thinking Questions 87 Application Exercises 88 Global 500 Research Project 88
Team Time 88 Ethics And Responsibility 88 Closing Case 88
Chapter Resources 89
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iv Contents
4 Global Businness 92
Globalization: What’s it all About? 95International Business 95 Reasons for the Rise in
Globalization 96
International Trade 98
International Competition 98
Top 10 Global 500 Largest Corporations in the World (2010) 99
Benefi ts and Costs of International Trade 100 Trade
Barriers and Protectionism 100
Off The Mark How Does China’s Internet Censorship Affect Global Business? 102
International Organizations Promoting Free Trade 103Regional Free Trade Agreements 104
Conducting Business Across Borders 106Strategies for International Business 106 Entering
Foreign Markets 107
International Business: Economic Factors and
Challenges 110
The Effect of Exchange Rates 110
BizChat Which Is Better—A Strong Dollar or a Weak Dollar? 111
Top 10 Canada’s Top Export Destinations (2010) 111
Other Economic Challenges to Conducting International
Business 112 Socio-Cultural, Political, Legal, and
Ethical Challenges 113
Chapter Synopsis 116 Key Terms 117 Critical Thinking
Questions 117 Application Exercises 117 Global 500 Research
Project 118 Team Time 118 Ethics And Responsibility 118 Closing
Case 119 Chapter Resources 119
5 Entrepreneurship, Small Business, and New Venture
Creation 120
Online Career Skills: Constructing an Effective Business Plan 1-8Entrepreneurship: What’s in It for Me? 122
The Traits of Successful Entrepreneurs 122 Types of
Entrepreneurs 125
Top 10 Canada’s Top Entrepreneurial Cities (2010) 125
On Target Facebook’s Mark Zuckerberg 126
What It Takes To Be an Entrepreneur 126
Small Business, the Risks, and Where to Get Support 127Small Business and the Economy 127 The Impact of
Technology on Small Businesses 128 Starting Your
Own Business 129 Small Business Support 131
Financing Considerations 133Cash and Credit 133 Loans and Grants 133 Venture
Capital and Other Forms of Financing 134
Buying a Franchise or an Existing Business 134Buying A Franchise 134
Top 10 Failproof Canadian Franchises (2011) 135
Buying an Existing Business 136
Forms of Business Ownership 138Sole Proprietorships 138
BizChat What’s in a Name? 139
Partnerships 140 Corporations 142 Non-Profi t
Corporations 143 Co-Operatives 144 Business
Combinations: Mergers and Acquisitions 145
Chapter Synopsis 147 Key Terms 149 Critical Thinking
Questions 149 Application Exercises 149 Global 500 Research
Project 150 Team Time 150 Ethics And Responsibility 150 Closing
Case 150 Chapter Resources 151
6 Business Management and Organization 152
Online Career Skills: Business Communications 1-9Skills of Successful Managers 154
Working with People and Resources 154
Functions of Management 157Planning 157 Organizing 163 Leading 166
BizChat Do Successful Managers Need to Be Effective? 168
Top 10 North America’s Best Companies for Cultivating Leadership Skills (2010) 169
Controlling 170
On Target Loblaw’s Restructuring 171
Chapter Synopsis 172 Key Terms 173 Critical Thinking
Questions 173 Application Exercises 173 Global 500 Research
Project 174 Team Time 175 Ethics And Responsibility 150
Closing Case 174 Chapter Resources 175
7 Motivation, Leadership, and Teamwork 176
Motivation: The Basics 178Personal Motivation 178 Motivation, Engagement, and
Flow 179 Early Theories of Motivation 181
Motivation: Business Applications 183The Complexity of Motivation 183 Motivational
Models Used in Business 184 Evolution of Motiva-
tional Theories in Business 187
Top 10 Best Companies to Work For (2011) 187
Leadership 188Leadership in Business 188
Top 10 CEOs with Good Reputations in the Financial Community 188
Better Business, Better World Japan Relief 190Personality Traits 191
Teamwork 194Advantages of Teams in the Workplace 194
BizChat Do You Have to Be Tall to Be a Leader? 194
Off the Mark 196
Off The Mark Dream Team or Nightmare? 196
Best Practices For Teams 197
Chapter Synopsis 200 Key Terms 202 Critical Thinking
Questions 203 Application Exercises 203 Global 500 Research
Project 203 Team Time 203 Ethics And Responsibility 204
Closing Case 204 Chapter Resources 205
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Contents v
8 Human Resource Management 206
Online Career Skills: Finding a Job 1-10Hiring for Optimum Organizational Performance 208
The Importance of Managing Human Resources 208
Determining and Planning Human Resource Needs 209
Recruiting 211
BizChat What Is Recruiting 2.0? 213
Selecting and Hiring 213
Developing Employees for Optimum Performance 215Training 215
Top 10 Ten of Canada’s Top 100 Employers 215
Evaluating 217
Compensating, Scheduling, and Transitioning
Employees 219
Compensating 219 Scheduling 221
Better Business, Better World The Home Depot Canada Foundation 224Transitioning: Promoting, Transferring, Retiring,
and Terminating 224
Managing Workplace Diversity 227Demographic Projections 227
Top 10 Reasons Employees Get Fired 227
Diversity-Friendly Organizations 229
Top 10 Canada’s Best Diversity Employers 229
On Target One Diversity Training Does Not Fit All 230
Employer-Employee Relations 230Labour Unions 230 Collective Bargaining 232
Human Rights and Labour Laws 233
Chapter Synopsis 235 Key Terms 238 Critical Thinking
Questions 238 Application Exercises 239 Global 500 Research
Project 239 Team Time 239 Ethics And Responsibility 240
Closing Case 240 Chapter Resources 241
9 Business Technology 242
Information Technology (IT) Basics 244IT Professionals and the IT Organization 244
Information Systems 245
On Target Questions to Ask Before Adopting a New Piece of Technology 245
Computer Systems 248Hardware 248 Software 249 Networks 250
Benefi ts and Challenges of Technology 251It Benefi ts and Challenges for Employees 251
Top 10 World’s Most Innovative Companies (2011) 252
Off the Mark 253
Off The Mark Hewlett-Packard Spying Scandal 253
It Benefi ts and Challenges for Management 254
BizChat Customers Exposed 254
Technology Creates a Global Village 255
Better Business, Better World Electronics Recycling 256International Business Environment 257 Special Issues
in E-Business 258
Chapter Synopsis 264 Key Terms 266 Critical Thinking
