atomic bombings Essay Example For Students

atomic bombings Essay Why the United States dropped the Atomic Bomb: Persuasive EssayThe atomic bomb is the subject of much controversy. Since its first detonation in 1945, the entire world has heard the aftershocks of that blast. Issues concerning Nuclear Weapons sparked the Cold War. We also have the atomic bomb to thank for our relative peace in this time due to the fear of Mutually Assured Destruction (MAD). The effects of the atomic bomb might not have been the exact effects that the United States was looking for when they dropped Little Boy and Fat Man on Hiroshima and Nagasaki respectively (Grant, 1998). The original desire of the United States government when they dropped Little Boy and Fat Man on Hiroshima and Nagasaki was not, in fact, the one more commonly known: that the two nuclear devices dropped upon Hiroshima and Nagasaki were detonated with the intention of bringing an end to the war with Japan, but instead to intimidate the Soviet Union. The fact of Japans imminent defeat, the undeniable truth that relations with Russia were deteriorating, and competition for the division of Europe prove this without question. Admittedly, dropping the atomic bomb was a major factor in Japans decision to accept the terms laid out at the Potsdam agreement otherwise known as unconditional surrender. The fact must be pointed out, however, that Japan had already been virtually defeated. (McInnis, 1945) Though the public did not know this, the allies, in fact, did. Through spies, they had learned that both Japans foreign minister, Shigenori Togo and Emperor Hirohito both supported an end to the war (Grant, 1998). Even if they believed such reports to be false or inaccurate, the leaders of the United States also knew Japans situation to be hopeless. Their casualties in defending the doomed island of Okinawa were a staggering 110,000 and the naval blockade which the allies had enforced whittled trade down to almost nothing. Japan was quickly on the path to destruction. (Grant, 1998). Of course, the Allies ignored this for the reason that dropping the atomic bomb on the Japanese cities of Hiroshima and Nagasaki would intimidate Russia. Had they truly been considering saving more lives and bringing a quick end to the war in Japan, they would have simply waited them out without the major loss of life seen at both Hiroshima and Nagasaki. At the Yalta conference, Franklin Delano Roosevelt asked Josef Stalin for Russian support in the war with Japan. (Claypool, 1984) In return for Russian Support against Japan, Roosevelt agreed to terms that some historians feel helped create more tension between the two countries because it gave Russia too much power in world affairs. (Claypool, 1984, Pg. 53) At the time, Roosevelt was not confident that the United States could win the war easily without Russian support. He simply assumed that Japan would have to be invaded (Claypool, 1984). After Roosevelts death on April 12, 1945, Truman was sworn in as President of the United States (Claypool, 1984). As situations developed and progress on the atomic bomb continued to increase, Truman felt that a Russian invasion of Japanese territory might not be necessary. If the atomic bomb was effective, there was no need to have the Russians invade Manchuria. . . There was always the possibility that a Russian invasion might mean communist rule after the war. (Claypool, 1984, Pg. 78) It was quite apparent, in fact, to many world leaders that the United States did not want Russian intervention once work on the atomic bomb had been completed. In fact, Prime Minister Winston Churchill has been quoted writing: It is quite clear that the United States do not at the present time desire Russian participation in the war against Japan. .ud8ae6ec6003478338ea7282d0161bc0a , .ud8ae6ec6003478338ea7282d0161bc0a .postImageUrl , .ud8ae6ec6003478338ea7282d0161bc0a .centered-text-area { min-height: 80px; position: relative; } .ud8ae6ec6003478338ea7282d0161bc0a , .ud8ae6ec6003478338ea7282d0161bc0a:hover , .ud8ae6ec6003478338ea7282d0161bc0a:visited , .ud8ae6ec6003478338ea7282d0161bc0a:active { border:0!important; } .ud8ae6ec6003478338ea7282d0161bc0a .clearfix:after { content: ""; display: table; clear: both; } .ud8ae6ec6003478338ea7282d0161bc0a { display: block; transition: background-color 250ms; webkit-transition: background-color 250ms; width: 100%; opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #95A5A6; } .ud8ae6ec6003478338ea7282d0161bc0a:active , .ud8ae6ec6003478338ea7282d0161bc0a:hover { opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #2C3E50; } .ud8ae6ec6003478338ea7282d0161bc0a .centered-text-area { width: 100%; position: relative ; } .ud8ae6ec6003478338ea7282d0161bc0a .ctaText { border-bottom: 0 solid #fff; color: #2980B9; font-size: 16px; font-weight: bold; margin: 0; padding: 0; text-decoration: underline; } .ud8ae6ec6003478338ea7282d0161bc0a .postTitle { color: #FFFFFF; font-size: 16px; font-weight: 600; margin: 0; padding: 0; width: 100%; } .ud8ae6ec6003478338ea7282d0161bc0a .ctaButton { background-color: #7F8C8D!important; color: #2980B9; border: none; border-radius: 3px; box-shadow: none; font-size: 14px; font-weight: bold; line-height: 26px; moz-border-radius: 3px; text-align: center; text-decoration: none; text-shadow: none; width: 80px; min-height: 80px; background: url(https://artscolumbia.org/wp-content/plugins/intelly-related-posts/assets/images/simple-arrow.png)no-repeat; position: absolute; right: 0; top: 0; } .ud8ae6ec6003478338ea7282d0161bc0a:hover .ctaButton { background-color: #34495E!important; } .ud8ae6ec6003478338ea7282d0161bc0a .centered-text { display: table; height: 80px; padding-left : 18px; top: 0; } .ud8ae6ec6003478338ea7282d0161bc0a .ud8ae6ec6003478338ea7282d0161bc0a-content { display: table-cell; margin: 0; padding: 0; padding-right: 108px; position: relative; vertical-align: middle; width: 100%; } .ud8ae6ec6003478338ea7282d0161bc0a:after { content: ""; display: block; clear: both; } READ: My paper Essay (Claypool, 1984, Pg. 78) As World War II came to a closure, two new superpowers emerged: the United States and the Soviet Union. The United States obviously felt that if they could prove to the world that they had superior weaponry, that it would be held in the highest regard by all nations of the world. Hiroshima and Nagasaki gave them the power to do just that. It is apparent that because of the troubled relations with Russia, and the

