Friday, January 31, 2020
Chinese Business Culture Essay Example | Topics and Well Written Essays - 1000 words
Chinese Business Culture - Essay Example Accordingly, business culture of a particular country can be defined as a specific way of business relations existing between the members of a company influenced by national cultural values and norms. National Influences Chinese business culture includes both conscious and unconscious national values, ideas, attitudes and symbols that shape employees behavior. The combination of Chinese language and religion creates a unique culture and traditions. At its deepest level, however, chinese business culture comprises a set of basic assumptions that operate automatically to enable groups of people to solve the problems of daily life without thinking about them. In this way, business culture is that which causes one group of people to act collectively in a way that is different from another group of people. Chinese business culture is influened by religious traditions including Taoism and Buddhism (Kenna, Lacy, 1994). Language Language plays a dominant role in every culture as the main tool of communication. Language can be divided into spoken or verbal language and non-verbal language, which includes communication through gestures, touching and other forms of body language that supplement spoken communication. The official language in China is Chinese, but it has verious variation and dialects. Mandarin is the official spoken standard of language, but the variety of dialects (Shanghaiese and Cantonese) creates a difficulty to communicate with firms in different parts of the country. In many cases, the official language of business negotiations is English, but it is highly recommended for businessmen to find an interpreter in order to understand subtle nuances of everything during meetings. For instance, "without special study of Cantonese someone from Beijing cannot understand residents of Guangdong or neighboring Hong Kong" (Business Culture throughout China, 2005). It is important to note that Chinese businessmen rely on subjective feelings in forming opinions and solving problems, and a message or speech should be very concise and laconic. Manners Collectivism is a remarkable feature of Chinese business culture which has a great influence on manners and personal relations. High individualism is a general aspect of culture in the United States and Europe; low individualism is characteristic of a Chinese culture pattern. It includes extreme respect for age and hierarchy. The delegation of power is very limited with most power holds by managing directors. The manners of Chinese businessmen are based on the Confucian concept of the Superior man. "Such rituals prescribe how the Superior man should behave when dealing with other people (as a means of exercising self-control by directing his emotions in the right direction (Williamson, 2003, p. 5). Face Expression or "Mian-zi" Some implications of 'face' for expatriate managers include the need for extreme caution and reflection in Chinese business communication. 'Face' can be put to good effect through displays of public recognition for exemplary accomplishments at work and more generally in the design of effective reward systems. Loss of self-control by a businessman through displays of anger and threats signal weakness and contributes to a loss of 'face' (Seligman, 1999). Gestures Because of differences in traditions, customs, religions and related cultural features of a society, extreme care should be taken in selecting gestures that can convey
Thursday, January 23, 2020
Resistance coursework - some useful things :: essays research papers
Resistance Coursework Planning: Aim Investigate how the length of a wire affects the current and resistance of a wire. Variables The variables that could change resistance are: †¢Ã‚     Length of the wire †¢Ã‚     Cross section area (thickness) †¢Ã‚     Changing materials †¢Ã‚     Changing temperatures The variable I am going to change in my experiment is the length of the wire. Prediction and Hypothesis I think as you increase the length of the Constantan wire, you also increase the amount of resistance. The current is the flow of electrons; the current is dependent on the amount of voltage, which is applied. Voltage is the push given to the current. The current has to go through a circuit, which contains resistance so if you increase that push you also increase the flow of the current. All materials have a slight resistance to electricity factors affecting the resistance are: Length, Voltage & Temperature and Surface Area. Preliminary Work Changing only the length of the wire Length     Voltage (V)     Current (A)     Resistance () Short     5.45     0.26     20.96 Long     5.56     0.24     23.16 Longest     5.58     0.19     29.36 Conclusion: the longer the wire, the higher the resistance Changing only the cross section area of the wire Thickness     Voltage (V)     Current (A)     Resistance () Single     4.73     1.45     3.26 Double     4.44     1.98     2.24 Triple     4.34     2.07     2.09 Conclusion: the thicker the wire, the lower the resistance Changing Materials Material     Voltage (V)     Current (A)     Resistance () Constantan     5.51     0.48     11.47 Aluminium     1.82     8.63     0.21 Conclusion: different materials conduct electricity better Changing Temperatures Temperature     Voltage (V)     Current (A)     Resistance () Cold     2.27     6.72     0.34 Hot     2.62     7.00     0.37 Conclusion I came to a conclusion that the decrease in current is the increase in resistance this is because the current although less of it they collide with the resistance causing a decrease in the output voltage. List of equipment and circuit diagram †¢Ã‚     Power pack †¢Ã‚     6 connecting leads †¢Ã‚     Push switch †¢Ã‚     2 crocodile clips †¢Ã‚     Wire (constantan) †¢Ã‚     Voltmeter †¢Ã‚     Ammeter †¢Ã‚     Meter sticks Circuit diagram: Analysing: As the length increased so did the resistance. This is because in a longer piece of wire the electrons have to push past more ions. The electrons have a negative charge and the ions have a positive charge. So energy is needed to keep the electrons flowing.