Questions 266 Application Exercises 266 Global 500 Research
Project 267 Team Time 267 Ethics And Responsibility 268
Closing Case 268 Chapter Resources 269
10 Operations Management: Goods and Services 270
Operations Overview 272Producing Goods and Services 272 Operations
Management 274
Operations Planning 275The Production Process 275 Technology in the
Production Process 277
BizChat Technology: Too Much of a Good Thing? 278
Facility Location Planning 279
Top 10 Critical Decisions for Operations Management 279
Top 10 Supply Chain Innovations of All-Time 281
Facility Layout and Capacity Planning 282 Resource
Planning 283
Better Business, Better World Ethical Standards for Suppliers 285
Operations Control 285Operations Scheduling 285 Inventory Control 287
Quality Control 289
Top 10 Companies for Quality Products and Services (2010) 289
Off The Mark Quality Catastrophes 290
Chapter Synopsis 292 Key Terms 294 Critical Thinking
Questions 294 Application Exercises 295 Global 500 Research
Project 295 Team Time 295 Ethics And Responsibility 296
Closing Case 296 Chapter Resources 297
11 Marketing and Consumer Behaviour 298
Marketing Fundamentals 300Evolution of Marketing 300 Benefi ts and Criticisms of
Marketing 302
Better Business, Better World Canadian Marketing Association’s (CMA) Code of Ethics and Standards of Practice 304The Marketing Mix (4 Ps of Marketing) 305
BizChat Is There a Fifth P? 306
The Marketing Environment 308The Competitive Environment 308 The Marketing
Environment 308
Top 10 Technological Advances of the Decade That Changed Our Lives 309
Marketing Research and Planning 310The Marketing Research Process 310
Top 10 Statistics Every Marketer Should Know (2011) 311
The Marketing Plan 312 Target Markets 313
Off The Mark The Tale of Pets.com 313
Consumer Behaviour 315Consumer Markets 315
Top 10 Most Popular Searches for Brands (2010) 316
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vi Contents
Business-to-Business (B2B) Markets 317
Chapter Synopsis 319 Key Terms 320 Critical Thinking
Questions 321 Application Exercises 321 Global 500 Research
Project 321 Team Time 322 Ethics And Responsibility 322
Closing Case 322 Chapter Resources 323
12 Marketing Mix: Product, Price, Promotion, and
Place 324
The Marketing Mix (4 Ps): Product 327The Total Product Offer 327 Product Differentiation 328New Product Development 329 Product Lines and the
Product Mix 332 Consumer and Business-to-Business
Products 333 Branding 335 Brand Loyalty and Brand
Equity 335
Top 10 World’s Most Valuable Brands (2011) 336
BizChat Who’s Behind Those Catchy Slogans? 337
Top 10 Characteristics of a Good Brand Name 337
Packaging and Labelling 337
Off The Mark Q-tips Brand Cotton Swabs 338
The Marketing Mix (4 Ps): Price 339
The Marketing Mix (4 Ps): Promotion And The
Promotional Mix 343Promotion 343 Promotional Mix: Advertising 345
Top 10 Leading Global Advertisers by Expenditures (2009, US$billion) 348
Promotional Mix: Public Relations 348 Promotional
Mix: Personal Selling 350 Promotional Mix: Sales
Promotion 352
The Marketing Mix (4 Ps): Place (Distribution) 354Marketing Intermediaries and Distribution
Channels 354 Wholesalers, Agents, and Brokers 357
Retailers 358 Physical Distribution 360
Chapter Synopsis 261 Key Terms 263 Critical Thinking
Questions 263 Application Exercises 263 Global 500 Research
Project 264 Team Time 264 Ethics And Responsibility 264
Closing Case 264 Chapter Resources 265
13 Financial Management and Accounting 366
Online Appendix 13A: Securities and Investments 1-11 Online Career Skills: Personal Finance 1-22Financial Management 369
The Financial Manager 369 Planning for Financial
Needs 369 Addressing the Budget 371
Financial Needs 372Financing Short-Term Business Needs 372 Financing
Long-Term Business Needs 375
Accounting Functions 379Accounting Fundamentals 379
Off the Mark 380
Off The Mark Accounting Error Reduces Share Value 380
Types of Accounting 381
Top 10 Accounting Scandals of All Time (US$) 381
Accounting Standards and Processes 382
BizChat Fraudulent Bigwigs Face Hard Time 383
Financial Statements 385The Balance Sheet 385 Analyzing a Balance Sheet 387
Income Statements 390 Analyzing Income
Statements 391 Statement of Cash Flows 392
Chapter Synopsis 394 Key Terms 396 Critical Thinking
Questions 397 Application Exercises 397 Global 500 Research
Project 397 Team Time 398 Ethics And Responsibility 398
Closing Case 398 Chapter Resources 399
G lindex 000
Reference Notes 000
Sources 000
Credits 000
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H ow can you use Better Business as an effective learning tool?
R ead Actively
D o you ever fi nd that you need to reread a text many
times before you fully understand it? Do you ever have
trouble remembering what you read?
A s a student, you are expected to read regularly. As
an employee, reading to develop your skills and knowl-
edge will likely be an important part of your job. Before
you begin reading anything, you should determine your
reading objective—what is it you want to gain from
reading? When you read a newspaper or magazine, for
example, you might simply skim over the material to
discover the main points. But when you read a textbook,
you must read carefully (that is, read every word), make
notes, and question what you are reading.
Y ou can use the SQ3R technique to improve your
understanding of a text:1
■ S urvey (or skim),
■ Q uestion (ask yourself questions about what you are
reading),
■ R ead,
■ R ecall (identify major points and answer questions
from Q ) , and
■ R eview (review all sections).
W hen you are reading for a course, you need to make
sure you’re actively involved in the text. Active readers
predict, make inferences, and draw conclusions; they ask
questions while they read and stop often to check for under-
standing. Fortunately, Better Business provides in-text ques-
tions throughout every chapter, giving you built-in cues
to make your study active, promote deeper thought, and
engage your critical thinking skills. For example, instead
of simply listing the tasks that managers perform, Better Business asks you, “What tasks do managers perform?” and
gives you the information to answer that question.