Third World Immigration free essay sample

My parents came from the third world country of Haiti and have made the best of their opportunity here in this country. My father is a police officer and he protects the streets even though he is not exactly from these streets. When he goes to work his job is to protect and serve. He is working as a police officer because this country gave him the opportunity to go to school, graduate from an institution, allow him to find a job and provide for his family. My mom is a lab technician and she is in school to become a nurse because she has the opportunity to. My parents tell me all the time to make the most of this opportunity I have by being born in this country. Being a born citizen of this country I did not have to apply for residency, green card or any of that stuff. We will write a custom essay sample on Third World Immigration or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page When immigrants come to America they do not come to be on vacation they come to better themselves. They impact the country for the better because they vote, pay taxes, and add to the idea of being an American. There are people from these third world countries that are politicians, teachers, mayors, and even celebrities. The people from these countries have to struggle sometimes when they first arrive in this country they take on jobs people usually turn down because they fill it is beneath them. So sometimes they have to take s jobs at a low pay rate is bad they do jobs regular Americans will not do. If it was not for that companies would just export more jobs out of the United States but immigrants taking them helps out. When immigrants bring customs from their native country it just adds on to the appeal and diversity in America. We celebrate Spanish Heritage month, Cinco de Mayo, Haitian Flag Day, St. Patrick day etc. n America even people with no ties to these holidays partake in these celebrations. America is truly a melting pot for different cultures. Immigrants have helped since the birth of this nation. From the pilgrims who were the first immigrants, slaves from Africa who helped the southern part of the U. S. to flourish agriculturally, to the Asians that helped build railroads to bridge t he east and west coast of this country. We should not think that immigrants are a threat to America’s way of life. They are people too just trying to make it in this country like everybody else they just had to travel from a foreign nation to do it.

