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Profiting the Crown - Notes

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Submitted By fshafiq
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Profiting the Crown
Chapter 1 – Poor by Nature * Natural rubber: discovered by Europeans in the “New World” * Goodyear’s discovery of mixing rubber with sulphur and applying heat (made it resistant to temperature) * Became widely used in a variety of industries in Western world; at home and in factories (6-7) * Natural rubber trees only grew in warm, wet climates – not ideal for Canada, had to import from many foreign regions (7-8) * Usage of rubber grew within Canada exponentially (8-9) * Rubber manufacturing began after First World War, mainly footwear + clothing (9) * Experienced rapid growth within the industry in first two decades (10) * Consolidated Rubber Company (1906) founded by Max Aitken, combining six leading rubber plants amalgamation (10) * American rubber companies moved into Canada – accounted for 2/3 (11) * Tariffs played vital role in market – limited imports and were aimed to increase national levels or production + promote self sufficiency (11) * Americans built subsidiaries in Canada to avoid tariff (11) * Rubber industry increasingly centralized, foreign-owned + controlled (11) * Canadian rubber industry expanded significantly prior to second world war (12) * Prewar period (WWII) + consumption of cars made rubber industry a necessity (12) * Dunlop invented air + rubber tire (1849) – very successful (13) * Rubber still imported from overseas – created very high expenses (13) * Massive scientific advancements worldwide during WWII (14-20) * Huge attempts at creating a domestic supply of rubber (15) * Had many minor successes – nothing that levelled up to natural rubber (20) * Canada still 100% dependent on foreign forms of rubber, natural and synthetic (22)
Chapter 2 – Birth of the Industry * Dec 1941 – Japan invaded + gained control of a lot of Allied rubber supply (23) * Japanese control of rubber left only enough left in other sources to accommodate for 8% of world’s needs (24) * Ottawa decided to give birth to new synthetic rubber industry – highly risky business (24) * Extensive plans created to build sufficient factories to undertake venture (24) * Prewar – no rubber consumed in Canada was synthetic * Postwar – 90% of rubber consumed synthetic (25) * Rubber industry owed to American born CD Howe (25-27) * In charge of Department of Munitions and Supply – almost dictator-like control (27) * Faced problem of lack of rubber supply – essential to Canada’s wartime participation (28) * Use of rubber for anything but wartime supplies prohibited (29) * Rubber Conservation Committee suggested scrap rubber collection (29) * Searched for opportunities of local rubber plants; not very hopeful (30) * Nicholson – proposed idea of synthetic rubber industry within Canada (31) * Widespread confusion about producing rubber industrially, seemed impossible (32) * Industry was created in Sarnia for various factors (32) * Created as Crown corporation – run + evaluated by government, for the public (33) * New methodology of large scale government intervention; Crown corporations consistent to belief (33) * CBC created, air transportation, national harbours, wheat marketing, central banking, etc. all brought under public control * 28 Crown Corporations established during war by Howe (34) * Feb. 1942 – Polymer Corporation established (35) * Not entitled to any assets – were held in the name of the Crown (35) * Faced many challenges in finding how to create synthetic rubber; had no technological knowledge (36) * Brought factors together from many industries: Dow Chemicals, Imperial Oil, Goodyear, Firestone, Dominion Rubber (37) * Goodyear, Firestone, Dominion Rubber created Canadian Synthetic Rubber Company (CSR) (37) * Structure mimicked other wartime effort industries (37) * Collection of people to run the corporation (39-41) * 1942 – set ups arranging beginning of construction (41) * Biggest problem that presented itself – still the production of rubber and material * Lack of technological knowledge (42) * 9057619733 * Anything necessary for production of rubber was a priority to the industry – held precedence over all other consumer (43) * Project delayed due to lack of resources during wartime (43) * Shortage of petroleum in North America led to officials considering other options, mainly alcohol (43) * Economic and political feasibility played a factor as well as technological (44) * Howe decided against using alcohol as base – not enough evidence to support its feasibility and reliability (48) * $50 million put in project – single most costly wartime effort with a lot at stake (48) * Change in presidency at Polymer Corporation (50) * Polymer not placed on top ranked in priorities for wartime efforts (52) * Roger Hatch played vital role in gathering materials necessary for Polymer (53) * 1943: plants were substantially completed (53) * Sept. 1943 – first producing unit begins operating without hitch (53) * Feb. 1944 – plants completed, five year task accomplished in two (53) * Represented Canada’s rapid development of industry, fast paced wartime effort (53) * Initial strategy – produce as much rubber as possible, quantity > quality (54) * Made enough to avoid shortage, and by the end of war produced enough to sustain Canada and exported to USA (54) * “Polymer… Has kept Canada in the war” (55) * Focused on large scale production of rubber to win the war (56)