Wednesday, January 15, 2020
High Employee Turnover Among Travel Agencies in Malaysia Essay
1.0 Introduction The tourism industry in Malaysia has grown immensely due to its potential and unique competitive edge. The sector has increased its importance within the Malaysian economy, since the 1990’s according to Bashir, M. and Ahmad, N., et al. (2008). It carries on to be a leading foreign exchange achiever, continually acting as a crucial contributor to the Gross Domestic Product (GDP) growth, business and employment opportunity, investments, and empowering the balance of payments account. Within the last decade, the tourism industry has made rapid progression and this progression is reflected in the increase of tourist arrivals and receipts. Tourist arrivals have increased significantly by almost 59% from 10.22 million in 2000 to 25.03 million in 2012 (Corporate.tourism.gov.my, n.d.). Tourism receipts in Malaysia contributed 56% of the total services receipts average between 2008 and 2012, generating a surplus in the country’s balance of payments accounts (Cor porate.tourism.gov.my, n.d.). The tourism sector has become the second-largest contributor towards economic growth of currency exchange (Table 1). Table 1. Tourist Arrivals & Receipts to Malaysia Source: (Tourism Malaysia, 2013) In a recent study, Mazumder et al. (2011) concluded that tourism not only impacts service sectors but contributes substantially to all sectors of the Malaysian economy. The economic after-effect of tourism exists extensively within the expansion of the globalization process; this in turn increases the industry’s development worldwide. Furthermore, it not only generates a ripple effect but boosts the intersectoral links within the economy, through these links; international tourism consumption will impact nearly all sectors of the economy. Therefore, looking at how important this industry is for the economy, this report aims to find methods to retain employees in various sectors of the travel sector with the main focus towards travel agencies. 1.1 Issue The main issue being assessed in this report is focused on high staff turnover. However the main component of this research is strongly related to â€Å"turnover intent†, rather than turnover itself. 1.2 Study Aim In today’s competitive world, the travel industry has proved to become one of the most unique tools used for economic progression. Along with that, it has also helped improve social incorporation and multinational interpretation and understanding of diverse cultures. This allows travel agencies to expand target markets. Moreover, also in this unstable business environment, travel agencies that wish to succeed need to be accepting of change. They need to be able to not only meet but also surpass the threats and opportunities presented to them by their competitors. Numerous researches have been carried out to study the relation between turnover intent and job satisfaction. However, little interest is given to travel agencies, although they make up an important part of the tourism industry. When turnover intent occurs among service occupations such as those of the travel industry, there is not only a negative impact on the management and firms but also on the servic e and products quality, hence this may show a negative result in customer satisfaction. This research discusses how travel agencies need to focus on employee management and retention. The main issue being assessed is focused on high staff turnover intent among employees in travel agencies. 1.3 Research Objectives 1) The factors that influence turnover intent among newcomers in travel agencies. 2) To provide recommendation that could prevent or at least reduce this issue. 1.4 Purpose of study According to Kennedy and Berger (1994), turnover rate is generally at its highest among those employees who are newcomers in the company, and occurs within the duration of the first four weeks on the job. Therefore, the first objective is to identify factors that influence turnover intent among newcomers in travel agencies. However, every problem also normally has a solution or at least if there is no specific solution, there are various methods that can be applied to ‘control’ the problem. Hence, understanding the methods that can either solve or control turnover intent is the second objective of this research. 2.0 Literature Review Employee turnover is deliberated as an obstacle to attaining high levels of productivity and efficacy in business jobs or operations (Deery & Shaw, 1997), especially in the travel industry, where the relationship among employees and customers is crucial. A high employee turnover rate is a major factor that reflects a decrease in customer satisfaction; this in turn impacts a loss in repeat customers and reputation of being a good business. Prior researches state that the more work experience an individual has, the less likely they are to leave (Boles et al., 1995). It was also said that hiring individuals who have experience within the travel industry could reduce turnover intent among travel agencies. 