Inequalities in Chile Essay Example | Topics and Well Written Essays - 1500 words

Inequalities in Chile - Essay Example Their role in ensuring the same may well go beyond into the future with a view to making the economy great as well as rising the living standards of the citizenry. Lately, there have been emerging trends in the world that have necessitated a close scrutiny in order to unravel the reasons behind them and their relationship to growth (OECD, 2009). There exist a number of inequalities that may impact the growth prospects of a country. Therefore, comprehensive assessments should be carried out in order to establish the underlying trends so as to address this phenomenon at the earliest opportunity and unearth possible facts. Chile has always enjoyed stability in democracy as well as the economy across South America. In the whole of Latin America, the people of Chile have benefited from improved standards of living, efficiency and effectiveness of the government that has the lowest levels of corruption and a functioning democracy that serves the interests of all citizens in the region. Nev ertheless, despite having all these developments in democracy with resolute institutions coupled with a continued growth in the economy, there have been reported levels of inequality in the socioeconomic platform that can be traced from the previous leadership that failed to guarantee a fair treatment to everyone in the society (Robinson, 2001). This kind of inequality in the Latin America region emanates from social decadence with roots way back in colonialism time where the monopolistic aspect of the royal families controlled the economy to a great extent. This action left large chunks of wealth to a few individuals who became filthily affluent, something that widened the gap between those at the helm of leadership and those in the ‘working nation’ with this phenomenon staying long enough even after attaining self-government (Barron, 2009). This led to unnecessary pressures in the social setup, thus jeopardizing the stability that ensures victory within a democratic c ountry in the class of Chile. This country also followed the same route that rewards a few people in the economy which saw immense pressures mount in the 1970s due to the idea to redistribute the wealth acquired unfairly to those who never had any or those with meagre traces (Suter, 2010). To address this inequality, several policies were drafted that aimed at charting the best way possible to redistribute the wealth for the benefit of all. This was also to nationalise all other major sectors and tackle the inequality amicably. Notably, there was very little growth at the time of this inequality and there could be no growth since wealth accumulation was directed to one side of the rich and powerful (Anastassiou, 2011). However, the effort to undertake the redistribution was met with friction amongst the affected, thus bruising the economy with the unending chaos experienced that was evident from how the policies were implemented. The dictatorial leadership altered the economic struc ture leading to an eventual coup with the economy status still struggling to regain strength soon after the coup. With the elapse of time, the then general constituted a team of experts to address the problem and undertake an overhaul that saw Chile on its feet again. Their activities’ objectives were concerned with tackling inflation that was biting heavily and other monetary policies that remained strict and tight. Many barriers to trade came to an end with some tariffs facing abolishment to pave the way for more lucrative business deals within and without the country (Boesten, 2010). The economy was given a facelift that made the country start exporting some of its surplus, thus leading to a

Globalisation Has Become An Increasingly Important Phenomenon Marketing Essay

Globalisation Has Become An Increasingly Important Phenomenon Marketing Essay Abstract Globalisation has become an increasingly important phenomenon that has given firms way to be internationalised. Globalization as a foundation for adopting global strategies has during recent years been given scant attention. The importance of multinational companies cannot be overlooked with globalisation in the back of the mind. Firms are constantly adopting global strategies so as to compete on the international market and to reap the enviable advantage from economies of scale. Globalization often regarded as the pathway of internationalization has led to the development of strategies shaped to face the highly competitive global environment (Levitt 1983, Baden-Fuller, Stopford 1991). Regional strategies have often been considered as a way to become a global player, but recently regional strategies have achieved high momentum to reap global sales. The assignment aims to integrate the historical development of two big companies, Ford and Diageo and the global oriented strategies adop ted by each frim respectively at different stage of their development so as to get ahead in this competitive and dynamic global game. a) Introduction The march towards a true global economy is going forward at a ferocious pace. Globalisation has paved the way for many firms to be internationalised. According to Hood and Young (2000), globalization is a process by which the world economy is transformed from a set of national and regional markets into a set of markets that operate without regard to national boundaries. Porter (1985) highlighted that globalisation has urged many firms to divert production to international markets so as to achieve long term competitive advantage. Porter (1980) further emphasized that the main driver behind