Chapter 3: War and Peace * War price of building plant almost double that of peacetime (57) * Plant seen with pride for all Canadians – symbol of effort and prosperity (57) * Confusion about future of the plant in the postwar period (58) * Did not want history to repeat itself (post WWI – depression) (58) * Natural rubber expected to re-dominate the market (59) * Had many unplanned managerial problems (60) * Without a postwar market for 2/3 of capacity * Structure designed to accommodate tightly regulated wartime production * Unable to compete aggressively in free-market economy * No sector for research and development * Many people willing to volunteer in wartime returned to own niches (60) * No business strategy or corporate structure to realize objectives (60) * Arguments made to privative Polymer (60) * Efforts made to avoid post-war slump and depression – Keynesian (61) * Government intervention led to a stable economy, no downfall after war (62) * In 30 years, Canada had grown from mainly reliant on primary resources to processing goods (63) * Crown corporations sold off to private owners, only three remained – one of which, Polymer (65) * Purpose: to create a profit, Howe had a very hands off approach (66) * Benefits (66): * Create exports to leave Canada – would benefit economy * Would become cornerstone to petrochemical industry in the future * Many companies built factories in Sarnia to partner/work with Polymer (67) * USA: plants were shut down or sold off, opposite to Polymer (68) * Employed thousands of people directly and indirectly, was not sold off (68) * Shift must be made from production to product oriented enterprise (69) * 3 key elements (69) * must develop export markets for synthetic rubber * must develop a greater variety of products to meet needs of peacetime consumers + reduce cost of existent ones * must increase sales of by-products of synthetic rubber production to break dependency on staple oriented production * 1944 – research department developed (72) * Canadian economy heavily based on knowledge and science (72) * 1951 – R + D employed 100+ chemists (72) * Attempted to find a more sustainable and cheap rubber (72) * Created a better form of butyl by using oil along with it to reduce cracking and damage during winter months (73) * 1947 – government control of rubber industry ended after 5 years (76) * Polymer afraid of results of decentralization – wanted government to hold control (77) * Howe’s standpoint – would either profit or perish on its own (77) * Wartime natural rubber usage ban lifted in April 1947 * Synthetic rubber was not abandoned – consumers understood its long term security (78) * Change in market dynamics since WWII (79) * 1948-48: worst economic year for Polymer (79) * Saved by recent production of by-products (79) * Four countries producing rubber (Russia, Germany, Canada, USA) – only one capable of catering to international market needs – Canada (80) * Faced challenges from the Europeans – did not assimilate to using synthetic rubber easily, connected it to wartime shortages (81) * Another problem faced – postwar Europe did not have enough hard currency to make purchases (82) * Marshall plan – USA aiding Europe by providing them with money to make purchases to build up economy, $1.155 billion spent in Canadian industries (82) * European market grew from 3-25% in 4 years (82) * Fierce competition from natural rubber industries (83) * Korean war provided a large market for Canadian war-based products, especially rubber (83) * Supply of natural rubber couldn’t fulfill all the needs – natural rubber supply fairly inelastic in comparison to synthetic rubber (83) * Largest profit achieved 1951 (84) * Canadian companies felt entitled to being sold to first, before foreign market (84) * Board of directors had different approach – felt entitled to supply to foreign countries as they had been essential to success of postwar period (84) * Caught between pleasing foreign markets or accommodating domestic ones (85) * Chose to ignore domestic customers’ pleas and distribute their product as they saw fit (85) * Chose to follow profit over politics – adopted a business mindset (85)

