9 Types of Marine Ecosystems

Aristotle The Pursuit of Happiness - 1358 Words

Aristotle and Plato both are both well known for their focus on defining the purpose of being human. To them, humans have a particular characteristic that no other living thing possesses. That characteristic is that humans strive to achieve a level of goodness. Although they agree with each other that there is a highest good one must achieve in order to live a fulfilling life, they have different ideas on what that good is. On Aristotle’s search to find the highest good of a human being, he first asked what the ergon, or task, of being human is. His main focus was mostly on what the purpose or goal of human existence should be. Aristotle said that everyone is trying to reach happiness, whether it is by having money, love, or being†¦show more content†¦Not only did he find that humans are the only living organism with a rational soul, he also discovered that we were the only ones to obtain all of the other parts of the soul; â€Å"the nutritive soul which is in control of growth and development, the locomotive soul for motion, and the perceptive soul for perception.† Aristotle found that the good of being human is achieved by using reason well. He said that â€Å"what gives us the potential to live a better life is our ability to guide ourselves by using reason† (Shields). Having defined this concept of reasoning, Aristotle continued on his search for happiness. If we live w ell by using reason, then consistently doing activities that require reason is what makes us happy. According to W.D. Ross, who translated and interpreted Aristotle’s work, Aristotle claimed that everything we do, we do for a reason. For example, we go to school to get an education and we get an education to get a job. We get a job to get money, and so on. So, what Aristotle meant when he said our happiness is determined by how well we have lived to be our best being is that everything we end up doing after an achievement lets us reach a new level of happiness. Therefore, the highest good, the highest happiness, is the activity that we reach at the end of our lives. It is the â€Å"lifelong activities that activate theShow MoreRelatedThe Pursuit Of Happiness By Aristotle1156 Words   |  5 Pages The pursuit of happiness is the reason for our existence (Aristotle, 2004) The Greek word that usually gets translated as happiness is eudaimonia, and like most translations from ancient languages, there is a loss of deeper meaning in translation. According to Aristotle happiness (eudaimonia) is the central purpose of human life and a goal in itself (Aristotle, 2004) (Creed, Wardman 1963). Because of this ideology, Aristotle devoted much of his time discussing and explaining this philosophy (HughesRead MoreThe Pursuit Of Happiness By Aristotle2455 Words   |  10 PagesThe Pursuit of Happiness Some say that part of the human condition is the pursuit of happiness, but what is happiness? Is it having the best house and cars on the block? Is it he who has the most friends? To some, happiness is the highest level of success. In four pieces of work that we will be comparing, the protagonists are at odds with life. They are looking for something more that will help them find happiness. Happiness is not determined by what is happening around you, but rather what is happeningRead More The Pursuit of Happiness and the Union of Aristotle and Genesis2829 Words   |  12 PagesThe Pursuit of Happiness and the Union of Aristotle and Genesis Two major schools of thought broadly influenced the development of the moral code of Western Civilization. The Judeo-Christian tradition gave us faith and God through the text of the Bible. The ancient Greeks gave us philosophical inquiry and the Good through the teachings of Socrates, Plato, and Aristotle. In his Nichomachean Ethics, Aristotle proposes that the Good is the highest end of man’s actions. Happiness is theRead MoreAristotle s Views On Happiness1509 Words   |  7 PagesThis paper will focus on Aristotle’s claim that happiness is an activity and not just a momentary pleasure. Skeptics claim happiness is a state of mind and Aristotle is wrong to claim that happiness is an ongoing pursuit a person must actively strive for during one’s life. This paper argues that Aristotle is correct when he states that happiness is an activity, the central purpose of human life and a goal in itself that individuals strive for throughout the entirety of their lifet ime and ultimatelyRead MoreNicomachean Ethics: Leading a Virtuous Life880 Words   |  3 Pagesbeginning of their evolution, human beings have been searching for the meaning of happiness. While many may see this to be an inconsequential question, others have devoted entire lives to the search for happiness. One such person who devoted a great deal of thought to the question of mans happiness was the famous ancient Greek philosopher, Aristotle. In his book The Nicomachean Ethics, Aristotle discussed the meaning of happiness and what it meant to live a good life. He asserted that the devise which hasRead MoreThe Well Being Aristotle And Human Happiness1000 Words   |  4 PagesOur Well-Being: Aristotle and Human Happiness What is the purpose of a human being? â€Å"Happiness is the meaning and the purpose of life, the whole aim and end of human existence† (Nicomachean Ethics). When one thinks about happiness, these words said by Aristotle allow us to understand its significance. Through Aristotle’s teachings, he made it clear that the point of life is to be happy. Aristotle uses the word happiness as having to do with a person’s life as a whole, and not as the constant desireRead MoreAristotle s Morality Of Self Realisation862 Words   |  4 Pages Sean Blodgett PHI 101 Dr. Limnatis May. 1, 2016 ARISTOTLE: THE MORALITY OF SELF-REALISATION Nicomachean Ethics by Aristotle, helps to express the meaning behind ethics as well as to create a better society. Aristotle discusses the connection between morality and its connection to happiness, as well as being a fundamental root in human nature. To Aristotle, a man who faces a life of crime misunderstands what it is to follow moral standards. But also he is a man who â€Å" was unfortunate to haveRead MoreHappiness Is an Activity Essay1287 Words   |  6 PagesIn this paper I will discuss Aristotle’s claim that happiness is a kind of activity and not a momentary pleasure. Some people might worry that Aristotle is wrong in making this claim by presuming that happiness is a state of mind rather than a constant pursuit in which a person must actively strive for throughout the entirety of ones life. I will argue that Aristotle is correct when he declares that happiness is a kind of activity that we strive for and ultimately attain throughout the entirety ofRead MoreWhy Sh ould I Be Moral?1394 Words   |  6 Pageswould be because you are. Happiness could also be included in the list of moral reasons. I personally feel that this is the best supported reason for being moral. Although there will be times when the moral decision will not be pleasurable, it will eventually lead to happiness. Morality is important for society as a whole, as it makes life livable. Now expanding on the happiness theory, I will discuss the ideas of Aristotle. Aristotle believed that happiness is the quality of whole humanRead MoreEthical Egoism, Ethical Altruism, And Eudaimonia1660 Words   |  7 Pagesfrom the gods. With time there was the dropping of the religious association of the word, and there was association of eudaimonia with having success, happiness and flourishing in life. Having unearthed the definitions of the terms, the discussion shall determine the differences between ethical altruism and ethical egoism, and how the aspects of Aristotle can aid the achievement of eudaimonia. As observed above, altruism puts the concerns of the other person at the forefront. Post, Underwood Schloss