the move to international markets is to explore business opportunities. Multinational enterprises (MNEs) seem to have been the major players in this drama put on a world stage for all to view. It is noted that many big companies that compete internationally pin their hopes for success on a single worldwide strategy mainly to achieve lukewarm results. According to Ghemawat (2005) and Levitt (1983), d eveloping global strategies mainly in search of new synergies and arbitrage and a global recognition has been the hype surrounding multinational corporations since the past decades. Global powerhouses such as Ford and Diageo concentrate on regional differences and then shape strategies that will match both domestic and international markets. Both Ford and Diageo have grown over the years and become active players in the global market for cars and drinks respectively. They have adopted global strategies which are at time similar. However, given that they operate in different products, some of their strategies differ. Theoretical Background The prominent trend in international business today concerns globalisation. This notion of globalisation has been defined by Ohmae (1995) as the removal of borders and barriers to trade between nations. Trade barriers have been lifted gradually through the GATT and WTO negotiations. The drivers behind the internationalisation of the firm in the global economy include huge developments in transport and communication which has made the mobility of all factors of production a reality across the globe and the increasing role of MNC s through outsourcing and business networks are developing in many parts of the world. It is widely believed that the evolution of multinationals is due to domestic market maturation and home market saturation (Caves 1982; Porter 1990). It is widely assumed by Mintzberg (1989) that expanding globally provides firms with the opportunity to become more profitable. According the continuous increase in speed, quality coupled with improvement in communication and t echnology has led to a significant reduction in transaction costs (Porter, 1990). Moreover, markets in farflung countries have become homogeneous making international business activities to be conducted easily (Hedlund Kverneland 1985). Classical theories Growth by Penrose (1959) and Hymer model (1960), firms internalise their activities mainly for economic gains such as the profit motive. The OLI-approach by Dunning (1979, 1981) purports that ownership, location and internalisation are the factors that influence the initial act of cross border production firms. Porter (1988) suggested that internationalisation enables the transfer of some moveable resources across a national border. Many firms, on the other hand internalise for market seeking motives. This motive is related mainly to companies that are endowed with high level of technology and a good brand image that give them sustainable competitive advantage over their peers. The market seeking motive is common for European mult inationals such as Nestle and Ford which have expanded their production across borders mainly in search of new markets. The aim to achieve reduced costs of production is another factor that has triggered the internationalisation process. The removal of tariff barriers has urged many companies to outsource production mainly to benefit from low cost production and low capital cost. Moreover, the drive to benefit from scale economies and ballooning RD have also triggered the international expansion of firms making them global companies and have brought about a new set of motivations that underlay these global strategies. Globalization characterised as the true path of internationalization has bought about the development of strategies designed to meet the needs of the global environment, where standardization has been the key message to cater for the needs of the world market with global products (Levitt 1983, Baden-Fuller, Stopford 1991). During the early years, there was much complexity over the design and technology of the motorcar. The beginning of the 20th century marked the coming of cars with the latest design and technology. It was the Fordism which was the first revolution in the process technology followed by Toyota afterwards. Ford is a US automobile company which was founded in 1903 by Henry Ford in Michigan and it made its first shipment in that year itself. which produced 1708 cars in the first year. Ford is a pioneer in the automobile industry and has a portfolio of brands such as Ford, Lincoln, and Mercury. It also provides financial services. The business is divided into different segments mainly North America, ford Europe, Ford South America and Ford Asia Pacific Africa designed to serve the different markets. Diageo is the leader in premium drinks across the world. It resulted from the merger of Grand Metropolitan and Guinness in 1997. This merger has led to a complete rebranding and reimaging of the company. It took over the wine business of Seagram in 2001. In 2006, Johnnie Walker Blue Label and King GeorgeV Edition made its appearance in duty free channels of Europe. The company is now seen as an ethical company which contributing effectively to corporate social responsibility. As per the Financial Times, Diageo formed part of the 150 largest companies in the world in 2008. To increase its market, Diageo made a joint venture with and made the Diageo Kirin. The company is listed on both the London Stock Exchange and the New York Stock Exchange. For Diageo, sustainability refers to the long term success of the business while taking into consideration the needs of stakeholders, community and at the same time