Chapter 4 – The Prosperous Years * Foreign investors added to value of company (87) * Economy soared – economic grown >4.5% each year (87) * Sarnia became industrial hub (88) * Oil companies built a plant in Sarnia in proximity with Polymer (88) * 1949-69: Polymer’s prosperous years (89) * JD Barrington (Polymer’s new president) felt no need to change any strategies (89) * Technological innovation allowed for faster paced growth and production (89) * Sales almost doubled, Polymer accounted for 1/10 of world rubber production (89) * Engineers developed new methods to create rubber – added to value (90) * Change in presidency led to even more prosperity (90) * Presidency and seniority selected on ability as opposed to knowledge (91) * Hardly any changes made by Barrington – didn’t want to jeopardize success (92) * Polymer’s external operating companies terminated in 1951 (92) * Economically, managerially, and privately viable (93) * Fully controlled all facilities and aspects/steps of creating rubber (93) * All assets of the plant transferred from Crown to Polymer in 1952 (93) * Created a steady financial footing for Polymer – did not rely on government for working capital and assets (93) * Shift from production oriented industry for government during wartime to product oriented industry competing in worldwide consumer oriented market economy (94) * Trade off – government gave assets to Polymer, Polymer gave stocks and cash to government (94) * Provided Polymer with additional freedom to manoeuvres as they wish * Freedom from rigid framework of government, but still maintain public policy (95) * Financial Administrations Act – created a standard of financial behaviour for Crown corporations, ensuring standards would remain after liberals + Howe were no longer in power ( * 1950s – people had money to spend, high consumer demand leading to massive shopping malls * Critical emphasis placed on domestic as well as international demand (97) * Mass advertising lead to a world of consumption and commerce * Advertising campaign launched for Polymer to “generate goodwill for the company and its products” * Campaign helped aid worldwide ignorance and resistance to synthetic products, reinvented perception of synthetic goods to objects of modernity guaranteeing better lifestyles (98) * 50s were a time where people were looking to relieve their pent up yearning for things they wanted (due to war and depression) (100) * Levels of consumption in Canada increased dramatically * Dreams of house ownership followed by car ownership took the lead (101) * Demand/increased consumption of cars created increased demand for rubber (102) * Consumption increased domestically (almost doubled) due to fierce pricing strategy * High importance placed on R&D departments – continuous prosperity (103) * In USA – R&D for government; with no monetary incentive, it failed (104) * Polymer accounted for 3 major innovations in rubber * Could not afford to follow through with all plans – had to pick + choose R&D projects * Driving force behind R&D – profit motive (105) * Combination of economics and science/technology to create brighter future * Differences in management b/w Polymer and other corporations (Du Pont – 106) * No hierarchy in Polymer, chemists free to pursue problem of choice * Collaboration and sharing of information essential * Free exchange of ideas between chemists * Attempted to find many PhDs to help research – difficult * Still no competition for companies such as Du Pont with major R&D departments * Focused energy on bettering rubber used in automobile tires * Used technology and developments from Germany after it lost the war (107) * Found a way to polymerize rubber at a lower temperature (108) * Combined Intelligence Objectives Sub-committee (CIOS) established, responsible for getting knowledge and science out of Germany (109) * Rowzee send to Germany to investigate synthetic rubber industry in April 1945 * Investigated IG Farben’s rubber complex (110) * Came to conclusion: Polymer was already producing rubber superior to Germans * Admitted Germans excelled in a few areas * Infrastructure in Germany exceeded any research laboratory in NA * Impressed by equipment * Operation to bring German equipment and technology to Canada (111) * Found a lot of other information as well – pharmaceuticals, optics, synthetic fuel, etc. * Finally found method to produce “cold rubber” * Not ideal for carmakers and tire industry - processing was difficult and no cheaper * New method developed to create a more malleable rubber (112) * Not beneficial to Goodrich (a part of USA government subsidized program) – Pfau left and joined General Tire * Polymer hired as plant for production of cold rubber – close relationship (113) * Lowered price of final product, and was easy to handle in rubber factories * 12 years after WWII most prosperous in research and development * Polymer gained reputation in Europe as reliable and efficient (114) * June 1951 – Nicholson resigned as exec vice-president, a very significant change * Led to Polymer sending reps to Europe to ensure the company’s values would not change (115) * Lessened exports to USA to account for high European demand * Success in Europe due to three factors: * Western Europe economy in 1950 booming * Polymer facing little to no competition (116) * Innovation – increased output * 1957 – political tide turned against Liberal party, defeated in June * 1951-57 – “The Prosperous Years” (under Barrington’s presidency)