The Securities Market in Vietnam Free Essays

string(81) " the case of shares and bonds\) and the legal representative of the underwriter\." The Securities Market in Vietnam – 14 March 2007 This article is an introduction to the legal framework that governs the securities market in Vietnam, in particular public offers, listing, public companies and buying shares. This article focuses on the provision of Law 70-2006QH11 of the National Assembly on Securities (Law 70) and Decree 14-2007-ND-CP of the Government dated 19 January 2007 Providing Detailed Regulations for Implementation of a Number of Articles of the Law on Securities (Decree 14) . The MOF is to shortly issue a regulation to further provide guidance to the SSC on regulating and establishing investment funds, securities companies and fund management companies. We will write a custom essay sample on The Securities Market in Vietnam or any similar topic only for you Order Now An update will be provided once the regulation has been promulgated. 1. 1. 1 Relevant bodies The State Securities Commission (SSC) The SSC is the official regulator of the stock exchange, and is overseen by the Ministry of Finance (MOF). The HCMC Securities Trading Centre (HCMCSTC) The HCMCSTC is an administrative unit of the SSC. It is a securities trading and listing market and offers and official mechanism through which new government bonds are issued and is the secondary markets for several existing bonds. Currently, the HCMCSTC is an administrative unit under the SSC. Under Law 70 it is to covert to either a Stock Exchange or a Securities Trading Centre in the form of a limited liability company or a shareholding company by July 2008. It is expected that the HCMCSTC will be converted into a Stock Exchange. 1. 2 1. 3 The Hanoi Securities Trading Centre (HASTC) The HASTC is an administrative unit of the SSC. It is a securities trading and listing market and offers and is also Vietnam’s official over-the-counter market for securities. Under Law 70 it is to covert to either a Stock Exchange or a Securities Trading Centre in the form of a limited liability company or a shareholding company by July 2008. It is expected that the HASTC will be converted into a Securities Trading Centre. 2. Public offer (PO) In Vietnam the processes of a public offer (PO) and listing are different, although companies may do the two simultaneously. A PO is an offer to sell shares, bonds or fund certificates via the mass media, or to at least 100 investors excluding institutional investors or to an unspecified number of investors. 2. 1 Participants (a) The issuer or issuing organization. This is the enterprise making the PO. The securities may be listed or unlisted. Underwriters. Securities in a PO may be distributed by underwriters. Underwriters must be securities companies authorized to underwrite issues of securities or a commercial banks approved by the SSC to underwrite issues of bonds, on conditions regulated by the MOF. The role of the underwriter is to assist the issuer to complete procedures prior to the PO, to purchase the securities for resale or the unsold portion of the securities from the issuer, and to assist the issuer to distribute the securities to the public. Custodian banks. These are commercial banks that are either domestic or foreign invested (that is, not an offshore licensed bank) and are licensed to carry out securities depository activities including the keeping and maintaining of securities.  © Allens Arthur Robinson – Vietnam Laws (b) (c) (d) Investors. Investors who wish to purchase securities may be Vietnamese or foreign investors but foreign investor must first apply for a securities trading code. Foreign investment is also subject to limitations (discussed below). 2. 2 Currency and par value Securities offered by a PO must be denominated in Vietnamese dong. The par value for shares and fund certificates is VND10,000 and the minimum par value for bonds is VND100,000 . Conditions for a PO (a) Shares. An issuer of shares must be a shareholding company with paid-up capital of at least VND10 billion at the time of registration of the PO, must have made a profit in the year prior to the PO and must not have accumulated losses as at the year of registration of the offer. The general meeting of shareholders1 of the issuer must pass an issue plan and plan for utilization of the proceeds earned. 2. 3 Under Decree 14 other specific conditions apply to newly established enterprises conducting an initial public offer if the enterprise is in the infrastructure or high-tech sectors. These conditions include the obligation for there to be an underwriter, and the obligation for there to be a bank supervising utilization of the proceeds earned from the offer. (b) Bonds. An issuer of bonds must have paid-up capital of at least VND10 billion at the time of registration of the PO, must have made a profit in the year prior to the PO, must not have accumulated losses as at the year of registration of the offer and must not have more than 100 overdue debts payable. The board of management or members’ council of the issuer (as applicable) must pass an issue plan and plan for utilization and repayment of the proceeds earned. The issuer of bonds must also give an undertaking to investors to discharge it obligations. In the case of convertible bonds the issue plan and plan for utilization proceeds must also have a plan for issuance of the shares for conversion and all plans must be passed by the general meeting of shareholders (not the board of management). (c) Fund Certificates. Issued fund certificates must have total value of at least VND50 billion. There must also be an issue plan and a plan for investment of the capital funds earned. 2. 