I f you think that active reading will take too much
time, think again. Active reading saves time because it
improves reading comprehension and retention—it helps
you to understand and remember what you’ve read,
meaning you won’t have to reread material again and
again. Reading actively takes only a little effort, but it
produces big results.
B etter Business strives to engage you in the material,
pique your interest, drive your curiosity, and promote
active reading. Active reading assists you in doing what
you came to university or college to learn how to do—
think deeply about issues of importance in our society.
Ultimately, the process of active reading helps you to
understand and retain what you read and assists you
in mastering academic reading. This mastery leads to a
successful educational experience and will also serve you
well in your future profession.
U se the Learning Style that Works Best for You
B etter Business provides you with multiple ways to learn.
Each of us has a preferred learning “style”; some like
to watch and learn (visual), others like to do and learn
(kinesthetic), and still others like to listen and learn (audi-
tory). So, while simply reading a textbook is a good start
to learning, most of us will remember more and remember
longer by learning in multiple ways. For auditory, visual,
and kinesthetic learners, the MyBusinessLab online learn-
ing system is packed with videos, fl ashcards, audio chap-
ter summaries, business case simulations, and much more.
Y ou have likely completed a learning styles inven-
tory in the past, but if you haven’t, it would be benefi cial
for you to complete the “Multiple Pathways to Learning”
activity on MyBusinessLab, which will help you to deter-
mine your preferred learning style. Knowing your learn-
ing style will assist you in developing coping strategies to
compensate for your weaknesses and capitalize on your
strengths. With the question-driven learning strategy
implemented in the textbook and the wealth of learning
resources at your disposal in MyBusinessLab, you will be
well on your way to academic and career success.
To Students
00_fm.indd vii00_fm.indd vii 03/02/12 5:19 PM03/02/12 5:19 PM
W hat makes Better Business an effective teaching resource?
Q uestion-Driven Learning
W e all use questions to learn and to gain a better under-
standing of the knowledge that we need in our careers,
our studies, and our lives. The importance of question-
driven learning cannot be understated; the brain creates
pathways to information in response to questions. Strong
questions motivate and encourage students to achieve
deeper understanding of any topic. Better Business applies
the principles of question-driven learning by using in-text
questions as the driving force for acquiring knowledge.
The interactive writing style of this book makes it an
easy-to-read, engaging text for students.
M ultiple Levels of Thinking
B etter Business refl ects Benjamin Bloom’s question-based
philosophy by providing a suite of Discussion Questions,
Application Exercises, and Critical Thinking Questions
that may be used to teach and test not only students’
knowledge, comprehension, and application of spe-
cifi c concepts, but also their higher level thinking skills
(analysis, synthesis, and evaluation). Bloom’s classifi ca-
tion of educational objectives, popularly known as Bloom’s Taxonomy, can help educators to better assess student
l earning and thinking skills. In the absence of such a
classifi cation system, educators may inadvertently
emphasize memorization of facts rather than emphasiz-
ing other (and likely more important) learned capabilities.
Questions in the Instructor’s Manual and the electronic
test bank are associated with specifi c levels of Bloom’s Taxonomy. Instructors can select questions from Better Business and its online resources that refl ect and reinforce
each lesson plan’s objective.
M ultiple Modalities of Learning
S tudies have shown that learning is more effective when
it is multimodal. For example, using visuals alongside
verbal or textual learning can yield signifi cant benefi ts for
the learner. A Metiri Group research study on multimodal
learning recommended that instructors create multimodal
and interactive or collaborative lessons in order to engage
students’ thinking in a variety of w ays, using whatever
media is best suited to the student and the material.2
Better Business follows this approach with the inclusion of
MyBusinessLab, Pearson’s revolutionary online learning
system. It gives professors and students easy access to a
variety of media and activities that get students interact-
ing with business and not just reading about it.
T o Instructors
A bout the Canadian Edition
00_fm.indd viii00_fm.indd viii 03/02/12 5:19 PM03/02/12 5:19 PM
H ow do the Better Business chapters enhance teaching and learning?
E ach chapter is packed with real, relevant, and timely examples that reinforce key
concepts. A wealth of chapter-opening, in-chapter, and end-of-chapter features help
students learn, link, and apply major concepts:
P edagogical Features
O pening Discussions Each chapter begins with an engaging
Opening Discussion that sets the stage for the chapter. These brief
introductory case studies discuss real-world organizations and
countries, introducing students to critical issues and business
concepts. They include questions to inspire class discussion,
prompt thinking, and generate interest in the chapter content.
T he WhyHire.me Innovation
A s Facebook, LinkedIn, Twitter, and myriad other online
social media become increasingly prevalent, more
employers are scrutinizing these networking sites to
screen potential employees. In a 2009 CareerBuilder
survey, 45 percent of the 2,600 employers surveyed
reported that they research job candidates through social
media, which was a huge increase from the 22 p ercent
reported in 2008.1 Because of content found on social
networking sites, 35 percent of employers reported that
they chose not to hire candidates while 18 percent chose
to hire candidates. Obviously, it is becoming imperative
for job seekers to ensure their online image is not dimin-
ishing their job opportunities.
W hile teaching career positioning to a market-
ing class in 2008, Patti Church realized that students
n eeded to start thinking about this topic sooner than
later. At the same time, Andy Church and Robert Saric
were discussing the value of having an established
online personal brand when looking for employment
after noticing the tremendous positive impact it had on
their own job search efforts. Patti brought to Robert’s
and Andy’s attention the point that many university
and college students did not realize how transparent
they are on the Web. The t hree entrepreneurs formed a
legal partnership and set out to develop a social media
tool that would not only educate students about pro-
fessional personal branding but also provide a venue
whereby students could safely build an online career
portfolio to showcase their skills, abilities, and knowl-
edge; establish a positive online reputation; and pro-
actively position themselves to get hired! It was time to
start using digital tools for a digital generation.
T heir efforts resulted in WhyHire.me, a career suc-
cess platform where students can create a professional
and unique online brand presence.2 As head of cur-
riculum design, Patti leads the development of learning
materials and overall student learning experience. With
his considerable experience in education technology
2.0, stakeholder management, and growing global
E ntrepreneurship, Small Business, and New Venture Creation
L EARNING OBJECTIVES
A fter studying this chapter, you should be able to:
❶ L ist the traits of an effective entrepreneur, and describe how these
characteristics often lead to business success. (pp. 122–127)
❷ Summarize the role of small business within the Canadian economy.