Chapter 5 – Growth and Multinationalization * Expansion abroad became growth strategy for many industries during 50-60s (119) * Emphasis placed on increasing scale, diversity, and expansion of scope (120) * Competition had increased by mid-50s – American companies in Europe * 1960 – Rowzee changed Polymer’s strategic vision (121) * Focus on preventing internal decay – more of a threat than external factors (122) * Worldwide rubber industry expanding everywhere – Polymer had to keep up * Rowzee recommended creating plants worldwide close to export locations * Cost of transportation increasing – inefficient to export (123) * No Crown corporation ever before created a plant outside of Canada – solely based on commercial purpose (no public policy implemented) * Did not have enough cash flow to build such a plant even in 5 years – needed to partner with a foreign, privately owned company – PROBLEM (124) * Rowzee – suggests private ownership of Polymer to lead to further success (125) * Many companies willing to buy Polymer – possibility of privatization * Reps in 70 nations, continuously sent high skilled reps to build relations (126) * Extreme expansion between 1944-61; considered Canada’s most successful Crown * Government change in 1957 – Diefenbaker’s Conservative gov’t in power * Raymond O’Hurley in charge of Polymer as minister of defence production (127) * Conservatives expected to sell Polymer asap after winning election (128) * Many companies willing to purchase Polymer, but government decided not to sell (129) * Rejected Barrington’s $75 million offer, and all other companies * Development of Polymer becoming essential – gov’t showed no interest in adding capital to it (130) * Rowzee’s suggestion in 1960 turned down by one member of board of directors, backed up by local unions * Polymer’s board of directors supported Rowzee – got his wish * Had to be examined by Cabinet committee (131) * Feared increase in unemployment, directly opposing promises gov’t had made (132) * Cabinet voted for privatization, had some conditions to approval (133) * Polymer not sold – decided to delay any concrete decision about privatization (134) * Another choice of joint ownership – 25% gov’t, 25% public, 50% domestic industry * Could cause many problems with decision making (135) * Decided to publicize possibility of Polymer’s privatization to see reactions * Came to conclusion about Rowzee’s plan to expand – saw it necessary (136) * Built a plant in France – Polymer’s largest export country, for $12 million (137) * Banque de Paris et Pays Bas 5% shareholder – aided in gov’t approvals * Demand for butyl rubber increased again – Polymer supply dropped from 29 to 15% worldwide * Fierce competition from Esso – growing and innovating uses of butyl rubber (138) * Duopoly in butyl rubber b/w Polymer and Esso – complicated production process limited competition * Shared know how with other industries on other types of rubber production * Decided to build plant in Belgium to produce butyl rubber – cheaper than UK (140) * Belgium gov’t offering loans to companies to build with 2.5% interest * Did not need outside shareholders to influence expansion * 1962 – Polysar International SA (PISA) established in Switzerland to market products outside NA * Roger Hatch appointed head of international marketing organization * Structure aided Polymer in saving ~$4 million a year in taxes (141) * 1952 – Germans announced new method of polymerization of ethylene, propylene, and other olefins at lower pressures * Ziegler sold his ideas (short term) for very high rates (142) * Buckler decided Ziegler’s discoveries not of direct interest to Polymer * Goodrich-Gulf found a method to create a synthetic rubber almost identical to the natural substance (143) * Advancements being made worldwide – tire business very risky * Took license from Goodrich-Gulf for catalyst to make polybutadiene (not Phillips Petroleum) * Before production, obtained information that polybutadiene was difficult to mix and extrude in factory (144) * Found a solution to create passenger tires * Growing interest in expanding company’s scope and diversifying into other areas * Even after expansion, net income did not increase as planned (145) * Sales increasing, selling prices steady * Rising costs + surplus world capacity * Investment in inventories grew * Increased cost of debt financing (146) * Net income of Polymer decreased to lowest in many years ($5.8 million) * Growth program success in long term, just not yet