2.1 Defining job turnover intent Turnover can be defined as the decision to withdraw from current jobs by taking part in a series of psychological steps (Mobley, 1977): ââ€" ¡ Evaluation of job ââ€" ¡ Experienced job dissatisfaction ââ€" ¡ Thinking of quitting ââ€" ¡ Evaluation of expected utility search and cost of quitting ââ€" ¡ Interaction to search for alternatives ââ€" ¡ Search for alternatives ââ€" ¡ Evaluation of alternatives ââ€" ¡ Comparison of alternatives vs. present job ââ€" ¡ Intention to quit/stay ââ€" ¡ Quit/Stay 2.2 Factors influencing job turnover intent There are a number of factors that have been associated with turnover intent in studies that have been conducted in the past. However, most researches have mainly focused on personal differences, age, education, knowledge, income, gender, and job level to name a few determinants that have been identified to influence job satisfaction (Fournet et al., 1996). Researchers believe that age, tenure, job level, and income are associated with job satisfaction (Herzberg et al., 1957). Mei-Chih et al. (2007) showed there is a relationship between job satisfaction and age. According to De Vaney and Chen (2003) age has an effect on job satisfaction. Results from several studies indicate that there is a relationship between sex and job satisfaction (Bilgic, 1998; Lumpkin & Tudor, 1990; Goh & Koh, 1991 and Oshagbemi, 2000). Some studies conducted by Lumkin & Tudor (1990) and Stedham & Yamamura (2003) showed that female managers are given less pay and ar e hence, surely less satisfied with their compensation, promotions, and overall work satisfaction. Studies established that job occupancy has been determined as a factor related to job satisfaction (Herzberg et al, 1957; Lee & Wilbur, 1985; Schuh, 1967). Sokoya (2000) instituted that there is a major difference between job occupancy and job satisfaction. Raymond and Elizabeth (1985) demonstrated that job occupancy has impact on job satisfaction. Cotton & Tuttle (1986) focused their theory on the supplements of turnover and then into their factors: (1) external correlates; (2) structural or work-related factors; (3) personal characteristics of employees. In a different, more recent study conducted by Griffith et al. (2000), gave a more comprehensive explanation about antecedents of turnover. These antecedents were classified into four groups, these include: 1) Demographic predictors 2) Job satisfaction, organization factors, work environment factors 3) Job content, external environment factors 4) Other behavioral predictors 3.0 Methodology The research conducted for this study is qualitative, using the probability method for selection of candidates. The primary method was interviews conducted focusing on focusing on the factors that influence ‘turnover intent’ among employees. Whereas, the interviews helped grasp knowledge as to why employers/managers think ‘turnover intent’ occurs and what sort of precautionary measures can be implemented to control or better reduce turnover intent. Then secondary information was gathered on previous studies regarding the same issue i.e. turnover intent among employees in travel agencies. This information was found through books, journals, and reliable websites. 3.1 Interviews Technique The survey was conducted amongst employees of five different travel agencies. The employees were selected at random to avoid any biasness. The interviews on the other hand, were conducted amongst people at the top of the food-chain in the tourism and travel industry in Malaysia. Interviewees were selected at random to gain perspective from various individuals regarding the same issue. 3.3 SIZE OF SAMPLE As mentioned previously, the survey was conducted among employees from five different travel agencies in Malaysia. Within each of these travel agencies, 7 employees from any department were selected to fill out the survey at random. The total number of survey samples analysed were 30, although the total number of survey forms distributed personally were 35. The reason was that every respondent may not fill in the form completely and correctly and therefore, out of 35 survey’s 30 properly filled out surveys were carefully examined to ensure validity of results. The survey was also made available online on surveymonkey.com to gather results in a convenient and fast method. This information gave insight for the thoughts of employees from different regions and states in Malaysia. The interviews were conducted with five individuals who are managers or CEO’s at the five travel agencies from where the employees were surveyed. 3.4 SAMPLING PROCEDURE There are different methods of distributing the surveys; by post, e-mail, or personally. For this particular research the surveys were distributed personally and also conducted online to receive results from travel agencies that are out of reach. Also a higher number of responses increased the accuracy of results. 4.0 Findings and Discussion 5.0 Recommendations So many questions arise as to what factors cause turnover intentions among employees in travel agencies, one of the questions is: Could the problem possibly root from the tourism education and training itself? Since, the operations of travel agencies are not very precise and adequate (i.e. there is no exact procedure to be followed in jobs of those working in travel agencies), it may be possible that students who graduate with a diploma/degree in tourism related studies are not well-prepared to deal with globalization and the effects it has on the tourism industry. Therefore, training and development has an important impact on the development of skilled professionals prepared for the business operations taking part in travel agencies on a daily basis.