(pp. 127–129)
❸ Explain why a business plan is crucial to small business success, and
describe the factors that lead to small business failure. (pp. 129–131)
❹ Describe how resources—including government, banks, associations,
business incubators, and advisory boards—provide assistance and
guidance to small business owners. (pp. 131–133)
❺ Summarize the potential benefi ts and d rawbacks of each major source
of small business fi nancing. (pp. 133–134)
❻ Outline the advantages and disadvantages of franchising within the
context of entrepreneurship. (pp. 134–138)
❼ List and explain the advantages and disadvantages of a sole
proprietorship. (pp. 138–140)
❽ Describe the advantages and disadvantages of a partnership and a
partnership agreement. (pp. 140–142)
❾ Explain how a corporation is formed, and how it compares with sole
proprietorships and partnerships. (pp. 142–143)
❿ Describe the characteristics of non-profi t corporations and
co-operatives. (pp. 143–145)
⓫ S ummarize the different types of mergers and acquisitions and
explain why they occur. (pp. 145–146)
O PENING DISCUSSION: STARTING A NEW BUSINESS
5 C HAPTER
(continued)
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W orld Record for Kinect
T he Microsoft Kinect device for the Xbox 360 made the 2011 Guinness World Records as the fastest-selling con-sumer electronics device. The controller-free gaming hard-ware sold an average of 133,333 units a day, for a total of eight million units in its fi rst sixty days on the shelves. The sales fi gures beat both the iPhone and the iPad for the equivalent periods after launch.8
Microsoft developed the Kinect concept after the Nintendo Wii proved that gaming segments beyond the traditional young male do exist. Nintendo had released exercise pro-grams and family games for which players used hand-held controllers to send body movement s ignals back to the pro-cessor to be emulated onscreen. Microsoft advanced the Wii idea by eliminating the controller altogether. Few companies would have the research depth to build something like Kinect. Researchers from a range of fi elds, including depth sensing, machine learning, speech recognition, gestural interface, computer vision, identity recognition, sound processing, and parallel computing, put their heads together to create Kinect.9
Discussion Questions
1 . Using the PEST model for analysis (see Chapter 1), how might changes in the external business envi-ronment affect Kinect sales? Give an example.
2 . What type of research would Microsoft have done before introducing Kinect regarding competitors and consumers? How might the research results affect Microsoft’s development of the Kinect product?
3 . Motion sensors and voice recognition have been available for several years in many devices we
On Target
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O ff the M ark
How Does China’s Internet Censorship
Affect Global Business?
W hile many parts of the world, notably the Middle East, are undergoing dramatic political and social changes because of Internet access, China has become more restrictive with what its net-izens are allowed to access.26
Google and other tech companies have had diffi culty doing business in China due to government censor-ship and regulations. Beijing’s extensive censorship of online content—often called the “Great Firewall of China”—systematically removes material it deems harmful, including politically sensitive information, pornography, and violence.27
As of 2011, Facebook, the world’s largest online social media network, w hich had been blocked in China since 2009, was looking for ways to work within Chinese laws and with China’s leading search engine and web conglomerate, Baidu. Meanwhile, Google declared war on censorship and decided not to censor its web searches in China any longer, so China started closing the doors on Google services, banning or highly restrict-ing various services from the country. Microsoft, on the other hand, continued to comply with local regulations, including the censorship of some political material.
S ome people are pushing the U.S. government to make Internet censorship a trade issue. The argument, which Google has made in congressional testimony, is that digital barriers to the free fl ow of information are equivalent to traditional trade barriers, which are illegal under World Trade Organization (WTO) rules. Google spokesperson Niki Fenwick says censorship is fi rst a human right issue, then adds, “When a government blocks the Internet, it is the equivalent of a customs offi cial stopping goods at the border.”29
Under order of Pakistan’s high court in 2010, the Pakistan Telecommunication Authority started to observe Google, MSN, YouTube, Yahoo, Hotmail, and other websites for any infringement of Muslim sentiments.30 If the trend to block Internet access continues, what will happen to human rights and global trade? Where are we headed?
D iscussion Questions
1 . How do you feel about censorship? Is it a violation of human rights or does it protect citizens, government, or society? Do you think the Chinese government will be pressured into providing open Internet access for its citizens? Why or why not?
2 . Do you think the Chinese government’s censor-
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x Pedagogical Features
O n Target Boxes, Off the Mark Boxes, and Top 10 Lists Each chapter
includes either an On
Target or Off the Mark
box. These boxed features
illustrate positive and
negative outcomes of
business ventures related to
chapter material. They are
accompanied by questions
to inspire classroom
discussions and further
understanding of the topics.
These features, along with
various Top 10 lists, help
fuel in-class dialogue.
B izChat Boxes BizChat boxes include questions
that can spark thoughtful in-class discussions or
virtual discussions via MyBusinessLab. BizChat
boxes explore “hot topics” in business to help
connect the chapter material to what’s happening
in business today.
B iz Chat W hat Is Recruiting 2.0?
Y ou’re probably familiar with social networking sites such as Myspace and Facebook. The same concept is applied to the professional community through sites such as Linke-dIn ( www.linkedin. com), ZoomInfo ( www.zoominfo. com), and Spoke ( www.spoke. com). LinkedIn is an online net-work of more than 135 million experienced professionals worldwide whose connections are made through college and university, graduate school, or professional affi liations.8 Most people would like to hire or work with someone they know, and LinkedIn can provide helpful colleague and cus-tomer recommendations. Additionally, LinkedIn may assist job seekers by providing insiders’ information o n compa-nies and employees. If you’ve scheduled an interview, you might fi nd a LinkedIn page for the person with whom you are meeting. This can give you some information on that person’s professional background, including where he or
she went to school, as well as information on hobbies. Knowing these details may provide for good conversation starters during the interview.
D iscussion Questions
1 . Do you think it is appropriate for an employer to view your Facebook page before an interview or before they hire you? Why or why not? If an employer viewed your Facebook page, do you think it would affect their decision to hire you? Why or why not?
2 . Have you established an online “professional” image using a professional networking tool such as LinkedIn? If you don’t have an online image now, do you think you should create one? What will it say about you? What can you do to ensure your online image is portraying you in a positive way to potential employers?