Chapter 6 – Diversification and Denationalization * Trend emerged to diversify into related and unrelated fields (147) * Single businesses and specialized firm became rare * General idea that expansion and diversification led to increased profits (148) * Had to be smart about diversification, could easily lead to failure, ie, Du Pont (149) * 1980s – decreasing trend of diversification due to problems faced by many * Profit levels in rubber industry declining – excess supply (150) * Net income decreasing for Polymer – higher costs, declining price * Sales increasing, profit decreasing (151) * Initial solution – continually cutting costs to increase profit margins * Decided to expand into new areas of production to guarantee survival in 1969 (152) * Synthetic rubber industry assumed to have reached maturity overall (153) * Assumption that R&D was no longer enough * Recommendation made by Ackerman to cut costs, develop systems to upgrade products, and diversify and expand (154) * Urged diversification into related and unrelated fields for maximum profits * Goal to reach 50/50 mix of rubber-nonrubber sales within 10 years (155) * A lot of competitors of Polymer already begun diversifying nearly a decade in advance (156) * Choosing to diversify between plastic systems, housing systems, computers, environmental controls, and pharmaceuticals (157) * Decided to expand into housing systems * Bought a 13 stake in Stressed Structures Inc (SSI) and licensed technology for use in Canada and Europe (159) * Had many problems right from the start * Late delivery of key equipment delayed start-up of plant in Milton * Factory operating problems followed in 1972 when plant was built * Technology was turning out to be fundamentally flawed (160) * New objective created during 1973 – had suffered substantial losses * Demand for housing fell over the decade (161) * Fixed costs by Polymer limited downsizing possibilities – Polymer was stuck * Decision made to pull out of housing systems business after four years * Cost Polymer $20 million in losses * Decided to diversify into information-processing field * Spent $3.25 million to gain 50% share in Com-Share and expand operations to Europe * Expansion through acquisition – gain plants and markets of existing firms (162) * Overestimation of Canadian demand for Com-Share’s services * Created loss of $700 000+ in 1970; another failure * Both diversification ventures failed, created loss in rubber industry as well (163) * Many basic products had been cut in the drive of diversification (164) * 300 scientists laid off in Polymer by Rush, who had taken over presidency from Rowzee in 1971 * 1971 – structure of firm rearranged, more decentralized (165) * Lowered overall costs, but weakened communication links + compromised core competency (166) * 1971 – CDC created to prevent Canadian companies from falling into foreign hands * Government attempts to limit foreign direct investments and promote Canadian control of domestic industry * Many debates between pros and cons and effects of gov’t intervention (170) * Company owned 47% by gov’t and 53% by private investors * Idea opposed by many – shareholders could be of different heritages – not necessarily Canadian (171) * Involved taking a public company and handing it to few shareholders * Board of directors at Polymer supported being sold to CDC – were unsure however, about degree of independence that would be granted to them (172) * Initially withheld support from being sold due to vagueness in terms, but eventually supported the idea when in need of finances for diversification in 1972 (173) * Assured by gov’t and CDC that there would be limited interference * Market value had dropped, needed to sell to generate capital necessary for further diversification and expansion * Sold to CDC in July 1972, Hampson (chairman of CDC) joined Polymer’s exec committee in August (174) * Butadiene becoming increasingly expensive to produce – losing market share (175) * Decided to expand operations to allow for greater + cheaper output * Company was changing strategically, managerially, and structurally * Changed name to Polysar Ltd in 1973 to show transformation * 1974 – Petrosar established between 4 companies to produce petrochemicals on Canadian land (176) * Was a huge failure, cost Polysar millions of dollars * Investments grew, along with losses * PISA accused of fraudulent behaviour in Europe extending back to 1970s * Some execs of Polysar aware of behaviour, did nothing to stop it * Others had no clue what was going on * Matter hidden from shareholders until 1976 (178) * Government accused of having no control of its corporations – put under auditors eyes (180) * Expansion and diversification process had cost Polymer many opportunities (181) * Sales had tripled, yet profit had not increased significantly