protecting the environment. Compared to its competitors, Diageo was among the 100 most sustainable companies in the world for their concern for the environmental and society. During the financial year 2011, the company earned revenues of  £13,232 million representing an increase of 2.1% in 2010. Strategies Ford produces a more varied product range of vehicles to attempt to tailor the needs of the different customer groups. For instance, the Ranger was designed to meet the needs of Asia pacific, Africa and South America. This new hybrid vehicle tailor-made for these regions has made Ford gone ahead of other overseas manufacturers. Ford has been able to use their window of opportunity to the full by satisfying the segments of consumers which they are targeting by providing them with the latest technology and convenient vehicles. Conversely, Diageo is involved in the production and distribution of a range of standardised products including beer, wine and spirits geared to satisfy every market in the world. Thus, compared to Ford which aims to produce a different kind of vehicles for each geographical area, Diageo on the other hand produces one type of drink to satisfy all its markets. Both firms aim towards sustainable development. Ford contributes significantly to the environment by making maximum use of recycled and renewable materials in its vehicles. It was highlighted that about 85% of materials that Ford use are recyclable. The use of recyclable and renewable materials is a prerequisite in Fords sustainability strategy mainly to decrease environmental footprint and increase the use of fuel-efficient vehicles and hence be more environment friendly. Ford has even merged with its previous rivals Chrysler and General Motors mainly to produce a car that will use less energy, cause less pollution. Diageo also contribute to a sustainable platform across its range of products through its Sustainability and Responsibility strategy. As part of this strategy, Diageo focusses on the benefits of alcohol in the society, preserves the natural resources and promotes good governance. Additionally, encouraging good drinking habits and working collaboratively with other stakeholders to combat the misuse of alcoholic drinks is of key importance in Diageos strategy. Diageo also concerned about the fact that most of its resources it uses are scarce. As a result, to contribute effectively to its environment, more water efficient, reduced use of carbon dioxide and innovative forms of packaging that is sustainable to the environment were adopted. However, what distinguishes Ford and Diageo on the sustainability issue is that Ford mainly focusses on the use of renewable and recyclable materials to undertake its production while Diageo mainly places emphasis on its community and how to promote res ponsible drinking as part of its sustainability programme. Conclusion To conclude, it is important to note that both businesses are operating in a globalised world where economic activities are very dynamic. Even if they operate in completely different lines of products, their global strategies should be similar in the sense that they have to study and react to any changes that definitely occur on this ongoing global business environment. PEST and SWOT analysis must be regularly conducted so as to analyse the changes occurring and to develop the right strategies that will strengthen the position of each business and eventually ensure sustainability in their performance. b) Introduction According to (Worthington 2003, p. 466), in a global, fast changing competitive environment, accessing international markets have become increasingly important for companies to benefit from reduction in costs and to increase their demand. Globalisation has brought about a new competitive landscape referred to as hypercompetitive markets where companies face enormous threats from their peers. So, accessing international markets has become the strategic instrument for many companies to ensure their further development. As highlighted by the OECD (2004), by moving to international markets bring about a host of opportunities such as economies of scale and technological know-how. As a result, almost every firm, be it automobile industry or alcoholic industry, are engaging their business outside the boundary of their home country. This is the case for Ford and Diageo which are deeply integrated in the process of internationalisation. The development of strategic attributes represents the c entrepiece of the internationalisation process by which a company build its position in the market. There are different modes of entry in international markets. It is argued by Root (1998) that the choice of entry mode is a crucial strategic decision for multinational firms. It was also pointed out by (Root 1998, p.15) that once a firm has set its foothold in the international markets, the modes of entry decisions will change in fairly predictable fashion. According to Hill (2007, p.486), firms are engaged in exporting when they have just started to expand their business globally and will shift to other modes in the future. Joint venture refers to an entity formed by two parties to carry out economic activities together. This is a popular form of market entry. Under licensing, an organisation gives another organisation with the right to use its intangible property in a specified geographical area for given amount of time by paying some amount in return, known as the royalty fee. In a wholly owned subsidiary, 100 percent of stock is owned by the firm. According to (Hill 2007, p.493), the firm can start a new business in that country known as greenfield investment or it can take over