4 Prospectus Issuers of a PO must prepare a prospectus. The main contents for a prospectus are prescribed in Law 70 and the MOF has been delegated the task of creating a sample form prospectus. Among other things, the prospectus must include the financial statements of the issuer for the 2 years prior to the issue of the PO. The prospectus must be signed by the chairman of the board of management, the general director, the financial director/accountant (only in the case of shares and bonds) and the legal representative of the underwriter. You read "The Securities Market in Vietnam" in category "Essay examples" . 5 Registration The issuer must register the PO with the SSC. To register, the issuer must submit a request for registration and attach those documents that are required by Law 70 (and which will be given more detail in specific regulations of the MOF). The documents required include the prospectus, the charter (or in the case of a PO of fund certificates, the proposed charter o f the securities investment fund) and relevant resolutions and undertakings by the issuer. In the case of a PO for fund certificates the 1 In the case of a enterprise with foreign owned capital that is converting to a shareholding company in combination with making a public offer of shares, Decree 14 clarifies that the issue plan and plan for utilization is passed by the owner of the enterprise with 100% foreign owned capital and the board of management of a joint venture enterprise. 2  © Allens Arthur Robinson – Vietnam Laws contract for supervision between the custodian bank and the securities investment fund must also be submitted. The SSC has 30 days from receipt of the registration statement to certify registration. . 6 Announcement Within 7 days from certification of registration the issuer must make a public announcement in 3 consecutive newspaper issues. The announcement must stipulate the time in which investors have to register to purchase the securities. The time limit can be set by the issuer but must be a minimum of 20 days. Registration to purchase and payment of monies When an investor registers to purchase the securities it must pay the purchase price into an escrow bank account and this money will remain in escrow until completion of the PO. Allocation and delivery The issuer must allocate the securities within 90 days from the SSC’s certificate of acceptance, and physically deliver the securities to investors within 30 days from the date the offer ends. 2. 7 2. 8 3. Listing Listing is the process of taking a privately-owned organisation including an equitized or equitizing State owned enterprise (SOE) and making the transition to a publicly-owned entity whose shares can be traded on the HCMCSTC or HASTC. 3. Conditions, application and procedures for listing The regulations on the conditions, application files and procedures for listing a company are not contained in Law 70, they are contained in Decree 14. The conditions for listing on the stock exchange (of which there are currently none in Vietnam) are different from the conditions to list on a securities trading centre. However, in anticipation of the HCMCSTC converting to a stock exchange, new registrations for listing on the HCMCSTC must satisfy the conditio ns applicable for stock exchange listings, while existing listed companies on the HCMCSTC have two years to satisfy these conditions. Companies failing to meet these requirements will have their listing moved to the HASTC. Conditions, application and procedures for listing on the Stock Exchange/HCMCSTC (a) Shares. The listing company must be a shareholding company with paid-up capital of at least VND80 billion at the time of registration for listing, must have made a profit in the two years prior to year of listing and must not have accumulated losses as at the year of registration for listing. There must not be overdue debts payable (unless a lawful reserve has been made for them) and there must be public disclosure of all debts owed to the company by officers2 and major shareholders. At least 100 shareholders must own 20% of the voting shares of the listing company, and there must be an undertaking from shareholders who are also officers of the company to hold 100% of their shares for 6 months from the date of listing and 50% of their shares for the following 6 months. Bonds. The listing company or SOE must have paid-up capital of at least VND80 billion at the time of registration for listing, must have made a profit in the two years prior to year of listing and must not have overdue debts of more than 1 year. There must be at least 50 bondholders in any one bond issue. 3. 2 (b) 2 Officers are the members of the board of management, members of the board of controllers, director, general director, deputy director, deputy general director and chief accountant.  © Allens Arthur Robinson – Vietnam Laws (c) Fund Certificates. Issued fund certificates must have total value of at least VND50 billion. There must be an undertaking from the initial shareholdings and members of the committee of representatives of the fund to hold 100% of their shares for 6 months from the date of listing and 50% of their shares for the following 6 months. There must be at least 100 owners of fund certificates. 3. 3 Conditions, application and procedures for listing on the H ASTC (a) Shares. The listing company must be a shareholding company with paid-up capital of at least VND10 billion at the time of registration for listing, must have made a profit in year prior to year of listing and must not have overdue debts of more than 1 year (with no current debts or financial obligations to the State). There must be at least 100 shareholders with voting shares, and there must be an undertaking from shareholders who are also officers of the company to hold 100% of their shares for 6 months from the date of listing and 50% of their shares for the following 6 months. The conditions relating to profitable business operations and overdue debts do not apply to newly established enterprises in infrastructure and high-tech sectors or equitizing SOEs. (b) Bonds. The listing company or SOE must have paid-up capital of at least VND10 billion at the time of registration for listing, and all bonds in the issue must have the same maturity date. Other types of securities. The task of stipulating conditions for listing other types of securities has been delegated to the MOF. (c) 3. 4 Registration The listing enterprise must register with the relevant exchange or trading centre. To register the listing enterprise must submit a registration slip and attach those documents that are required by Law 70 (and which will be given more detail in specific regulations of the exchange/trading centre). The documents required include the prospectus, relevant corporate resolutions, register of shareholders/bondholders and required undertakings. The exchange/trading centre has 30 days from receipt of the registration slip to approve or refuse the application. 3. 