Tuesday, January 7, 2020
Economic Growth In Northern And Eastern Province Finance Essay - Free Essay Example
Sample details Pages: 12 Words: 3553 Downloads: 8 Date added: 2017/06/26 Category Finance Essay Type Analytical essay Did you like this example? Ever since the LTTE was defeated in May 2009, there has been just one thought on the business communitys minds opportunities for growth in the North and East provinces. However, business confidence was low due to the political instability in the country at that time. But, following the results of the recently held Presidential and Parliamentary Elections, the emergent political stability for the foreseeable future has restored investor confidence. Don’t waste time! Our writers will create an original "Economic Growth In Northern And Eastern Province Finance Essay" essay for you Create order With abundant man-power and land availability coupled with the massive infrastructure development taking place and incentives provided for investment in the area, almost all industries are trying to grab a piece of the pie. In addition to the local investors, the government has also taken steps to attract foreign direct investments in the region. However, their success will be determined by their ability to raise finance for their planned investments. BANKING INDUSTRY Blue chip companies have the option of generating funds through the sale of equities in the form of IPOs and rights issues. However, most Sri Lankan businesses are small and medium sized enterprises most of which are not attracted by the option of sharing ownership through the sale of shares. Hence they look towards banks to provide financial solutions for their investments. The banking industry is one of the most profitable industries in the island. With the above scenario of businesses clamoring to obtain funds for their investments, the banking industry has turned into a vital business partner without which nothing can happen. This is also the opportunity that each bank has to create a reputation for itself in Project Financing. In order to meet these needs, banks have to undergo expansion. The Sri Lankan banking industry comprises of licensed commercial banks, licensed specialized banks and registered finance companies. The licensed commercial banks comprise of what can be termed as state banks, domestic private banks and foreign private banks. It is these institutions, the licensed commercial banks, numbering 22, which fight for the spoils in a very profitable industry. The two state banks have an advantage since they are used by the government for its numerous projects. The foreign banks, 11 in number, have an advantage where-in they are able to provide funds for large investments by approaching their world-wide groups. It should be noted that the foreign banks have increased their stake in credit advances in recent times. It is the nine domestic private banks which have to strive hard to win over clients through capitalizing on their very own competitive edge. Furthermore, the domestic private banks also face some competition from the 14 development banks (categorized under licensed specialized banks) which normally make the first move in the project finance sector. THE NEED FOR RISK MANAGEMENT With increasing regulation in the banking industry, banks have to balance their potential profitability against risk of loans turning into non performing advances. For instance, over-exposure to a particular industry could result in losses if the industry fails. In addition, the selection of a wrong location to establish a bank branch would result in poor customer attraction. Thus, Risk Management has come to the forefront of all activities connected to banks. Stringent credit tests need to be undertaken to weed out poor investments and banks would have to reduce risk by getting involved in a range of industries. Banks presently focus on risks relating to nonpayment of advances and exposure to a particular industry. However, they would also have to take into account knowledge risk, relationship risk, operational risk etc. when taking decisions as all these play a role in the final decision. Furthermore, relationship risk is of significance since people in the region place their faith in financial institutions based on relationships. Therefore, in an environment of economic growth where the demand for credit is rising, banks have to be careful of the options they select. Diving head-on into any mildly feasible project or haphazard selection of expansion tactics will spell disaster. It is here that the management should ensure that effective risk management strategies are in place and a right balance is struck between profitability, expansion and risk exposure. PUBLICATION An analysis of the above scenario is seeking publication in a magazine/newspaper catering to bankers and professionals across other industries. I have short listed the following publications; The Banker is a quarterly publication by