How Hip Hop Music Has Influenced this Generation of Youth

How Hip Hop Music Has Influenced this Generation of Youth Introduction Hip hop is a genre of music that has its origin in South Bronx in New York among the urban communities. It started as block parties where people with incredibly loud and sophisticated music systems would throw parties in the neighborhood to share with their friends and compete among themselves (Parker, 2009, p.1).Advertising We will write a custom research paper sample on How Hip Hop Music Has Influenced this Generation of Youth specifically for you for only $16.05 $11/page Learn More The music involves high speed raping, break dancing among other vigorous activities and movements. It is today crowned the fastest growing music genre worldwide. Hip hop music has had a major influence on the lives of many youths in the society today. This music genre has both positive and negative effects to the youths and the general public as a whole. Impacts of Hip hop on Youths Hip hop is well known for its vulgar language in its lyrics. The words used have ma y have a different perspective from the real meaning as the singer or artiste uses a word to bring out a different meaning. For instance, many hip hop singers use the word â€Å"bitch† to mean a woman whereas we all know that the word is abusive. The youths then take the vulgarly terms and use them as the artistes do. According to them they think it is fun but to the public it is seen as moral degradation. Hip hop music is also said to perpetuate the rise in criminal activities among the youth. Taking a look at a hip hop music clip you will bear me evidence that there are violent scenes involved. Such scenes range from robberies, demonstration on fights. When the youth watch let us say a scene involving bank robbery their minds are tempted to use the tactics involved in the music and put it into reality. This has lured so many youth into criminal life where they plan and implement their activities in reference to the crime in the hip hop music (Parker, 2009, p.1). Taking a lo ok at most convicted youth criminals you will discover that larger percentages are diehard fans of this genre of music. Not only are the lovers of hip hop music but also the artistes themselves some have criminal record. Not forgetting looking at statistics it is evident that in many night clubs where hip hop is played they are areas prone to violence.Advertising Looking for research paper on art and design? Let's see if we can help you! Get your first paper with 15% OFF Learn More Majority of hip hop artistes have a similar dress code among them that is considered indecent by the society (Murray, 2003, p.1). For example you may see male artistes performing bear chest with trousers worn way down below the waist. The following day it is quite obvious that you will see a youth exactly dresses as the artiste or even worse than the role model. This trend has led to many youth having an unspeakably dress code that is morally unfit for the society. In trying to emu late the artistes dressing and behavior the youth find themselves going against the society’s code of conduct. However, the music helped create political awareness among the youth. Most hip hop songs major on issues such as racism, gender, elections and so on. In these instances the youth with a passion for hip hop get to hear about matters of politics and learn of their impact to the society (Reese, 2000. P.1). for example in Obama’s bid for presidency in the USA several songs were sung in his favor to promote his political ambition. Hip hop also helps to keep the youth updated about the countries past history. The artistes use matters of older generations to pass it on to the current youth thereby acquainting them with relevant history. Conclusion Having looked at the positive and negative effects it is evident that negative effects outweigh the positive impacts. It is therefore recommendable for the youth to shun away from the vice brought about by hip hop music. Th e hip hop artistes also have a role of ensuring that their songs have a positive impact to the society rather than a negative one. Reference List Murray, M. (2003). How Does Hip-Hop Culture Effect Urban Youth in Healthy Decision Making? Web.Advertising We will write a custom research paper sample on How Hip Hop Music Has Influenced this Generation of Youth specifically for you for only $16.05 $11/page Learn More Parker, M. (2009). The Effect of Hip Hop Music on Teens. Web. Reese, R. (2000). The Hip Hop culture and ethnic relations. Web.