5 Trading Current guidelines on securities, membership of the HCMCSTC/HASTCand trading in securities are contained in Circular 583 implementing Decree 1444. In time, Circular 58 should also be repealed by a new circular implementing Law 70 and Decree 14. In the interim the HCMCSTC and the HASTC continue to apply the day to day trading rules contained in the Circular 58. In addition, under Law 70, the HCMCSTC and the HASTC each are given the responsibility to issue regulations on the trading of listed securities within their respective centres. 3. 6 Other trading Securities listed on a Stock Exchange cannot be traded outside the Stock Exchange, unless otherwise stipulated in the trading rules of the Stock Exchange. In comparison, securities listed on a securities trading centre (STC) can be traded at a securities company which is a trading member of the STC. 3. 7 Taxation holidays – almost over Previously, to encourage investment in Vietnam’s securities market, various incentives were offered, 3 4 Circular 58-2004-TT-BTC of the Ministry of Finance dated 17 June 2004. Both Circular 58 and Decree 144 were issued before Law 70 and Decree 14, and must be read down to the extent of the inconsistency. 4  © Allens Arthur Robinson – Vietnam Laws ncluding preferential corporate income tax rates to companies upon listing. However, this preferential tax treatment ceased on 1 January 2007. Dividends from shares have been free of personal income tax since 1994. However this very long â€Å"temporary exemption† is expected to come to an end under the proposed Law on Personal Income Tax, which was considered by the National Assembly in October-November 2006 and is expected to be passed in 2007. If passed in its current draft form, dividends from shares will be subject to personal income tax at a proposed rate of 5% from 1 January 2009. . Public companies A public company is a newly introduced concept in Vietnam. A public company is a shareholding company with any of the following characteristics: †¢ †¢ †¢ Shares have been issued via a PO. Shares are listed on the HCMCSTC or the HASTC. Shares are owned by 100 or more investors, excluding professional securities investors, and have a paid-up charter capital of VND10 billion or more. Importantly, a company does not have to be listed to be deemed a public company. New rules introduced for public companies include: 4. Filing A public company must lodge the public company file with the SSC within 90 days of becoming a public company. The public company files comprises the company’s charter and business registration certificate, the most recent financial statement and summarized information o n its business operations scale, management organization and shareholding structure. Major shareholders A shareholder of a public company is deemed to be a major shareholder when it holds directly or indirectly (undefined) 5% or more of the voting shares the company. Upon becoming a major shareholder, the shareholder must report to the SSC and the HCMCSTC or HASTC (depending on where the shares of the public company are listed/offered). The information that must be reported is not extensive: only details of the investor (name, address) and details of the shares (number, percentage). However, important changes to this information, including a change of the number of shares in excess of 1%, must also be reported. Takeovers An offer to purchaser 25% or more of the voting shares in a public company must be made by a â€Å"public offer to acquire†. The public offer to acquire must be registered with and approved by the SSC (the law does not detail any criteria or basis for the approval) and must be announced in the mass media. Of note, if after implementation of the public offer to acquire, the acquirer holds 80% or more in the public company, the acquirer must, if the remaining shareholders so request, acquire the remaining shares at the announced price of the offer to acquire. 4. 4 Disclosure requirements A public company must publicly disclose certain information and report it to the SSC. Annually, a public company must disclose its audited financial statements. In addition, it must disclose information within a short period (24 hours, or 72 hours) upon the happening of a prescribed event, for example if an account of the public company is frozen (within 24 hours) or if a decision is made to borrow bonds with a value of 30% or more of the company’s equity (within 72 hours). 4. 2 4. 3 5  © Allens Arthur Robinson – Vietnam Laws 5. 5. 1 Foreign investors – how to purchase shares Unlisted shares To contribute capital or purchase shares in Vietnamese enterprises, foreign investors must open a Vietnamese dong capital contribution and share purchase account (Account) at a commercial bank operating in Vietnam. All transfers of funds for the purpose of contributing capital, purchasing and selling shares, transferring capital contribution, receiving and using dividends or profits distribution, or purchasing foreign currency from authorised banks for remittance abroad and other transactions relating to any activity of capital contribution or purchase of shares in Vietnamese enterprises by foreign investors must be performed through this Account. Further, this Account may only be used for capital contributions and share purchase activities. Within 2 working days from the date of opening the Account at a commercial bank, the foreign investor must register the Account with the State Bank (Department of Foreign Exchange Control). Under law, the State Bank must certify registration of the account within 5 working days, or otherwise provide written notice of its reasons for refusing to provide certification. A foreign investor is only allowed to perform receipt or payment transactions through the Account after obtaining a document on certification of account registration from the State Bank. Therefore it is important for potential investors to organize this account well in advance of the relevant share purchase date. Other than the controls over the Account, trading in unlisted shares is largely unregulated. 5. 2 Listed shares The foreign investor must apply for a securities trading code from the HCMCSTC/HASTC. The application consists of an application form and supporting documents. Unfortunately, the supporting documents that originate outside Vietnam (for example the constitution and establishment documents of the foreign investor) are subject to the tedious requirements of notarization and certification. Investors must then open a VND securities trading account with a registered broker in accordance with Decision 15505 to service activities of the purchase and sale of securities. The following accounts must be opened by the broker at an authorized bank in Vietnam: (a) a specialized, on-call foreign currency deposit account, into which foreign currency of the foreign investor is deposited (i) for the purpose of conversion into VND for purchase of securities or (ii) after conversion from VND for the purpose of remittance overseas or other authorized foreign currency remittances in Vietnam; and (b) a specialized, on-call VND deposit account, into which all VND amounts (after conversion from foreign currency) and all VND income from securities nvestment is transferred and from which all VND remittances for purchase of securities or for conversion into foreign currency is made. Listed share certificates must be centrally deposited at the Vietnam Securities Depository (VSD). This happens in two steps: first, the owner deposits the certificates with a depository member (for example, the broker or depository bank) and second, the depository member in turn deposits th e certificates at the VSD. Cash settlement is made via the settlement bank, which is the BIDV. 6. 