the Institute of Bankers in Sri Lanka. This is the only local industry journal and covers all aspects of the banking industry in the country. With its circulation of 16,000 reaching industry professionals, its position as a journal makes it a good medium for any industry related articles. Its only drawbacks are that articles have a ceiling limit of 1,500 words, is highly technical and focuses little on strategy. The Financial Times is Sri Lankas only financial daily. Launched in 2009, it covers news items on local and foreign businesses while giving more emphasis to domestic issues. It also consists of articles relating to business strategy across varying industries on a weekly basis. With its core readership being financial sector employees and business analysts, this newspaper would be an ideal platform to capture the attention of my target audience. Lanka Monthly Digest (LMD) is the island nations leading business magazine with a monthly readership of nearly 20,000 and a target readership which comprises business and opinion leaders, senior managers and professionals. Its content comprise chiefly of current affairs, business and politics relating to the domestic environment. However, it provides little emphasis on the local banking industry. I firmly believe that my article, which takes into account the need for risk management in an environment of economic growth potential is a timely read for professionals in the banking and financial services industries, and as such would be of interest to the readership of the above three magazines. However, The Financial Times emphasis on local business news and investment opportunities making it the preferred read for investors, bankers and business analysts influences me to make it the chosen publication for my article. I believe that this newspapers readership would benefit from the points raised from the banking industry perspective on tackling growth and risk management. It could also be a starting point of debate on what the future holds for the banking industry and strategies to be implemented in the current economic climate. Word Count: 1059 words TASK TWO THE BALANCING ACT ECONOMIC GROWTH, RISK EXPANSION ECONOMIC GROWTH Sri Lanka has received its third opportunity to turn around its economy. Following independence in 1948 and opening up of the economy in 1977, the end of the conflict in the Northern and Eastern parts of the country in May 2009 has bought with it opportunities hitherto inaccessible. The infrastructure development currently taking place together with the abundant man power, availability of land, proximity to Trincomalee port and government incentives for investment in the region has made the Northern and Eastern Provinces hot spots for investors. At present, analysts forecast that bids for investment in tourism, agriculture, fisheries and manufacturing sectors will increase in the region. While blue chip organizations will undertake most of the large scale investments, many small and medium enterprises have been queuing up to grab a piece of the pie. This is where the banking industry comes into play as more than 95% of the investors are bound to approach banks for funding. The Sri Lankan banking industry has performed reasonably well over the past few years. Profit before tax of all Licensed Commercial Banks reached Rs. 27.6 billion for the year ended 2009 while registering a growth of 9.3 per cent. On average, the banks are taxed nearly 60% of their earnings. However, the Sri Lankan banks have comfortably managed to remain on the black despite 2009 being a tough year due to the heightened war and global recession. To-date, business ventures based themselves in the Western Province primarily due to infrastructure availability. However, with the ending of the war and the development activities in the other regions as well as in the Northern and Eastern Provinces, banks have begun expeditiously establishing their presence in certain areas. The 2009 Central Bank Annual Report states that The number of new bank branches opened by Licensed Commercial Banks was 49, of which 38 were outside the Western Province. Further, out of the 49 new bank branches 17 branches were opened in the Eastern Province while 10 branches were opened in the Northern Province. This indicates that banks have begun expanding their operations to meet the demand. It also shows that the banks have recognized the need to build relationships with the community in order to help them get them back on their own two feet. In the long term, a step by step approach would assist banks to increase their volume of retail banking activities due to the fact that, with time and economic development of the region, people tend to turn to banks for other financing solutions. However, corporate banking is a different kettle of fish. The recent decrease in interest rates to around 10% to 13%(the lowest in recent times) and the Central Banks special lines of credit for the agriculture and livestock sectors, Small Medium Enterprises, and development programmes such as Eastern Rising and Awakening North, have resulted in a massive demand for project finance. Offering advances for investments which comply with the special lines of credit category provide banks the room to earn more