another business in the host country. The proliferation of mergers and acquisitions (MAs) were mostly fuelled by globalisation and increased competition. MAs are created by firms mainly to increase their global reach and competitiveness. Modes of entry of the two companies Export was considered as an indispensable complement to the development of the automobile industry, but usually the manufacturer designs a car with its home country in mind. Initially, ford was engaged in the export of cars to Europe, but with high transportation costs and tariff barriers, it started operation in Manchester. This marked the global expansion of Ford. Fords entry in the international market corresponds to a great extent by the great waves of international mergers and acquisitions. It had many alliances with local and overseas companies. The intention behind Fords collaboration with other automobile companies in the product development was mainly to share costs. It acquired hertz and Jaguar in 1987 and 1990 respectively. Its 100% stake in Hertz in 1994 clearly shows Ford as a wholly subsidiary. It also acquired the BMW and Land Rover and expanded to China under the form of joint venture. The ChanganFord then became operational in 2003 with the production of Fiesta. In 2 005, it made several acquisitions mainly reacquisition of Visteons 23 to protect its supply of components. By 2009, the automobile industry became a network of collaborative arrangements. So, we can say that ford is a growing company expanding into the global automotive market. Moreover, another factor that can classify ford as a global company is that it is engaged in the production of a standardised vehicle, which can be sold in multiple markets. According to WILKINS and HILL (1964), Fords trajectory can be seen as a model especially to the high position that it occupies in the industry and its allegedly outstanding process internationalisation. Ford is a pioneer in the automobile industry given the vast number of overseas manufacturing it handles and also since the very beginning of its operation it had developed strategies that were applicable worldwide. In addition, Ford source suppliers and choose assembly locations depending on costs. An increase in competition in the automobile industry has further increased the quest to reduce costs. The intention behind Fords collaboration with other automobile companies in the product development was mainly to share costs. The production system at Ford was backward integrated. Ford possessed rubber plantation in the amazon basin. Outsourcing of materials and components were the main trend for the past 30 years. The main objective behind this was to be cost effective and more flexible in its operations. The executives at ford have in mind to implement a strategy that involves three important elements such as globalisation, reengineering and market expansion. They are to develop vehicles platforms that can serve the needs of different markets. The objective behind this is a reduction in design and product development costs, to avoid repetitions and inefficiencies and to continue maintain their activities globally. Furthermore, Fords market share increased from 14.2% in 2008 to 16.5% in 2011 in the US. It is also a leader in other markets such as Canada with market share of 17.1%, Turkey with 15.8% amongst others. The high market share enables it get competitive advantage over its peers and as such it can increase its bargaining power and makes it a global company. The operational network of Ford is a highly diversified one with a variety of sectors such as assembly facilities, distribution centres and warehouses. It also has about 11,790 dealerships worldwide. In addition, in order to increase its production capacity, ford is investing in other countries mainly china, Thailand and India. This diverse range of operations enables it to meet the needs of customers round the world profitably. Similarly in the alcoholic drink industry, the creation of the global economy at the end of the 1960s helped to boost up the consumption of alcohol consumption and the expansion in sales in new geographical markets. Improvement in technologies captured scale economies which then translated in more effective distribution of alcoholic drinks. Mergers and acquisitions in this industry arose mainly because of competition. The large companies were competing mainly in the local market by producing a single product but along a portfolio of brands. The stagnation of the western market and increasingly global competition, firms felt the need to engage into mergers and acquisitions. In 1997, Diageo company following the merger of Grand Metropolitain and Guiness. The result of this merger was attributed not only to get the ownership of successful brands but also the rationalisation of costs. This merger has led to a complete rebranding and reimaging of the company. It took over the wine busines s of Seagram in 2001. Diageo made several acquisitions mainly with the Chalone Wine Group and the Whiskey business of Bushmills in 2005, Rosenblum Cellars a US firm producing wine in 2008. In 2006, Johnnie Walker Blue Label and King GeorgeV Edition made its appearance in duty free channels of Europe. In 2008, Diageo was involved in a licensing agreement with Korea to conduct its operation in the country and it also got involved in a joint venture in the same year with Namibia Breweries. Diageo was also engaged in partnership. Moreover, what makes Diageo a global company is that it is involved in several acquisitions to expand its market. Recently, it has invested about  £ 1billion to establish a market in Africa. Moreover, in order to meet the growing demand for Vodka in Vietnam, Diageo has acquired a stake of 45.52% in June 2012 Halico. By taking over other companies around the world enable Diageo to increase its market position. Moreover, its wine market has experienced high gro wth recently. For instance, in 2011 the market grew by 3.1% and it is expected that there will be an increase of 17.9% in 2016 from that of 2011. 