6. 1 Foreign investors – restrictions Prohibited and conditional sectors Four prohibited sectors are listed in the 2005 Law on Investment. These sectors apply equally to foreign and local investors. Nine conditional sectors are listed in the 2005 Law on Investment. These sectors also apply equally to foreign and local investors. In addition foreign investment is conditional in 13 sectors specified in Decree 108 and ‘other investment sectors in international treaties of which Vietnam is a member and which restrict the opening of the 5 Decision 1550-2004-QD-NHNN of the State Bank of Vietnam dated 6 December 2004. 6  © Allens Arthur Robinson – Vietnam Laws market to foreign investors’. It is not yet clear what the conditions are, and whether they may include restrictions on indirect investment. 6. 2 Other restrictions The current (to the extent that they have not been specifically repealed) laws of Vietnam consist of the following restrictions: (a) (b) (c) There is a cap on total foreign shareholdings in or capital contributions to any one unlisted domestic business of 30% of the charter capital (30% rule). The range of unlisted companies in which foreign investors may purchase shares is also restricted by sector (only 35 business lines are permitted). Foreign investors may hold a maximum of 49% of the total shares of any one company listed at a stock exchange or registered for trading at a securities trading centre (49% rule). Although not yet specifically repealed these restrictions may be affected by the 2005 Law on Investment which stipulates â€Å"investors must be permitted to invest in all sectors and in all industries and trades which are not prohibited by law†. Therefore under this general rule foreign investors should be (in theory) permitted to invest in all sectors and all industries provided that they are not in a prohibited or conditional sector (as above). It is not clear if the authorities will interpret the 30% rule and the 49% rule as being repealed by or alternatively, qualifying the Law on Investment. We consider that the better view is that these rules should be repealed by the Law on Investment. This view is consistent with the WTO principle of national treatment. However, we understand that in a meeting held on 18 January 2007 between the Government Office, the Ministry of Finance and the SSC the Government Office expressed the Prime Minister’s opinion that the 49% rule would continue to be applied ‘temporarily’. In any event, specific restrictions will continue to apply to conditional sectors (for example, banks) in accordance with commitments made under international agreements. 7. 7. 1 Securities Industry Players General Securities companies and fund management companies are the key players in the Vietnamese securities industry. This section provides an overview of the scope of activities under Law 70 of these companies Securities company As at 29 December 2006, the SSC has issued 55 operational licenses to securities companies under the previous securities law regime. After the effective date of Law 70, being 1 January 2007, there have not been any operational licenses issued and the most likely reason is that the implementing regulations for Law 70 have not been promulgated to guide the SSC in its work. Under Law 70, securities companies are permitted to engage in any or all of the following activities (the minimum legal capital is listed along side each of the activity): (a) (b) securities brokerage (VND 25 billion); securities self-trading (if the securities company engages in this activity it can only conduct the other activity of underwriting) (VND 100 billion); underwriting issues of securities (VND 165 billion); securities investment consultancy (VND 10 billion); financial consultancy services; and other financial services. . 2 (c) (d) (e) (f) The permitted areas of activity are limited compared to the business areas permitted under the old securities law regime. The prescribed minimum legal capital has also increased. This explains why there was a rush towards the end of 2006 to obtain a securities company license from the SSC. 7  © Allens Arthur Robinson – Vietnam Laws 7. 3 Fund Management Company Prior to the effective date of Law 70, eighteen operational licenses were issued by the SSC to fund management companies. Again there was a rush to obtain a license towards the end of 2006 because the scope of business activities has been restricted under Law 70. A fund management company can only engage in fund management and portfolio management and the minimum legal capital for establishment is VND 25 billion. 8. Funds This section provides a brief overview of investment funds as this is the subject of a detailed paper which will be released once the MOF has settled the regulation on investments funds and other related matters. Investment funds have been driving the bullish Vietnamese stock market. There have been a growing number of offshore and onshore investment funds established in recent years. At least 25 investment funds are operating in the market with an objective of investing in Vietnam. The Prime Minister has reportedly indicated that regulations on capital controls would be tightened to prevent capital flight which probably means that the MOF’s soon to be released regulations would introduce further regulatory controls on the operation of Funds. In brief, Law 70 sets the framework for the establishment of onshore public and members’ funds. Public funds and members’ funds must have at least VND 50 billion in start up capital and managed by a fund management company. A public fund may be an open or closed ended fund with at least 100 investors. A members’ fund must have up to 30 investors. Assets of a fund are to be held by a custodian bank. The MOF’s future regulation is expected to contain other operational requirements. This article was written by Julia Howes, a lawyer with Allens Arthur Robinson who has been practicing in Vietnam for 3 years. Allens Arthur Robinson is one of the largest international law firms in Asia, with more than 900 lawyers, including 179 partners. Allens Arthur Robinson has been providing legal services for clients