Malcolm X in Mecca and His Conversion to True Islam

Malcolm X in Mecca and His Conversion to True Islam On April 13, 1964, Malcolm X left the United States on a personal and spiritual journey through the Middle East and West Africa. By the time he returned on May 21, he’d visited Egypt, Lebanon, Saudi Arabia, Nigeria, Ghana, Morocco, and Algeria. In Saudi Arabia, he’d experienced what amounted to his second life-changing epiphany as he accomplished the Hajj, or pilgrimage to Mecca, and discovered an authentic Islam of universal respect and brotherhood. The experience changed Malcolm’s worldview. Gone was the belief in whites as exclusively evil. Gone was the call for black separatism. His voyage to Mecca helped him discover the atoning power of Islam as a means to unity as well as self-respect: â€Å"In my thirty-nine years on this earth,† he would write in his autobiography, â€Å"the Holy City of Mecca had been the first time I had ever stood before the Creator of All and felt like a complete human being.† It had been a long journey in a brief life. Before Mecca: The Nation of Islam Malcolm’s first epiphany occurred 12 years earlier when he converted to Islam while serving an eight-to-10-year prison sentence for robbery. But back then it was Islam according to Elijah Muhammad’s Nation of Islam- an odd cult whose principles of racial hatred and separatism, and whose strange beliefs about whites being a genetically engineered race of â€Å"devils,† stood it in contrast with Islam’s more orthodox teachings. Malcolm X bought in and rapidly rose in the ranks of the organization, which was more like a neighborhood guild, albeit a disciplined and enthusiastic one, than a â€Å"nation† when Malcolm arrived. Malcolm’s charisma and eventual celebrity built the Nation of Islam into the mass movement and political force it became in the early 1960s. Disillusion and Independence The Nation of Islam’s Elijah Muhammad turned out to be much less than the upstanding moral paragon he pretended to be. He was a hypocritical, serial womanizer who fathered numerous children out of wedlock with his secretaries, a jealous man who resented Malcolm’s stardom, and a violent man who never hesitated to silence or intimidate his critics (through thuggish emissaries). His knowledge of Islam was also relatively slight. â€Å"Imagine, being a Muslim minister, a leader in Elijah Muhammad’s Nation of Islam,† Malcolm wrote, â€Å"and not knowing the prayer ritual.† Elijah Muhammad had never taught it. It took Malcolm’s disillusionment with Muhammad and the Nation finally to break away from the organization and set out on his own, literally and metaphorically, to the authentic heart of Islam. Rediscovering Brotherhood and Equality First in Cairo, the Egyptian capital, then in Jeddah, the Saudi city, Malcolm witnessed what he claims he never saw in the United States: men of all color and nationalities treating each other equally. â€Å"Throngs of people, obviously Muslims from everywhere, bound for the pilgrimage,† he’d begun to notice at the airport terminal before boarding the plane for Cairo in Frankfurt, â€Å"were hugging and embracing. They were of all complexions, the whole atmosphere was of warmth and friendliness. The feeling hit me that there really wasn’t any color problem here. The effect was as though I had just stepped out of a prison.† To enter the state of ihram required of all pilgrims heading for Mecca, Malcolm abandoned his trademark black suit and dark tie for the two-piece white garment pilgrims must drape over their upper and lower bodies. â€Å"Every one of the thousands at the airport, about to leave for Jedda, was dressed this way,† Malcolm wrote. â₠¬Å"You could be a king or a peasant and no one would know.† That, of course, is the point of ihram. As Islam interprets it, it reflects the equality of man before God. Preaching in Saudi Arabia In Saudi Arabia, Malcolm’s journey was held up a few days until authorities could be sure his papers, and his religion, were in order (no non-Muslim is allowed to enter the Grand Mosque in Mecca). As he waited, he learned various Muslim rituals and spoke to men of vastly different backgrounds, most of whom were as star struck with Malcolm as Americans were back home. They knew Malcolm X as the â€Å"Muslim from America.† They plied him with questions; he obliged them with sermons for answers. In everything he said to them, â€Å"they were aware,† in Malcolm’s words, â€Å"of the yardstick that I was using to measure everything- that to me the earth’s most explosive and pernicious evil is racism, the inability of God’s creatures to live as One, especially in the Western world.† Malcolm in Mecca Finally, the actual pilgrimage: â€Å"My vocabulary cannot describe the new mosque [in Mecca] that was being built around the Ka’aba,† he wrote, describing the sacred site as â€Å"a huge black stone house in the middle of the Grand Mosque. It was being circumambulated by thousands upon thousands of praying pilgrims, both sexes, and every size, shape, color, and race in the world. [†¦] My feeling here in the House of God was numbness. My mutawwif (religious guide) led me in the crowd of praying, chanting pilgrims, moving seven times around the Ka’aba. Some were bent and wizened with age; it was a sight that stamped itself on the brain. It was that sight that inspired his famous â€Å"Letters from Abroad†- three letters, one from Saudi Arabia, one from Nigeria and one from Ghana- that began redefining Malcolm X’s philosophy. â€Å"America,† he wrote from Saudi Arabia on April 20, 1964, â€Å"needs to understand Islam, because this is the one religion that erases the race problem from its society.† He would later concede that â€Å"the white man is not inherently evil, but America’s racist society influences him to act evilly. A Work in Progress, Cut Down It’s easy to overly romanticize Malcolm’s last period of his life, to misinterpret it as gentler, more amenable to white tastes then (and to some extent still now) so hostile to Malcolm. In reality, he returned to the United States as fiery as ever. His philosophy was taking a new direction. But his critique of liberalism went on unabated. He was willing to take the help of â€Å"sincere whites,† but he was under no illusion that the solution for black Americans would not begin with whites. It would begin and end with blacks. In that regard, whites were better off busying themselves with confronting their own pathological racism. â€Å"Let sincere whites go and teach non-violence to white people,† he said. Malcolm never had the chance to evolve his new philosophy fully. â€Å"I never have felt that I would live to be an old man,† he told Alex Haley, his biographer. On Feb. 21, 1965, at the Audubon Ballroom in Harlem, he was shot by three men as he was preparing to speak to an audience of several hundred. Source X, Malcolm. The Autobiography of Malcolm X: As Told to Alex Haley. Alex Haley, Attallah Shabazz, Paperback, Reissue edition, Ballantine Books, November 1992.