3 . Some people say they don’t care what others think of them. Should you care about what others think of your online image? Why or why not?
Explore on mydevelopmentlab
08_ch08_solo.indd 213 25/01/12 3:50 PM
10 W orld’s Most Valuable Brands (2011)
B rand Value
R ank Brand (US$mil)
1 . Apple 1 53,285
2. G oogle 111,498
3 . IBM 1 00,849
4. M cDonald’s 81,016
5 . Microsoft 7 8,243
6. C oca-Cola 73,752
7 . AT&T 6 9,916
8. M arlboro 67,522
9 . China Mobile 5 7,326
10. G E (General Electric) 5 0,318
Source: MaryLou Costa, “The Most
Valuable Brands in the World,” Mar-
ketingWeek (online), May 12, 2011,
http:/ / www. marketingweek. co. uk/
the-most-valuable-brands-in-the-
t op
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Pedagogical Features xi
❶ Learning Objectives, Key Terms, and Chapter Synopsis Tied directly
to the synopsis at the end of the chapter
and to the MyTest questions, each
chapter’s Learning Objectives preview
the main points students should know
after studying the chapter. Throughout
the chapter, Key Terms are defi ned
in marginal notes. At the end of each
chapter, the Chapter Synopsis reminds
students of the chapter’s Learning
Objectives and summarizes the main
concepts discussed within the chapter.
F inancial Management and Accounting
L EARNING OBJECTIVES
A fter studying this chapter, you should be able to:
➊ S ummarize the implications of fi nancial management and how
fi nancial managers fulfi ll their responsibilities. (p. 369)
❷ Describe how fi nancial managers plan for fi nancial needs.
(pp. 369–372)
❸ Describe the different options available for companies to fi nance their
short-term business needs, including friends and family, credit cards,
commercial banks and fi nance companies, trade credit, promissory
note, factoring, and commercial paper. (pp. 372–375)
❹ Summarize the pros and cons of debt and equity fi nancing.
(p. 375)
❺ Outline the differences between each of the following types of
long-term fi nancing options: selling bonds, selling stock, venture
capital, and retained earnings. (pp. 375–380)
❻ Describe the functions of corporate accounting, managerial
accounting, fi nancial accounting, auditing, tax accounting, and
government and non-profi t accounting. (pp. 381–382)
❼ Explain how double entry bookkeeping is used to maintain the balance
of the fundamental accounting equation. (pp. 382–385)
❽ Describe the function of balance sheets, income s tatements, and
statements of cash fl ow. (pp. 385–394)
13 C HAPTER
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B etter Business, Better World Vignettes In Chapters 1 to 3 and 7 to 11, the Better Business,
Better World vignettes illustrate how businesses are engaging in the solutions to sustainable
development challenges, global citizenship and equity, and social responsibility. The vignettes
contain discussion questions to enhance students’ understanding of the topic and help initiate
classroom discussion.
P rimary data are raw data
collected by the researcher.
The data are frequently
collected through observation,
questionnaires, surveys (via
mail, e-mail, or telephone),
focus groups, interviews,
customer feedback, samples,
and controlled experiments.
A focus group is typically a
group of eight to ten potential
customers who are asked
for feedback on a good or
service, advertisement, idea,
or packaging.
S econdary data are data that
have already been collected
and processed. An example of
secondary data is census data.
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C HAPTER SYNOPSIS
❶ Summarize how marketing has evolved over the production concept era, sales concept era, marketing concept era, and customer relationship era. (pp. 300–302)
D uring the production concept era (from the Industrial Revolu-
tion until the 1920s), most companies focused solely on produc-
tion. Demand was often greater than supply, and the prevailing
mindset was that a good-quality product would simply sell
itself.
D uring the sales concept era (from the mid-1920s through
the early 1950s), technological advances meant that production
increased more sharply than demand for goods and services. The
use of heavy public advertising in all available forms of media
targeted customers. This blend is constrained by forces outside
the fi rm’s control that are found within the broader market
environment.
ProductPrice
TargetedCustomers
cons
traints constraints
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T he Home Depot Canada Foundation28
E stablished in 2008, The Home Depot Canada Foundation expands “The Home Depot Canada’s commitment to giv-ing back to the communities it serves.” As a private, Cana-dian charitable organization, the foundation brings together volunteerism, do-it-yourself expertise, product donation, and monetary grants to meet community needs. It sup-ports the development of affordable housing built respon-sibly and builds h ealthy neighbourhoods by supporting lo-cal initiatives such as restoring and creating much-needed community green spaces and other outdoor beautifi cation projects. As of 201, the foundation works with a number of national community partners, including Habitat for Hu-manity Canada, Evergreen, Volunteer Canada, Boys & Girls Clubs of Canada, and Great Canadian Shoreline Cleanup.
to take a leadership role in their community by organizing and volunteering on projects with local and national part-ners. Annually, The Home Depot associates contribute more than 60,000 volunteer hours to community projects across Canada.
B etter Business B etter World
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C ritical Thinking Questions End-of-chapter
Critical Thinking Questions are designed to get
students to think about how the material they are
studying applies to them as individuals, community
members, and global citizens.
C RITICAL THINKING QUESTIONS
1 . Contingency plans are important in any business. Discuss
what kinds of plans your school might have in place. How
would these plans differ, if at all, from those of a local business
in your area? What are a few possible scenarios that would
require contingency plans in your school or at a local business?
2 . How do you rank leadership qualities? Rank the following
qualities and compare your results with your classmates:
honest, loyal, competent, caring, determined, ambitious,
inspiring, forward-looking, self-confi dent, and imaginative.
What are the top three qualities?
3 . Analyze your own ability to be a manager. What already
polished skills do you have now? What skills would you
need t o improve? What skills would you still need to acquire?
How could you go about acquiring or improving those skills
you do not have?
4 . What differences might you expect to fi nd in the corporate
cultures of Google and CIBC? Do you think there would there
be any similarities?
5 . Perform a basic SWOT analysis for the school you are cur-
rently attending. Indentify at least fi ve strengths, weaknesses,
opportunities, and threats. Suggest several ways your school
can take advantage of opportunities by using it strengths
and several ways in which your school can protect itself from
threats and overcome its weaknesses.