profits since the cost of obtaining funds for those loans is lower than the market rate of obtaining funds to provide advances to loan applicants under normal circumstances. The Central Banks above-mentioned initiatives would not only assist entrepreneurs obtain cheaper funds, but also provide banks with opportunities for increased profitability. However, the demand for advances also means that commercial banks have to face increased competition among themselves and with development banks to win over large clients. While negotiating with SMEs tend to be a little easier considering their lower bargaining power and their fear of the application being rejected elsewhere, banks tend to struggle when negotiating with multi-nationals or conglomerates since they are able to look at other avenues of finance due to positive credit ratings and reputation as well as the promise of a slice of probable future banking needs, such as working capital, once operations start. Furthermore, not all projects succeed as planned, and with banks handing out more advances to maintain market share, they run the risk of their advances turning into non-performing loans which have now hit 8.8% (refer appendix table 3). In addition, setting up new branches and the expense involved in promoting the bank is a cost that most banks did not forecast. Therefore, while the positive economic climate is going to bring in more business, increased costs will have to be incurred to be able to meet the demand. Thus, if not managed properly, the economic growth could spell doom for some banks. RISK MANAGEMENT IN TIMES OF GROWTH The Sri Lankan banking industry managed to steer clear of the ills faced by the banking industry in the western world. However, the crisis in the west has resulted in domestic banks adopting extremely tight conditions which have to be complied with in order to get approval for advances. Despite being in an environment of economic growth, interest rates being lowered and demand for credit rising, the current sentiment expressed by entrepreneurs is that they are not getting advances they apply for. While banks are right to protect their interests and ensure they keep their non-performing loans at a minimum, their tight financial risk management policies have blocked them from earning as much as they can. Furthermore, operational risk management strategies have also limited the scope of intuitive judgment. Thus, employees are constrained by not being able to proceed with attractive options till the necessary controls have been complied with. In comparison, banks have devoted insufficient attention to knowledge risk and relationship risk. In these times of economic growth, banks should ensure that their personnel are consistently provided with training and education programmes on the developments in different industries and market trends. An absence of knowledge of the market could result in evaluators turning down applications for profitable ventures. Furthermore, in an industry operating largely on the strength of relationships and an environment where it is the retail customers who set up SMEs, banks run the risk of losing customers to competitors who accommodate their request for advances. Therefore banks have to ensure that they give as much support to their clients as possible. After all, when it comes to an enterprise, a lost customer also means a loss of all the future business, such as leasing, current accounts, overdrafts etc., he would carry out once the venture gets off the ground. EXPANSION The banking industry has recognized the need to establish a presence in the Northern and Eastern areas. However, this was not something they envisaged when budgets were drawn up at the end of the year. For instance, Sampath Bank has now drawn up a strategy to open their 200th branch by end 2011 (they had 131 at end 2009). But selection of locations in North and East would not be easy since infrastructure development projects are still to be completed and the people have barely begun returning to their homes. However, early movement into the region would provide them with the opportunity to establish a relationship with the community and begin retail banking activities. While retail banking would be slow to pick up and provide returns, a presence is nevertheless important to assist business ventures which have already started or are proposed to start in the region. However, expansion is more than simply setting up branches. Some analysts are of the opinion that with 22 licensed commercial banks and 14 licensed specialized banks, the Sri Lankan banking industry is too crowded and mergers would bring about improved efficiency and profits. However, with single shareholder ownership limits, acting in concert rules and anti-competitive laws in place, this seems highly unlikely at present. Furthermore, the Sampath Bank-HNB takeover incident in 2000 and the 2009 Commercial Bank ownership tussle indicate that directors of banks are loath to takeovers of any sort. This leaves the banks with the option of Market Development and Product Development. At present, none of the domestic private banks and foreign banks has a presence in the districts of Kilinochchi, Mannar and Mullaitivu while certain domestic private banks have only one