65% of the wine market is in Europe which helps the company increase its presence in the market. Furthermore, Diageo has 106 production facilities in different countries like the UK, Ireland, Italy, the US, Canada, Jamaica, Australia, and Philippines. This wide range of production facilities situated in different countries provides Diageo with the opportunity to cater for the needs of the market more efficiently. So we can see that Diageo company is highly polarized between different markets of the world such as North America, Western Europe, Eastern Europe, Africa, Latin America, and most of Asia Pacific. By making a presence in these markets, Diageo was able to gratify the benefits of scale economies and contribution. As per the Financial Times, Diageo formed part of the 150 largest companies in the world in 2008. This indeed makes Diage o a global company. We can say that Diageo has a specific strategic direction which has enabled it to achieve success in the European markets, established a foothold in North America and other international markets and gain a global recognition in Asia- pacific. The strategy of Diageos included selective acquisitions of popular brands coupled with a strong customer base and retaining current brands. Conclusion Hence, being both global, create conditions for both companies to become highly vulnerable to any slight change in the global economic environment. Following the recent economic crisis, Ford Company has faced severe downturn in Europe with a drastic fall in sales which seems to have no end in sight to the slump which is of great concern to the economy. As per the financial times in September 2012, Ford had experienced a fall of 29 per cent in its sales in Europe and a slowdown in the market for the 11th consecutive month. This has led to a fall in its market share by 1.6 percentage points to 6.5 per cent. According to the chief executive officer of ford, the only way ford to restructure its business and continue its investment is to cut production capacity to keep with demand. This in turn entails closing one of its plants to reduce costs. Last October 2012, ford has decided to close two plants in the UK which it hoped to improve the profitability of the company amid of the crisis. O n the other side, Diageo seems to be less affected by the economic crisis because alcoholic drinks have inelastic demand compared to cars. The recession usually causes consumers to cut their demand of luxury items first and in the long run may attempt to reduce their consumption of drinks. So, I believe that global changes might have less adverse effects on Diageo as compared to Ford.

Graduation Speech -- Graduation Speech, Commencement Address

Christopher Columbus, reflecting on his voyage which led him to the discovery of America, said, "Following the light of the sun, we left the Old World." I am sure that after four years of high school, we have all formed our own opinion of Christopher Columbus - especially if you had Mrs. Powers - but whether you view him as a genocidal rogue or the first American Hero, I find his quote fitting for where we stand today. As we set sail, leaving behind the Old World of Coleman High School, there are many things that I am sure none of us will miss. We will enter a world without Scholarly Papers or Culminating Exhibitions; a world where we can use our cell phones freely and urinate without the permission of our teacher. In the real world, Sareth won't throw away your lunch before you've taken your first bite. Of course, if you've made it this far - if you are graduating here tonight - there are surely things you will miss about this Old World as well. Maybe you'll miss coming to school early and being surprised by free hot chocolate, or that third period teacher who would always let you turn in your assignments late. It might be that coach that never let you quit and always pushed you to your limits, or that gorgeous girl (or guy) that you got to sit next to freshman year. It could be walking with your best friend to class everyday, or that giant excuse of a bear that sits in front of the cafeteria. Wha tever it may be, we will all leave this place with something that we will miss and cherish forever, even if we don't fully realize what that is today. We will also leave behind a number of beloved teachers, counselors, and other staff persons - many of whom have had huge impacts on getting us here tonight. We will surely miss the... ...ves: whose advice do we take - Martin Luther King Jr.'s or Homer J. Simpson's? Do we put our brooms in the closet of futility and go inside and watch TV, or do we take them out and sweep like no sweeper has ever swept before? No matter where our passage takes us, we must navigate it to the best of our abilities, or we will fail. In conclusion, I will leave you with one last thought from the founder and President of Habitat for Humanity, Millard Fuller, who put it best when he said: "It's not your blue blood, your pedigree or your college degree. It's what you do with your life that counts." I would like to thank you all and congratulate you for surviving four years of my speeches and suffering the pangs of my voice on the announcements nearly everyday this year - but you have heard my voice for the last time so clap loud. Let's graduate. Thank you and God Bless.