Human Resource Management Case Assignment Essay

Human Resource Management Case Assignment - Essay Example This is based on the fact that the organization is acknowledging their superior contributions or services. The rewards are aimed at motivating them towards sustaining or even improving their superior performances. ii. Employees with average performances get substantially smaller rewards or bonuses. This is aimed at encouraging them to improve their efforts by working harder so as to achieve greater rewards in the succeeding periods. iii. Employees with poor performances do not receive any increase in pay or bonus. This is to indicate that they need to improve their performance or seek alternative positions by leaving the organizations. Pay for performance strategy has been noted as one of the best motivating strategies for organizations that seek to enhance their overall performance. However, experts warn that organizations should support such a strategy using other alternative options because money is not the ultimate motivating factor. For instance, organizations are advised to als o include promotions, improvements in working environments or even involve employees in making decisions in addition to the pay for performance system (Chen & Hsieh, 2006). This will ensure that an organization addresses all the factors that motivate employees. Alternative Payment Approaches to Pay for Performance Lockstep pay The most common payment approach among legal firms is the lockstep pay. The payment approach involves an organization using the length of time on the job when determining the ultimate level of compensation for its employees. As noted earlier on, the payment system is common among law firms where lawyers are paid based on the amount of billable hours spent serving clients. Research studies indicate that lawyers earn their income as if they were independent contractors. What this means is that their level of payment varies depending on the amount of revenue generated from the clients that they have served at person levels. However, the lock step payment system i nvolves attorneys with the same level of seniority receive the same level of income. The level of income is entirely determined by the overall performance of the organization. There are exceptions to the system whereby the organization may make adjustments as an exception rather than a rule. Total Reward Compensation The total rewards system of compensation involves more than just the basic pay and benefits. It involves the entire remuneration system that consists of all the direct and indirect payment packages (Reynolds, 2005). The system incorporates pay with all the necessary factors that motivate and are valued by employees. The system also offers numerous approaches to reward other than pay and benefits. It does not rely on a single method of rewarding employees. The system closely resembles the pay for performance system in the sense that the total reward system is based on the level of competency and performance of staff. Reward is solely based on merit rather than experience or job position (Berger & Berger, 2008). The higher the performance the higher the reward and low performance is highly condemned. However, total reward is different from pay for performance because it incorporates all the elements of employee motivation rather than monetary rewards. In fact, research studies on employee motivation indicate that the system motivates and influences the behavior of workers to a larger extent than the pay for perfo

Reporting Requirements Memo Essay Example | Topics and Well Written Essays - 1250 words