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A pplication Exercises End-
of-chapter Application
Exercises are designed to
increase student involvement
in the learning process through
researching, completing tasks,
and providing evidence either
in or out of the classroom.
A PPLICATION EXERCISES
1 . Ethical Decisions. Locate a free ethics quiz online and test
your ethical decision-making abilities. The following websites
can help you to get started:
a . ICMR— http:/ / www. icmrindia. org/ courseware/
Business%20Ethics%20&%20Corporate%20Governance/
Business%20ethics-quiz2. htm
b . CareerBuilder— www.careerbuilder. com/ Article/
CB-1382-The-Workplace-Quiz-How-Ethical-Are-You/
c . The Ethics Guy on CNN— http:/ / youtu. be/
Lhwhgf01Ozw
d . Onveon— www.onveon. com/ articles/
how-ethical-are-you-quiz. htm
W ere there any dilemmas you found particularly challenging
or surprising? Why?
2 . Volunteerism. You don’t have to wait until you graduate to
start demonstrating your social responsibility. Volunteering
3 . Corporate Social Responsibility (CSR). Visit the Canadian
Business for Social Responsibility (CBSR), a non-profi t orga-
nization, website at www.cbsr. ca and write a brief summary
answering the following questions.
a . What does the organization do? What is the CBSR model
(under Approach)?
b . Under CBSR Publications, what are some of the recent
CSR trends?
c . What are the upcoming CSR events?
4. Corporate Ethics. Visit two of the following three multina-
tional company websites: Boeing, the world’s leading aero-
space company; Apple, Inc., the world’s largest technology
company; and Toyota Motor Corporation, the world’s largest
automobile manufacturer by sales. Compare and contrast
the companies’ code of ethics, mission, values, and code of
conduct. Based solely on each company’s ethical conduct,
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xii Pedagogical Features
S tudy on the Go and ScanLife™ Barcodes The ScanLife™
barcodes provide an
unprecedented seamless
integration between
text and online content
for students. The free,
downloadable app (for
instructions go to:) enables
students to link to Pearson
Canada’s unique Study
on the Go content directly
from their smartphones,
allowing them to study
whenever and wherever
they wish! Upon scanning,
students can follow the
online instructions to
search the rich study
assets, including Glossary
Flashcards, Audio
Summaries, and Quizzes.
S tudy on the Go
A t the end of each chapter you will fi nd a unique barcode providing access to Study on
the Go, an unprecedented mobile integration between text and online content. Students
link to Pearson’s Study on the Go content directly from their smartphones, allowing them
to study whenever and wherever they wish! Visit one of the websites below t o see how
you can download an app to your smartphone for free. Once the app is installed, your
phone will scan the code and link to a website containing Pearson’s Study on the Go
content, including the popular study tools Glossary Flashcards, Audio Summaries, and
Quizzes, which can be accessed anytime.
S canLife http:/ / getscanlife. com/
N eoReader http:/ / get. neoreader. com/
Q uickMark http:/ / www. quickmark. com. tw/
T eam Time Exercises End-of-
chapter Team Time Exercises have
students work in teams to improve
their collaboration and problem-
solving skills.
T obacco Wars
D ivide into two even teams, one to represent each of the follow-
ing:
a . tobacco company employees; pro-cigarette advertising in
magazines
b . anti-tobacco advertising activists
S CENARIO
Does a company have a fundamental right to market its products
wherever it wishes? Cigarette advertising in magazines has
been a topic of great controversy. The large tobacco companies
provide publications with a great deal of revenue by purchasing
expensive advertising space, but many anti-smoking groups and
some magazine publishers are questioning the ethical nature
of this. Anti-smoking groups argue that these advertisements
appeal to children and glamorize smoking. Tobacco companies
claim that they are m erely making attractive advertisements with
no intention of encouraging children to use their products. The
European Union has banned tobacco advertisements from maga-
zines entirely, and many U.S. publications have stopped selling
ad space to tobacco companies. The Canadian government has
taken bold steps to control tobacco marketing. Do tobacco com-
panies have the right to advertise their products as they see fi t?
Is it morally wrong to advertise a product that is known to cause
health problems?
P ROCESS
Step 1. Collaborate with team members to discuss both sides of
the issue, analyzing the arguments from each perspective.
S tep 2. Prepare the most effective argument for your team’s
perspective, and think about counterpoints to arguments that the
other team may raise.
T EAM TIME
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C losing Cases The Closing Case
wraps up the chapter material by
relating the experience of a company
to the business topics discussed within
the chapter.
C LOSING CASE
C ompetition, What Competition?
A pple sold close to one million units of the iPad 2 tablet com-
puter during its launch weekend in March 2011. By comparison,
the original iPad, launched in April 2010, reached the one million
mark twenty-eight days after its debut. 24 By 2011, the original
iPad was the fastest-selling device of all time, measured in
revenue (Microsoft’s Kinect device holds the Guinness world
record for fastest sold, measured by number of units). Apple
released the iPod in 2001, the iPhone in 2007, and the iPad in
2010, and every one of these was an overwhelming success.
02_ch02_solo.indd 56 30/01/12 2:22 PM
E thics and Responsibility Exercises End-of-chapter Ethics and
Responsibility Exercises are designed
to increase students’ understanding
of business ethics and corporate social
responsibility.
E THICS AND RESPONSIBILITY
E thics in Teamwork
B eing a member of a team means that you are accountable for
your actions and the actions of your fellow teammates. Review
the following scenario.
S CENARIO
Imagine you work at an advertising fi rm. You’re on a team that
is developing an ad campaign proposal for a chain of fi tness cen-
tres. The fi rm has been struggling and needs your team to land
this account. At a meeting, one of your teammates reveals that he
has hacked into a competing fi rm’s network and has a draft of its
proposal for the same account. Your teammate wants to steal the
idea and use it in your team’s proposal. Most of your teammates
agree with this idea, but you think it is unethical.
D ISCUSSION QUESTIONS
1 . How would you handle this situation? Would you voice your
objection or go along with the team?
2 . If you decide to voice your objection, do you address the
entire team or speak to members individually? Why?
3 . How would you reconcile your role as a loyal employee and
team player with your need to uphold ethical standards?
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G lobal 500 Research Project The end-
of-chapter Global 500 Research Project
is designed so that students can work
individually or in teams to research, explore,
and make informed assumptions about an
assigned Global 500 Company. The project
may be assigned in one chapter only or may
span many chapters.