in Australia for more than 180 years and in Asia for the past 30 years. Our Vietnam practice is managed by partners Bill Magennis in Hanoi and Nigel Russell in Ho Chi Minh City, both of whom joined the Allens Arthur Robinson partnership from 1 January 2007. The Vietnam practice was established in 1993 and is one of the largest and most successful among foreign law firms in the country. For further information, please contact: Bill Magennis Partner, Hanoi Ph: +84 4 936 0990 Bill. Magennis@aar. com. au Nigel Russell Partner, Ho Chi Minh City Ph: +84 8 822 1717 Nigel. Russell@aar. com. au Steve Pemberton Partner, Singapore Ph: +65 6535 6622 Steve. Pemberton@aar. com. au Jim Dunstan Executive Partner – Banking Finance and Asia offices, Sydney Ph: +61 2 9230 4571 Jim. Dunstan@aar. com. au Simon Lynch Partner, Melbourne Ph: +61 3 9613 8922 Simon. Lynch@aar. com. au Jeremy Low Partner, Sydney Ph: +61 2 9230 4041 Jeremy. Low@aar. com. au This publication is copyright. Except as permitted under relevant laws, no part of this publication may be reproduced by any process, electronic or otherwise, without the specific written permission of the copyright owner.  © Allens Arthur Robinson 8  © Allens Arthur Robinson – Vietnam Laws The material contained in Vietnam Client Updates is intended to inform you of recent legal developments in Vietnam. It is not intended, and should not be relied upon, as legal advice. Should you wish further information in relation to any legal instrument or matter mentioned in this issue, please do not hesitate to contact one of our offices. Ho Chi Minh City Suite 605 Saigon Tower 29 Le Duan Boulevard District 1 Ho Chi Minh City,Vietnam Tel +84 8 822 1717 Fax +84 8 822 1818 nigel. russell@aar. com. au Hanoi Suite 401 Hanoi Tower 49 Hai Ba Trung Hanoi, Vietnam Tel +84 4 936 0990 Fax +84 4 936 0984 bill. magennis@aar. com. au Allens Arthur Robinson – a leading international law firm with lawyers in: Bangkok | Beijing | Brisbane | Hanoi | Ho Chi Minh City | Hong Kong | Jakarta | Melbourne | Perth | Phnom Penh | Port Moresby | Shanghai | Singapore | Sydney 9  © Allens Arthur Robinson – Vietnam Laws How to cite The Securities Market in Vietnam, Essay examples

Diversity of Bargaining and Negotiation †Free Samples to Students

Question: Discuss about the Diversity of Bargaining and Negotiation. Answer: Introduction The strategic international human resource management is concerned with the management of the human resources which are aligned with the strategic directions of the multinational organizations (Daley 2012). The strategic aspect of the human resources is done in an interconnected, dynamic and competitive global environment. This aspect tends to explore, research, apply and evaluate the human resource activities that are relevant to the internal as well as external aspects of the organization (Daley 2012). The modern organizations are engaging in cross border trade and they are operating in a global marketplace in which it is important to enhance the experience of multiple stakeholders (Daley 2012). There have been research regarding the standardization or localization approach that needs to be taken by the multinational firms. There are possibilities that the increasing presence of the multinational firms would decrease the instances of the localization of practices. In such a scenari o, the dominance effect can be witnessed. This essay would outline the country of origin effect on the different aspects of the strategic international human resource management in the global firms. The organization Toyota Motor Corporation would be used for practical illustrations. There would be various arguments which would measure the extent to which the country of origin effect is the influential factor in the success of the firm. The essay would also strive to discuss the different factors such as cultural, institutional, organizational and the political factors that affect the transfer of the HRM practices and the way this transfer take place. There would be in-depth critical analysis of the various international HRM transfer process by using different literature. The multinational organizations have adopted the strategic international human resource management practices in different degrees. A holistic corporate strategy is not only based on the external as well as internal business factors but acts a reference point regarding each part of the value chain (Tiwari 2013). The functional level type is associated with the maximization of the efficiency of the business process. Research shows that there are reciprocal relationships between the strategic human resource management, objectives of multinational companies and the various organizational factors. As agreed by Tiwari (2013), there is an increasing dominance effect observed in the multinational companies when the managerial practices of the subsidiary firms are neither shaped by localization (host country specifications) nor influenced by country-of-origin effect (specifications of the home country). Instead, the management practices are being affected by the country that sets global best practices. There is great debate on the convergence and divergence approach adopted by the multinational companies (Lozano 2015). The convergence approach is concerned with the fact that the best practices of the management can be explored that are applicable universally, not taking into consideration the institutional context or the organizational culture (Lozano 2015). The efficiency of the HR process and the global competitive environment are forcing the companies to adopt best practices so that they can compete in the global marketplace (Lozano 2015). This follows the cross national convergence of the management practices. On the other hand, the divergence policy focuses on the national management methods in the institutional as well as cultural context and doubt the cross-national learning emerging from the best practices. The organizational culture of Toyota is popular and many organizations try to replicate them. The organization has designed its policies so that a lean organizational culture is created (Edwards et al. 2013). The organization believes in the development of the competencies of the employees such that they have the necessary skills to deal with the cross-border teams (Edwards et al. 2013). These skills include the continuous improvement, communication, motivation, job fit, integrity, attention to quality and others (Edwards et al. 2013). The organization aims to hire people who possess these unique competencies so that the organizational objectives would be fulfilled easily (Edwards et al. 2013). The organization also aims to provide lean systems as well as trainings to all the employees so that they are encouraged for delivering high performances. In fact, Toyota also aims to coach the employees and remove them subsequently if they are not eager to