Reporting Requirements Memo - Essay Example The memo ends with the comparison of the accounting reporting practices of the two entities. Reporting requirements for private sector, not-for-profit organizations under Financial Accounting Standard Board guidance The Financial Accounting Standard Board has specific accounting reporting requirements for all types and kinds of health care organizations. This also includes the private sector not for profit nursing homes. The Financial Accounting Standard Board have issued several standards especially for private not for profit nursing homes. Few of the standards that have been introduced are â€Å"Accounting for Contributions Received and Contributions Made,† â€Å"Financial Statements of Not-for-Profit Organizations† and â€Å"Accounting for Certain Investments Held by Not-for-Profit Organizations†. The American Institute of Certified Public Accountants’ (AICPA’s) accounting and audit guide for Health Care Organizations have made these statements m andatory. Both AICPA and FASB promote the accrual method of accounting. An accrual method accounting gives a complete, accurate and meaningful report about the financial condition of the organization. The accounting period should span for one year. A private sector not for profit nursing home’s financial statements should have a balance sheet, a statement of operations, cash flow statements and statements showing changes in net asset. If the not for profit organization decides to invest in financial assets the transactions that involves financial instruments have to be recognized on the settlement date. Any transactions that involve a third party have to be measured at fair value. For investments in debt securities, the securities that are not held up to the maturity period are recorded at fair value with subsequent changes in net assets and net income. The organization can invest in debt bonds at amortized rate without any restriction. The debt security should be measured at fair value and any changes in net income should be recorded. The principles for investment in equities are that the shares that are quoted in the active market should be recorded at the fair price and the resulting change in the net assets should also be recorded. Unquoted equities can be measured at the actual market price (Carmichael & Rosenfield, 2003). Investments in mutual funds will also be considered as equity investments. Derivatives that involve hedging characteristics should be measured at fair price. A private nonprofit organization should be very careful in selecting the methods it wants to use to measure its investments so that its relationships with its benefactors are not compromised. It should successfully incorporate the unrealized losses and gains in its financial statements. Transaction costs that arise due to purchasing of financial instruments should be capitalized and will be measured at the amortized cost. At the end of each accounting period the organization has to check for assets that are impaired. If there is any such asset its carrying amount should be reduced to the highest of the amount the organization expects to generate by selling the asset or the present value of the expected future cash flow of the financial instrument. Accounts receivable will be treated in the same way as debt securities. But receivables that are not due for a minimum of one year and are without market rates