G LOBAL 500 RESEARCH PROJECT
I NSTRUCTIONS
1. Choose a Global 500 company from Fortune magazine’s
annual rankings at http:/ / money. cnn. com/ magazines/
fortune/ global500/ .
2 . Research:
a . What is the company name? Where is it located? Who is
the CEO?
b . How much revenue did the company generate last year?
c . What products or services does the company offer?
d . What industry is the company in?
e . What is happening in the global or local economy
currently that affects this company?
f . What degree of competition is this company operating
within (oligopoly, monopolistic competition, or perfect
competition)?
g. Use Porter’s Five Forces analysis model to analyze the
competitive environment this company is operating
within. What strategies does this company employ to
beat their competitors at the game of business? How does
having competition actually help a company?
3. Prepare a report and submit to your professor.
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T he Moment You Know E ducators know it. Students know it. It’s that inspired moment when something that
was diffi cult to understand suddenly makes perfect sense. Our MyLab products have
been designed and refi ned with a single purpose in mind—to help educators create that
moment of understanding with their students.
M yBusinessLab delivers proven results in helping individual students succeed. It
provides engaging experiences that personalize, stimulate, and measure learning for
each student. And, it comes from a trusted partner with educational expertise and an eye
on the future.
T he textbook authors were deeply involved in the creation and adaptation of all
Better Business MyBusinessLab media, ensuring that all online media is effective, relevant,
and closely linked to the textbook content. The result is a seamless learning experience
for students.
S tudents and instructors can make use of the following online resources:
S tudy Plan. MyBusinessLab offers chapter pre-tests that generate personalized
Study Plans that show students exactly the topics that require additional practice. The
Study Plan links to multiple learning aids, such as videos, eText, and fl ashcards. After
students work through the learning aids, they can take a post-test to measure their im-
provement and demonstrate their mastery of the topics.
A udio Chapter Summaries help auditory learners review and understand key chap-
ter concepts. They are also available in mobile format for on-the-go review.
G lossary Flashcards provide a targeted review of the Key Terms in each chapter.
The Glossary Flashcards allow learners to select the specifi c terms and chapters that they
would like to study. The cards can also be sorted by Key Term or by defi nition to give
students greater fl exibility when studying.
P earson eText: MyBusinessLab also includes an eText version of Better Business,
including a complete Glossary and Index. This dynamic, online version of the text is inte-
grated throughout MyBusinessLab to create an enriched, interactive learning experience
for business students. Users can create notes, highlight text in different colours, create
bookmarks, zoom, and click hyperlinked words and phrases to view defi nitions. Pearson
eText allows for quick navigation to key parts of the eText using a table of contents and
provides full-text search.
Explore on MyBusinessLab BizChat Discussion Boards. The BizChats from
the text can be brought to life via discussion boards in MyBusinessLab.
BizSkills Simulations. BizSkills are real-world scenarios that invite students to
assume the role of a decision maker at a company to apply the concepts they have just
learned. Students are scored on the brief, fi ve-minute simulation and then directed to the
eText, quizzes, outlines, and other learning aids to help reinforce the concepts.
M YBUSINESSLAB
RESOURCES
B izSkills: Case
Simulation: Ethics
in the Workplace . Located in
MyBusinessLab.
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xiv Mybusinesslab Resources
D ecision Making Mini-Simulations walk students through key business
decision-making scenarios to help them understand how business decisions are made.
Students are asked to make important decisions relating to core business concepts. At
each point, students receive feedback to help them understand the implications of their
choices in the business environment.
D ocument Makeovers. In Chapters 3, 5, 6, 7, 8, 9, 11, and 12, interactive Document
Makeovers ask students to analyze and correct business documents such as e-mail mes-
sages, letters, memos, blogs, and resumés. Immediate feedback is provided.
V ideo Cases and Web Cases. Each chapter’s Video and Web Case is available on
MyBusinessLab.
Video Case: To access the Chapter 3 Video Case: Patagonia: Ethics and Social
Responsibility, see the Activities folder in the Assessment section
of MyBusinessLab.
03_ch03_solo.indd 90 31/01/12 5:02 PM
Web Case: To access the Chapter 3 Web Case, see the Activities folder in the
Assessment section of MyBusinessLab
03_ch03_solo.indd 90 31/01/12 5:02 PM
V ideo Activities. MyBusinessLab also contains additional videos from Pearson’s
business resource library.
B usiness Plan Project. The simple, concise Business Plan Project is introduced in
Chapter 5. The project and all necessary fi les can be accessed on MyBusinessLab.
C areer Skills Modules. The online Career Skills modules are concise, engaging les-
sons that cover topics of interest and importance to students as they prepare for careers
in the business world.Career Skills modules are available for chapters 1, 5, 6, 8, and 13,
and cover such topics as academic success, effective business plans, business communica-
tion, fi nding a job, and personal fi nance.
A ppendix 13A: Securities and Investments. The online Appendix 13A contains an
in-depth treatment of securities and investments, for those instructors who wish to teach
this material. The Appendix includes Learning Objectives and a number of other peda-
gogical features.
A ll relevant MyBusinessLab resources are listed in the end-of-chapter “MyBusiness-
Lab Chapter Resources.”
M yBusinessLab can be used by itself or linked to any learning management system.
To learn more about how MyBusinessLab combines proven learning applications with
powerful assessment, visit www.pearsoned. ca/ mybusinesslab.
M yBusinessLab—the moment you know.
Decision-Making
Mini-Simulation:
Diversity. Located in
MyBusinessLab.
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B etter Business includes an innovative supplement package for instructors. You can access
the following resources from within MyBusinessLab or from the Instructor’s Resource
Centre at www . . . . U RL to come
I nstructor’s Manual. This valuable resource includes chapter outlines, teaching tips,
weblinks, supplemental activities, a chapter-video correlation guide, and answers to dis-
cussion and end-of-chapter questions. Each answer is tagged with the appropriate level
of Bloom’s Taxonomy.
P owerPoint® Slides. Each chapter presentation includes twenty-fi ve to thirty high-
quality slides. The PowerPoint Slides highlight key points from the text and are fully
customizable.