Chapter 7 – Back to Basics * Many firms went “back to basics” (183) * Expansion into unrelated areas caused losses and drop in shortage of profitability * Lost sight of main purpose of industry – Polymer moved away from developing polymeric materials * Alberta government decided to build plants for production of ammonia, methanol, and ethylene derivatives (188) * By 1893 – Polymer once again largest rubber producer in the world * Robert Dudley – replaced Ian Rush as president (1981) * Four divisions created – basic petrochemicals, rubber, diversified products, and Asia-Pacific group (189) * Formed joint venture with China – Shanghai Gao Qiao-Polysar Company oversaw production of latex rubber * R&D departments had suffered significantly during diversification period * Shifted back from relying on others for technology to focusing on own R&D (190) * Dudley developed new type of rubber ideal for lining tires (192) * Held strong belief in R&D, increased funds year after year while downsizing other departments * Huge negative impact by Petrosar – limited potential of Polymer significantly (194) * Bought out Petrosar in an attempt to aid it * Invested a lot of money to help it grow and reach potential * NEP limited success of company * CDC changed to Polysar Ltd under new management, benefitted company significantly (199) * Many government organizations “out of control” – were expanding and downsizing without gov’t consent (200) * Many organizations privatized – Polymer kept under CDC control * CDC sold off to private owners, feared hostile takeover (203) * Bob Blair – purchased many stocks of Polysar with ultimate goal of control * Nova eventually bought Polysar at $20.31/share (207) * Many differences between Nova and Polymer (208) * Nova under heavy financial strain after purchasing Polysar * Decided to sell Polymer for financial gain (209) * Polymer sold to Bayer (Germany) by Blair in 1990 (210) * Still producing rubber, suffered losses in 1990s (211)

Conclusion * Many Crown companies accused of destroying Canadian economy * Polymer stands out – aided Canada through all its methods * Produced to aid nation – did so throughout WWII * Changed goal to producing profit shortly afterwards *…...

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...Criminal Law Exam Notes Contents EXTENDING CRIMINAL LIABILTY PARTICIPATION & ATTEMPT 11 Complicity 11 Accessory after the act (s347) 12 Joint Criminal Enterprise (acting in concert) 12 Doctrine of Innocent Agency 13 Accessories Before the Fact & Principals of the Second Degree 14 Actus Reus 14 Mens Rea 16 Doctrine of Common Purpose 16 ATTEMPT 20 Mens Rea (Heavily dependent on MR). 21 Actus Reus 21 LARCENY 24 Actus Reus 24 a. Taking & Carrying Away 24 b. Property Capable of Being Stolen 24 c. Property in Someone Else’s Possession 25 Abandoned by owner 26 d. Without Consent of the Person in Possession 26 Mens Rea 28 1. Intent to Deprive Permanently 28 2. Without a Claim of Right Made in Good Faith (bona fide) 30 3. Fraudulently 31 Temporal Coincidence 33 Larceny by Finding 33 Larceny by Trick 34 Larceny as a Bailee 38 ASSAULT 41 Degree of Injury 41 Common Assault 42 a. Psychic Assault 42 b. Battery 44 Mens Rea 47 Intentional Assault 47 Reckless Assault 47 Negligence 48 Aggravated Assault 48 a. Assault Occasioning Actual Bodily Harm (ABH) (section 59) 49 b. Reckless GBH or Wounding (section 35) 50 c. Maliciously Wounding/GBH with Intention to Inflict GBH (section 33) 51 SEXUAL ASSAULT 54 Actus Reus 54 a. Sexual Intercourse 54 b. Absence of Consent 55 Common law Rules 57 o Doctrine of marital immunity abolished at common law (L 1991) and under statute (s61T(a)......

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Crown

...Crown Cork & Seal in 1989 Teaching Note I introduce the class by remarking that John Connelly ran Crown Cork & Seal for over 30 years and followed essentially the same strategy for the entire period. The total return to shareholders over the 32-year period was just under 20% compounded. Now that Connelly has stepped down as CEO and given control to William Avery, is it finally time for a change? I begin by asking what are the key strategic issues facing Avery in the summer of 1989. Question 1. What are the key strategic issues that Avery needs to consider? What strategic options are open to him? Here I just want to develop the list and save the analysis of the issues until the end of class. The list of issues should include some of the following: (1) The old Continental Can is apparently for sale either in whole or in part. Should Avery consider bidding on some or all of the business? (2) Metal containers are very slow-growth and plastics is forecast to make significant inroads. Should Avery consider entering plastics? If so, in what segments, and should they build their capability or acquire someone? Who? (3) Expand the product line to a full line of metal containers, not so focused on beverage and aerosol? (4) Diversify into other packaging materials and product categories? (5) Diversify into other less-related businesses? (6) Exit, or sell the business? How should we go about addressing these issues? Presumably we should analyze the......