Ancient Historians: Sparta.

Ancient historians reveal that Spartan society was something to be envied. (DISAGREE). Many ancient historians can agree that the Sparta, was an overall strong, well disciplined, sound governed, equal society, with hard working citizens and incredibly structured military forces. Some ancient historians, such as Thucydide and Plato, admired many aspects of the Spartans good order, and praised how well the Spartans system appeared to be working, whilst other historians, such as Aristotle, were extremely crucial of the Spartan system, and criticised their structure in many of their individual writings.Many claim Spartans system of government included monarchical, and democratic components,although it is acknowledged as being primarily oligarchy. The government structure consisted of, two kings, and unlike most kings, these two did not have absolute power as they shared the power with each other and they also had to answer to a council of elders, or the Gerousia. The Gerouisa was made up of 28 male citizens, all over the age of sixty, who once elected served for live.Below the Gerousia, was another assembly, the Apella. The Apella consisted of male citizens over the age of thirty. To complete the system of checks and balances, the Spartans created a judicial position called  ephor. At any given time, there were five citizens serving in this role. Ephors were citizens over the age of thirty. They were elected to serve one-year terms. Ephors possessed considerable clout. An ephor could bring charges against anyone in Sparta—including one the city-state’s kings.Whilst some historians believed this government system to be efficient, and a sure way to keep matters, and laws fair through-out Sparta, Aristotle disagreed with one judicial position in particular, the Euphors. On them he said ‘The Lacedaemonian constitution is defective in another point; I mean the Ephoralty. This magistracy has authority in the highest matters, but the Ephors are chose n from the whole people, and so the office is apt to fall into the hands of very poor men, who, being badly off, are open to bribes. Aristotle believed that electing men, of no status whatsoever, and giving them such a high state of power was unwise, as a man of no status would be more prone to corruption, including the accepting of bribes. He then states ‘There have been many examples at Sparta of this evil in former times; and quite recently, in the matter of the Andrians, certain of the Ephors who were bribed did their best to ruin the state’ Thus proving his above point, that the Ephors were more likely to be bribed, for their own wealthfare.Throughout majority of Greece, wives were acquired strictly for the production of legitimate heirs, providing food and were used for sexual pleasure. Husbands dominated and demeaned the women, and treated them as objects. Both wives and daughters of any citizen were excluded from all public and intellectual activities, they were kept inside and weren’t allowed to participate in leisure activities , receive an education, or eat as well as their brothers or husbands.Women could not inherit or own any land, and it was considered unwise to educate them. This wasn’t the case with women in Sparta, although they still had arranged marriages, they did not have the right to vote, and were honored most for their production of strong sons, the women still enjoyed status and rights that were exceptional in those times and were considered a scandal to the rest of the essentially misogynous ancient world. Aristotle, from rival Athens, seems to complain about the Spartan society throughout his writings.He is extremely critical of the Spartan system, especially of their emancipated women. â€Å"The license of the Lacedaemonian women defeats the intention of the Spartan constitution, and is adverse to the happiness of the state. † – Aristotle, [On the Lacedaemonian Constitution] In this statemen t, Aristotle believes that by making woman emancipated, this disadvantages men and gives women an opportunity to take advantage of the men, by manipulating and controlling them. .