Sales and Distribution Essay Example for Free

Sales and Distribution Essay Company Snapshot CEAT Limited RPG Tyre Industry Automobiles Born tough; Take it on Products are known for durability and superior quality Parent Company Category Sector Tagline/ Slogan USP Manufacturing units 4 Location of manufacturing units 3 in India- Bhandup, Halol, Nashik and 1 in Srilanka Total capacity 940,000 Tyres per month Distribution Coverage 186 Districts Clearing and Forward Agents 112 Dealership over 3500 Company owned showrooms 70(in 2012 to be increased to 200 by 2013) Total sales(in Rupees) INR 4492. 03 Crores (in 2012) Increase in sales y-o-y 27.35% (2011 to 2012) Business Markets segmentation (B2B, B2C, B2G): B2B B2G B2C Heavy-duty Trucks and Buses Cars Light Commercial Vehicles SUVs Earthmovers Forklifts Tractors Trailers Motorcycles and Scooters Auto-rickshaws IBS Hyderabad Page 3 Quotes to Quote â€Å"Quality for us is more than state-of-the-art, we would say its state-of-the-mind. When you think right, you always deliver right. † -CEAT. in Website â€Å"For the man who counts signals to reach home safely. For the woman who drops her child to school. For the vendor who has to reach the market in time. For the young rider who wants to race the wind we make quality our responsibility. And we take our responsibility seriously. † -CEAT. in Website â€Å"We believe that our brand must help our consumers in doing their businesses better or helping them in leading a better, safer life. † -Vinod Kumar, GM, Marketing, CEAT Ltd â€Å"We dont believe in flashing numbers, we let quality do our talking. And it is with reason that CEAT marks the highest exports from India in truck, OTR and LCV categories. † -CEAT, Network, Citation date- 16th Jan 2013, http://www. ceat.in/newsite/worldwide/network. asp IBS Hyderabad Page 4 II. Economies and Industry Overview i. Economy- Overview The recent financial year (2011-12) was challenged much by the critical waves from different geographies and has hit the world businesses at a large scale. The Europe sovereign debt crisis and its skepticism on its potential to become a global meltdown pushed the investor confidence again after the 2 008 crisis. Inspite of the government? s reforms and third party? s (UNO, World Bank, etc) assistance the economies are still fragile and recovering at a much slower phase. With US and other developed nations recover slow, developing nations has become the sweet spot for many. India sustained its growth estimates very close to that of the RBI estimates to 6. 9% in 2011-12 (CSO estimates). Still India has mounting challenges in infrastructure, inflation, fluctuations in the value of rupee, political instability etc. In reference to it the road map of 12th 5 year plans (2013-17) brings optimism, which expects the growth to 7. 4 to 7. 6% in 2013 (FY) and 8. 6 per cent in 2014 (FY) with some major policy reforms (FDI, taxation, etc) taken into account. Tyre Industry- Overview The demand for tyres globally by 2015 is expected to be in the value of 3. 3 billion units (USD 220 bn) with a 4. 7% annual growth in units. The APAC region (Asia Pacific) is the largest market for tyres and signals strong demand in the future. The increase in income of the developing countries would be supported with the demand for automobiles thus would ultimately create a demand for tyres (World Tyre Report). India has the organized tyre maket (apart from bicycle tyre industry) and is dominated by cross ply tyres. Major contributor to the industry is the Commercial Vehicle (CV) tyres followed by Passenger Vehicle (PV) tyres. Remaining share is taken over by the 2 and 3 wheelers, tractors, construction equipment and Off-The-Road (OTR) tyres. The size of the Indian tyre industry in 2011-12 was around Rs. 389 billion, and is estimated to reach Rs. 443 billion in 2012-13, with 14 per cent growth. One important segment of tyre industry, i. e OEMs (Automobile Manufacturers) are bound to grow in the future but frequent hikes in interest rates, rise in fuel prices, high inflation. Reviving the India Growth Story, Union Budget 2012 by PricewaterhouseCoopers IBS Hyderabad Page 5 etc slows down the growth of automobile sector. The sector that grew 30% in 2010-11 grew only to 2% in 2011-12. 2 (See table Categorywise Tyre Production Exports in India for FY 2010-11 and 2011-12 to have full picture of Indian tyre production and exports) The Indian tyre industry- Snapshot Total turnover Tyre Production (Tonnage) Total Tyre Production in all categories Number of companies Companies contribution Rs.389 billion Rs. 14. 88 lacs MT 1,192 lacs 39 Top 10 companies account for over 95 per cent of the total production Source: Automotive Tyre Manufacturers Association (ATMA) There three broad areas through which Indian Tyre Industry creates demands (% contribution by each segment in 2011-12 are given below), The 2011-12 growth of tyre industry is completely attributed to the increased export contribution and particularly from the bus and truck segment. Different Segments % Con tribution to Indian Tyre Industry in 2011-12 Replacement Market 26 63 OEMs Exports a. Replacement market- The nature of the replacement market is the margin creator. This is the important spot through which the manufacturers has an upper hand (relative to other segments) and hence it dominates the Indian tyre industry. With the increase in number of driving licenses registered, with increasing self driving habits in India, whereby the tyre gets depreciated soon, there is a large scope for the replacement market? s growth. b. Original Equipment Manufacturers (OEM)- The OEM segment has dominance over the tyre manufacturers due to the competition and uniformity in quality; hence it has thin margins but plays with high volumes. In this segment the tyre manufacturers reputation, 2 The Economic Times, January 2012 IBS Hyderabad Page 6 capacity to supply large orders, working together, quick delivery with customization and price plays dominant role in securing and retaining an OEM. Due to uncertain global conditions and job market it is expected to grow modestly at a rate of 11-13% in 2012-13.