or two branches in Trincomalee, Batticaloa and Vavuniya districts. However, Bank of Ceylon and Peoples Bank, the state-backed banks, have a considerable presence in the area connected to its online network. It is safe to say that they have already obtained the first mover advantage. Under these circumstances, a strategy for the private domestic banks would involve identification of a suitable location to set up the branch, identification of which products to sell and then a considerable amount of expenditure in promotions and marketing staff. The marketing arm would need to sell their existing products to a segment of the population who may already bank with their competitors the state banks. Thus pricing should be carried out carefully. Initially, basic instruments such as different savings accounts, current accounts, housing loans, leasing facilities and ATM networks would be sufficient. However, these banks would also have to meet the needs of the corporate clients who invest in the region. Thus the expansion strategy would have take into account the relevant banks level of involvement in the area before setting up a branch. Furthermore, risk evaluations have to be carried out to forecast the potential earnings in the long run since the branches would provide a positive return only in the medium-term period. While a physical presence in the area would cover one part of the strategy, the balance part would require adapting products to suit the needs of the corporate clients. Standard products would be difficult to sell considering the different environment of operations in the region. Meanwhile, risk management should be carried out effectively to ensure that non performing advances are kept to a minimum. Thus, the balancing of the opportunity for growth, the requirement to follow risk management procedures and the need expand operations while maintaining profitability is something the banks will have to carefully consider in the coming months. MARKETING IN THE INDUSTRY The above scenario would necessitate a change in the manner in which marketing professionals carry out their work. Hitherto, financial solutions were first created and then the task of attracting customers was given to the marketers. The Sri Lankan financial market still trades in basic savings and credit instruments and therefore the risk is low. Furthermore, most customers are aware of the various instruments. It was simply a matter of convincing the clients to make use of the variety of financial solutions. A change in the status quo could pose a problem to the marketing profession in the banking industry as it employs few pure marketers. In Sri Lanka, in order to be promoted, even marketers have to arm themselves with academic or professional qualifications in banking. Therefore, marketers in the industry would also have to gear themselves with knowledge on business, finance and statistics. Furthermore, in an environment where banks have to be a partner in most business ventures, marketers would now have to play a more pro-active role in the field of corporate banking. They will have to attract customers by analyzing the investment market, opportunities for growth and then lure existing business ventures to actively engage in business in the northern and eastern regions. Simply said, they have to be a step ahead of the investors and provide the enterprises with the opportunities to do business in, instead of businesses seeking opportunities and then approaching banks for finance. This would require considerable investments in knowledge management. Furthermore, marketing professionals, as individuals, would have to invest more time in keeping a tab on available business opportunities as well as conduct studies on various industries and segments in each industry which would stand to benefit from the opportunities in the North and East. They will also have to strengthen ne gotiation skills to be able to convince corporate clients to sign up with their bank. In both, retail banking and corporate banking, customer relationships are a vital component since, in a climate of growth, a loss of a client would also result in the loss of further business the customer would have bought in through positive word of mouth and turning towards the bank for financial solutions to unrelated problems. Hence, marketers will have to be more courteous in service and establish better bonds. This means that marketing professionals would have to ensure that customer relationship strategies are strengthened while carrying out operations. TIME TO GET THINGS STARTED FAST Private domestic banks would have to get things rolling fast if they are to grab a slice of the retail banking share in the North and East provinces. Adjustments need to be incorporated into strategic plans and implemented. Furthermore, risk management strategies have to be reviewed and strengthened while taking into account relationship risk, knowledge risk and operational risks when dealing with corporate clients. And for all this to succeed, the marketers would have to change their approach and get ahead of the game by updating themselves on the advances in each industry and developments in the Northern and Eastern provinces. 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