Genetically Modified Foods: a Growing Concern Essay

Living in America, we sometimes forget what a huge problem malnutrition and starvation are in other parts of the world. It’s estimated that over 852 million people in the world are severely food deprived. Now, imagine a world where no one goes hungry, a farmer’s crop can survive a long drought or an early frost and still produce a large harvest, and harmful insects and weeds cannot survive in the same field as a crop. Imagine a world where malnutrition and vitamin deficiencies are a thing of the past, because the food we eat is so much more nutritious. Some scientists believe that, through new technology, this world could be a reality in our lifetime. I’m talking about genetically modified foods, or GM foods for short. People have been genetically altering foods for hundreds of years, but due to recent technological advancements, the potential of these foods have changed drastically. Many scientists believe that genetically modifying foods could help end world hunger while others say that it could result in human and environmental catastrophe. Although there are many potential risks there are also many potential benefits. Like the old saying goes, â€Å"with great power comes great responsibility. † Like almost all new technologies, genetically modified food technology needs to be closely monitored and evaluated as it progresses. Ultimately, genetically modified food technology has too much potential to be completely halted. So just what exactly is genetically modified food? In short, genetically modified foods are organisms that have had their DNA artificially changed to give them a new characteristic. Normally, these modifications are made to produce plants that are resistant to herbicides and pesticides, produce more food, have more nutrients, grow faster, or survive in harsher climates than usual. However, there have also been more unusual experiments done. According to American Scientist Magazine, a gene from a jellyfish has been spliced into plants to make them emit light. In another case the Monsanto Corporation (the largest genetically modified food company in the world) is developing grass seed that will produce different colored lawns. These altered organisms are commonly called genetically engineered, genetically modified, transgenic, or â€Å"Franken-foods†. Genetically engineered foods first went on the market in 1994. The product was a tomato engineered by a company called Calgene. The species of the tomato was called the FlavrSavr. Ironically, it was considered to have a mediocre flavor and never sold well. The FlavrSavr was a commercial failure and was off the market by 1997. Despite the early failure of the FlavrSavr, GM foods have flourished in the last ten years. Odds are you’ve eaten many genetically modified foods and not even known it. Currently, The Grocery Manufacturers of America estimate that 75% of processed foods in the U. S. contain at least one genetically modified ingredient. Although, genetically engineered foods have only been in production for the last 15 years, humans have been altering the DNA of plants for ages. For centuries, people have been using artificial selection to cross-breed plants. For example, broccoli, Brussels sprouts, and cabbage have all derived from the same species of mustard. However, the process of artificial selection is very difficult and time consuming. Artificial selection is also limited to only plants of similar species. Fortunately, recent advancements in technology have made it possible to move DNA from one species to another regardless of their differences. The process behind GM foods is very difficult and complex, so this is a very simplified explanation of how it works. There are two main methods of genetically modifying foods. The first method uses bacteria to modify the DNA. First, the scientist uses enzymes to cut the desired gene out of the DNA. The gene is then coupled by a promoter and a terminator, these act as signposts to show the beginning and the end of the desired gene. Next, the gene is inserted into section of DNA called a plasmid. The plasmid is then inserted into bacteria. Finally, the bacteria are used to infect the plant cells, where they transfer the gene into the plant cell’s chromosome. The second method is more advanced but also more expensive than the first method. Here, the desired gene is cut from the DNA then attached to a tiny particle of gold or tungsten. Next, the particles are shot into the plant cells using a particle gun or â€Å"biolistic† gun. Lastly, the desired gene falls off of the particle and attaches to the chromosome. After insertion is achieved, the cell is allowed to divide so it makes copies of itself. Once the plants start to grow, they are tested to see if the gene was successfully transferred. Along with the original desired gene, a marker gene is also implanted in the cell. This is used as an easily identifiable trait. This way, all the scientist needs to do is look for this trait and if it is there then they know the desired gene was transferred successfully too. Through those