M yTest and Test Item File. MyTest from Pearson Canada is a powerful online
assessment-generation program that helps instructors easily create and print quizzes,
tests, and exams, as well as homework or practice handouts. The Better Business MyTest
contains multiple-choice, true/ false, short answer, and essay questions—approximately
150 questions in total per chapter. Questions and tests can all be authored online, allow-
ing instructors ultimate fl exibility and the ability to effi ciently manage assessments at any
time, from anywhere. A Test Item File in Microsoft Word® is also a vailable.
Personal Response System Questions. These slides are provided for instructors who
wish to use a PRS to encourage class participation or facilitate in-class quizzes.
I mage Library. The Image Library contains image fi les for all Figures, Photos, and
Tables from the textbook, online Appendix 13A, and the online Career Skills modules.
C BC Video Library. A selection of CBC videos are provided in MyBusinessLab and
as a separate DVD (ISBN: 978-0-13-286322-3). These videos focus on Canadian companies
and discuss business issues from a Canadian point of view. The videos are accompanied
by case summaries, discussion questions, and a chapter-video correlation guide.
B etter Business is also available as a CourseSmart eTextbook. CourseSmart goes
beyond traditional expectations—providing instant, online access to the textbook and
course materials at a lower cost for students (average savings of 60 percent). With instant
access from any computer and the ability to search the text, students will fi nd the content
they need quickly, no matter where they are. And with online tools such as highlighting
and note-taking, students can save time and study effi ciently.
I nstructors can save time and avoid hassle with a digital eTextbook that allows them
to search for the most relevant content at the very moment they need it. Whether it’s
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CourseSmart can make life a little easier. See all the benefi ts at www.coursesmart. com/
instructors or www.coursesmart. com/ students.
P earson’s Technology Specialists work with faculty and campus course designers
to ensure that Pearson technology products, assessment tools, and online course materi-
als are tailored to meet your specifi c needs. This highly qualifi ed team is dedicated to
helping schools take full advantage of a wide range of educational resources by assisting
I NSTRUCTOR SUPPLEMENTS
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xvi Instructor Supplements
in the integration of a variety of instructional materials and media formats. Your local
Pearson Canada sales representative can provide you with more details about this service
program.
P earson Custom Library
F or enrolments of at least twenty-fi ve students, you can create your own textbook by
choosing the chapters that best suit your own course needs. To begin building your custom text, visit www.pearsoncustomlibrary. com. You may also work with a dedicated Pearson
Custom editor to create your ideal text—publishing your own original content or mixing
and matching Pearson content. Contact your local Pearson Representative to get started.
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M ichael Solomon
M ichael R. Solomon, Ph.D. is Professor of
Marketing and Director of the Center for
Consumer Research in the Haub School
of Business at Saint Joseph’s University
in Philadelphia. He also is Professor of
Consumer Behaviour at the Manchester
School of Business, The University of
Manchester, U.K. Prof. Solomon’s pri-
mary research and consulting interests
include consumer behavior, branding,
and marketing applications of virtual
worlds. He has written several textbook
and trade books; his Consumer Behav-
ior text is the most widely-used in the
world. Michael often speaks to business
groups about new trends in consumer
behavior and marketing strategy.
M ary Anne Poatsy,
MBA, CFP
M ary Anne is a senior faculty member at
Montgomery County Community College,
teaching various computer application
and concepts courses in face-to-face
and online environments. She holds a
BA in psychology and education from
Mount Holyoke College and an MBA in
fi nance from Northwestern University’s
Kellogg Graduate School of Manage-
ment. Mary Anne has more t han 11
years of educational experience, ranging
from elementary and secondary educa-
tion to Montgomery County Community
College, Muhlenberg College, and Bucks
County Community College, as well as
training in the professional environ-
ment. Before teaching, she was a vice
president at Shearson Lehman Hutton in
the Municipal Bond Investment Banking
Department.
K endall Martin, PhD
K endall has been teaching since 1988
at a number of institutions, including
Villanova University, DeSales University,
Arcadia University, Ursinus College,
County College of Morris, and Mont-
gomery County Community College at
both the undergraduate and graduate
level. Kendall’s education includes a
BS in electrical engineering from the
University of Rochester and an MS and
a P hD in engineering from the Univer-
sity of Pennsylvania. She has industrial
experience in research and development
environments (AT&T Bell Laboratories)
as well as experience with several
start-up technology fi rms. At Ursinus
College, Kendall developed a success-
ful faculty training program for distance
education instructors. She makes con-
ference presentations throughout the
year.
K erri Sheilds
Kerri Shields is a college professor who
enjoys learning as much as she enjoys
teaching. Her education includes a
Computer Programming Diploma from
Centennial College, a Bachelor of Gen-
eral Studies (Arts and Science) from
Athabasca University and an MBA
(Marketing and Finance) from Colum-
bia Southern University. She has taught
information systems, offi ce adminis-
tration, and business courses at Cen-
tennial College, St. Lawrence College
Saint-Laurent, Seneca College, and
Loyalist College both in the face-to-
face and online learning environments.
Before becoming a professor at Centen-
nial College she worked as a consultant
and project manager for a multinational
workforce solutions provider where she
held positions in training and develop-
ment, information technology, manage-
ment, recruitment and selection, sales
and marketing, customer service, and
quality control. The breadth of her work
experiences and her ability to transfer
learning and knowledge from one fi eld
to another is what makes her a unique
and effective professor. As a result of
student nominations, Kerri was selected
from a prestigious group of contenders,
as the recipient of the Government of
Ontario’s Leadership in Faculty Teaching
(LIFT) Award and the Centennial College
Board of Governors Teaching Excellence
Award.
A bout the Authors
FPO
00_fm.indd xvii00_fm.indd xvii 03/02/12 5:19 PM03/02/12 5:19 PM
Thanks to:
T ammy Jones, Sales and Editorial Representative, for believing in me and taking the
initiative to get the ball rolling.
N ick Durie, Acquisitions Editor, for his vision and ability to make the Canadian
adaptation happen.
J ohn Lewis, Developmental Editor, for putting forth 110 percent every day, staying
on top of every task, and sharing his wonderful sense of humour.
P earson Team [[Richard to insert others on the team]]
A nd a big “thank you” to each of the reviewers who provided invaluable feedback
that helped shape the content of the textbook and the onliwne resources that accompany
it. [[List reviewers]]
A cknowledgements
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