embrace the high performance culture . The employment relations in the multinational companies are governed by a number of factors such as cultural, institutional, political and organizational (Almond et al. 2005). The institutional approach usually focus on both the national as well as international countrys institutions (Festing 2012). It overseas the nature of the employment relations in the country within the foreign based subsidiaries of different multinational companies by measuring the balance of different factors (Almond et al. 2005). There are number of factors that influence the behavior of the MNC such as dominance effects, country of origin effects, host country effects and the different pressures for international integration. The country of origin effects is concerned with the behavior of the MNC that can be traced back to the various features of the national business systems that forms the origin of the MNC (Almond et al. 2005). These refer to the various interlocking relationships that underline the institutional forms such as training and education, industrial relations, intrafirm as well as interfirm coordination, welfare state and others (Osland and Bird 2013). There are other kinds of institutional forms such as corporate finance, management roles and others. The transnational corporations are no longer considered as apex and subordinates, but they are considered as related network affiliates (Poon 2013). In such kinds of networks, the decision-making activity is spread across all organizational entities and the exercise of control is done through normative integration. The controls are usually done by the nationals of the offices belonging to the home country (Almond et al. 2005). Research shows that the US based MNCs are more likely to have formalized as well as centralized human resources than their counterparts (Koschate-Fischer Diamantopoulos and Oldenkotte 2012). They have the tendency of exporting their organizational forms as well as management methods so that they can serve the different countries. This is the reason why they have introduced the multidivisional organizational form so that the discreet business entities can exert strategic central control as well as formulate highly specialized management function (Koschate-Fischer Diamantopoulos and Oldenkotte 2012). Toyota functions in the USA and hence must adhere to the employment trends in USA. There is hostile relationship between the organized as well as capital labor in USA, which have socio-historical roots. The dominance effect of the strategic human resource management function is concerned with the fact that the states which are dominant are able to exert political, organizational and technological influences (Paprzycki 2013). These influences bring dissemination as well as adoption evident across the global systems. This effect can be witnessed in Toyota also where there is high degree of local customization. It increases the local sales as the company engage in customization of both the products as well as operations in each country (Koschate-Fischer Diamantopoulos and Oldenkotte 2012). This strategy has led the company to operate outside Japan ad capture the overseas market. This strategy leads to an increase in the operational complexity, however, it also enhances the creativity of the employees so that they can develop new ways of marketing as well as new technological modes. The dominance effects tend to create incentive from the part of the firm that contribute to the firms suc cess in the various dominant countries (Koschate-Fischer Diamantopoulos and Oldenkotte 2012). One of the most important reasons for the countries receiving the dominant model status is their superior economic performance (McDonnell Lavelle and Gunnigle 2014). The strengths of the successful economy are usually concentrated in the industries which are characterized by strong international competition. This can be viewed in the mass production sectors such as automobiles (Koschate-Fischer Diamantopoulos and Oldenkotte 2012). Japans economy is considered as role models since they offer best practices for the other countries to follow. The multinational companies have several cultural attributes that lead to choose strategic human resource tactics. The global organizations have become more sensitive to the cultural needs of the organizations (Koschate-Fischer Diamantopoulos and Oldenkotte 2012). The employees belonging to the different countries would have diverse group of employees belonging to different caste, creed, race and ethnicity. The management of the cultural differences have become an important matter for getting competitive edge in the foreign countries as well as host countries (Purce 2014). It is the duty of the organizations to create an organizational culture that helps each employee to pursue their individual career aspirations (Purce 2014). The management of the culturally diverse workplace refers to the ability of the employees to give their best performance as they are provided with an equitable work environment (Lewis 2013). The organizations must embrace diversity and should formulate equal po licies for everyone so that the discrimination as well as injustice can be avoided. The organizations who are embracing the strategic human resource management also needs to take care of the different political dimensions, operating a both micro level and macro level (Purce 2014). There is greater need of the collective bargaining process which would affect the transfer of the HRM practice in an intrinsic manner (Terpstra Foley and Sarathy 2012). The process of collective bargaining is concerned negotiations between the unions representatives and the management of the company (Terpstra Foley and Sarathy 2012). The bargaining agreement makes it clear that there are certain aspects of the management that are not negotiable such as right to recruit, right of promotion, right of terminating employees, which are essential rights of controlling business processes. Podsiadlowski et al. (2013) agrees that the global organizations should concentrate on the aspect of the union security and there may be negotiation regarding the check off provision (Rubin and Brown 2013). As commented by Jiang et al. (2012), there are several organizational factors that drive the multinational organizations to engage in global human resource management. The high performance of the employees and the increased productivity drives the employers to engage in cross border trade (Varma and Budhwar 2013). The strategic human resources function help in increasing the productivity of the employees by supporting, enabling and encouraging the employees. This is also done by the act of harnessing potential as well as channeling it in the right direction (Terpstra Foley and Sarathy 2012). The cross-border trade also facilitates increased business prospects by capturing the local