two methods, scientists have been able to do amazing things. The potential benefits of genetically modifying foods are incredible. First off, there are many obvious benefits for the farmer. Their crops will be better because of advantages like herbicide tolerance and insect resistance. Another thing is that GM crops are being altered to withstand harsher weather and generate more food. Also, the farmer doesn’t have to spray his field as much, cutting down on the amount of fuel he uses. It’s estimated that GM foods have indirectly allowed farmers to cut back by 475 million gallons of fuel over the past nine years, which cuts down on greenhouse gas emissions. There are even more benefits for the consumer. Because of increased production, there is more food, which in turn means cheaper food. Also, genetic engineering makes it possible for foods to taste better and be more nutritious. In fact, scientists at The University of Pittsburg School of Medicine recently engineered a pig that generates Omega-3 fatty acids. Omega-3’s are substances that help prevent cardiovascular disease. If this is approved by the FDA we could soon have pork that is actually good for your heart. Another group of scientists have created what they call â€Å"golden rice. † This is rice that contains beta carotene and vitamin A. Many nations rely heavily on rice as their main food source and this will immensely help those people get the nutrients they need. Another crop has been created that ripens much slower after being picked, so it can be shipped longer distances before rotting. Even with all of these benefits, genetically modified foods are still very controversial. Many people think GM foods are very dangerous and could result in human and environmental catastrophe. Some critics think that, much like bacteria that become resistant to antibiotics, insects could become resistant to the pesticides used on GM crops, making them more difficult to deal with in the future. Also, new plants could produce new allergens and toxins that the human body is unfamiliar with. The majority of GM foods being produced are resistant to herbicides. Researchers believe that this will cause farmers to use more herbicides on their crops. In turn, this could result in pollution that could be harmful to humans and the environment. Another concern is that, through cross-pollination, weeds and other plants could pick up the modified gene and become resistant to the very chemicals that are used to kill them. Although there seems to be many concerns over genetically modifying foods, no study has been done that shows any major risk associated with GM foods. The genetically modified food business continues to steadily grow despite public ignorance and uncertainty. Between 1996 and 2003 the amount of land being used to grow GM plants was increased by 40 times over. It is estimated that over 200 million acres of farm land are now devoted to growing GM plants. In 2000, only three countries made up for 98% of the global GM crop. America produces 68%, Argentina accounts for 23%, and Canada is responsible for 7%. Recently European governments and businesses have been pushing to boost their own GM food production. Nevertheless, according to a recent survey by The Pew Initiative on Food and Biotechnology, Americans are still very uncomfortable with GM foods. The survey showed that the majority of Americans know little to nothing about genetically engineered plants and animals, but it also showed that American consumers do not support banning the new technology, but rather want regulations put in place to ensure that the new products are safe. Regardless of how the public feels, we can expect to see more genetically modified foods in the future and exponential growth in the biotechnology business. Some ideas that developers have already mentioned are bananas that produce human vaccines against infectious diseases, fish that mature quicker, fruit and nut trees that mature quicker, and plants that produce new plastics that have unique properties. As soon as more long-term research is done we can expect to see an explosion of unique new GM products on the market. Ultimately, genetically modified plant technology has too much potential to be completely halted. Right now, most scientists agree that there is no proof that GM foods pose any threat to people or the environment. With proper evaluation and responsibility, genetically modified foods could help solve world hunger. That is a goal too great to be ignored because of possible threats. There are many potential risks associated with GM foods, but the potential benefits far outweigh them. Works Cited Black, Richard. â€Å"Europe Urged to Embrace GM Foods. † BBC News. 12 Sept. 2004. 15 April 2006 . Chaudry, Arshad. â€Å"Genetically Modified Foods. † BioTeach. 16 April. 2006 . Eat This. † Penn & Teller: Bullshit!. Dir. Mark Wolper. Perf. Pen Jillette and Teller. 2003. DVD. Showtime Entertainment. 2004. Fagan Ph. D. , John B. â€Å"Genetically Engineered Food- a Serious Health Risk. † NetLink. 15 April 2006 . 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