market of the foreign countries. It is also helpful in gaining competitive advantage of the firm. As opined by Sparrow (2012), the functions of recruitment, selection and compensation are more likely to be transferred to the foreign countries. This is because these human resource practices need the skills of the local talent in order to achieve business success (Terpstra Foley and Sarathy 2012). On the other hand, the HR functions such as the employee training, development and others. The business organizations, like Toyota, are continuously expanding their international operations for getting sustainable profitability as well as growth. They adopt different kinds of strategies that they use to start the operations in a foreign country. As opined by Grant (2016), in terms of the business operations, there are four kinds of transfer practices taken by the organization such as international strategy, multi domestic strategy, global strategy and transnational strategies (Ferner Edwards and Tempel 2012). The international strategy is concerned with the using of the existing core competencies of the firm for exploiting different kinds of opportunities in the foreign market (Grant 2016). The multi domestic transfer of the HR practices refer to the strategy in which the foreign subsidiaries function as autonomous units so that they can customize the different products as well as services as per local needs (Ferner Edwards and Tempel 2012). For example, Dominos Pizza foll ows this kind of strategy in which they locally hire, train and develop candidates that would help them to serve the local customers. The global strategy is concerned with concentrating on the tight control on the different global operations in order to maintain standardization (Rothaermel 2015). The transnational strategy combines the various policies regarding the expatriate selection, staffing, industrial relations, diversity management and training. For example, Coca Cola follows transnational strategy in transferring of the HR practices between multiple countries (Gong 2015). The Coca Cola company permits the national businesses to conduct their business operations which ensures the rapid transfer of the valuable as well as innovative HRM tools. The corporate HRM of the company has developed HR strategy so that the local businesses are able to develop their personalized HR practices (Ferner Edwards and Tempel 2012). The company has not made a standard compensation policy for all the national operations. Instead, it has formulated a policy in which the total salary package would be competitive as per the close rivals in the local market. the company has also found out that the local business can contribute effectively to the development of superior HR policies that would give the maximum benefits. This strategy has been used by Coca Cola in managing their global operations in more than 25 countries operating in six regional groups namely European Union, North America, Pacific Region, Middle East Group, Latin America and others (Gong 2015). There are primarily three kinds of strategies that are used for the purpose of transfer of HRM practices by the multinational companies as far as staffing requirements are concerned. As opined by Thoo and Kaliannan (2013), the polycentric approach to hiring is concentrated with the hiring as well as promoting the employees who are citizens of the concerned host countries. This approach is concerned with low costs of the recruiting as well as training staffs. There are lesser issues of communication as well as coordination since the employees belong to the same geographical region. As defined by Thoo and Kaliannan (2013), the ethnocentric approach is being used by the multinational companies that possess international strategic orientation. The employees ae being sent from the home country to the host countries for carrying out the job duties in the foreign location. This kind of approach is being used by Toyota for commencing operations in a foreign country Thoo and Kaliannan (2013). The company believes that the experienced employees in the parent company would be necessary in effectively setting up of the business operations in foreign countries. The geocentric staffing approach is concerned with the fact that the recruitment decisions are done irrespective of their nationality. This kind of transfer of the HRM practices is concerned with the evaluation of the skills as well as experiences of the candidates. It is important to determine the role and function of international HRM mechanisms at different stages of transfer of HRM practices. There are different stages in the development of the global human resource practices. The HR is actively engaged in the development as well as formulation of cross border polices concerning recruitment and compensation. The dissemination of the information sharing is done through the improved communication techniques. The human resource department also helps in the dissemination of information to all the employees so that they are aware of the varied rules and regulations (Ferner Edwards and Tempel 2012). They are also actively engaged in knowledge sharing and the shared learning mechanisms. The HR department is likely to foster change management tactics for effectively using the human capital for the purpose of organizational development. Conclusion The multinational companies are increasingly adopting the different kinds of cross border trade for increased business prospects. They are increasingly using the different international human resource management systems for greater business efficiency. This essay covered Different strategy international human resource practices that are relevant in the global marketplace. The essay discussed the important dimensions of convergence and divergence approach that are increasing becoming HR practices in global management. The organizational culture of Toyota is discussed in detail. There are significant factors affecting employment relations that are discussed. A special emphasis is being laid on the country of origin effects and the interlocking relationships that determine the institutional forms. The US based MNCs are more likely to have formalized as well as centralized human resources than their counterparts, which is discussed in detail. The dominance effect of the strategic human r esource management function is elaborated that have different types of influences such as organizational, political and technological influences. The economic and the political factors that influence the international strategic human resource management are discussed. The global organizations have become more sensitive to the cultural diversity in the workplace. They have also engaged in greater collective bargaining process that engages in bargaining process between the management and the union members. 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