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Crown

...Crown Corporation: 대규모투자의 자 금 조달 1969년 2월, 크라운 사의 자금 담당자 월터 베넷은 몇 가지 투자자금 조달방안을 고려 중이다. 크라운 사는 지금 기초알루미늄괴(Primary Aluminum Ingot) 생산공장을 세 워 이 전방 생산공정을 기존의 후방공정과 통합시키는 작업을 결정하였다. 이 투자 결 정은 대규모의 자본 지출을 요구한다. 크라운 사는 전방과 후방의 공정 통합으로 일괄생산체제를 구축하여 전반적인 효율성을 크게 증대시킬 수 있다고 믿고 있다. 대 규모 기초알루미늄괴 공장은 에아스탈코(Eastalco)라 명명되었고 이 공장의 완성을 위해 필요한 자금과 운전자본은 현재 회사가 보유하고 있는 현금 보유액을 초과하고 있 다. 우선 1969년도 자금 부족분을 충족시키기 위해 $30M를 6개월 이내에 조달하여야 한다. 베넷은 이런 투자결정이 배당감소로 이어져서는 안 된다고 믿고 있으며 회사의 주당 70Cent 배당률은 유지한다는 가정하에 즉각적이고 장기적인 자금 조달이 이뤄지기를 희망하고 있다. 크라운사 소개 원래 광산회사이던 크라운 사는 1960년대 넉넉한 자금을 이용하여 알루미늄 관련사 등을 M&A하여 그 후 항공기 및 산업용 소비 목적의 초합금 주물(Super Alloy Castings) 과 건물, 포장, 항공산업에 사용되는 알루미늄제품(Aluminum Fabricated Products)의 생 산업체로 탈바꿈했다. 현재 크라운 사의 매출은 크게 주물과 알루미늄제품에 반반 씩 의존하고 있다. 우선 매출의 반을 차지하는 크라운 사의 주물 생산품은 고온의 가스 터빈 엔진에서 도 잘 견딜 수 있도록 설계되었다. 대부분의 설계는 비행기 엔진 제조업자에 의해 미리 설계된 것이며 크라운 사는 이를 가지고 작업에 착수하게 된다. 비행기 제조업체 들은 더 큰 추진력을 엔진작동온도도 얻기 위해 엔진을 더욱 고성능화할 것을 요구하였으며, 이에 따라 화씨 2,150도로 높아 졌다. 따라서 크라운 사의 주물 생산품 들은 이 온도에서 제대로 작동 되어야만 했다. 고온은 터빈의 날개와 날개의 날 에 대한 정밀한 주물의 사용을 요구한다. Crown Corporation: 투자자금 조달사례 1 따라서 주물 작업과 관련하여 고도의 기술과 노하우가 요구되었으며, 주물사업의 성공여부는 다분히 까다로운 기준의 충족과 낮은 불량률의 달성에 달려있다고 볼 수 있 다. 크라운 사는 이를 충족시켰으며, 크라운 사의 품질관리와 기술에 대한 우월성과 이를 달성하기 위한 꾸준한 노력은 고객들로부터 신뢰를 쌓아 나가기에 충분했다. 크라 운 사의 성능과 품질에 대한 엄격한 기준 유지와 노력은 크라운 사가 지난 10년간 미국 제트엔진 프로그램 대부분에 참가할 수 있었던 원동력이었다 표 A. 크라운의 기초 알루미늄 소비, 생산, 매출 실 (단위: 백만......

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...and Ball Corporation. * This is basically a low-growth, capital-intensive, somewhat cyclical, commodity product industry. * Margins have fallen significantly in the recent past as raw material prices rose and rivals were unable to pass on cost increases to customers. * High capital costs relative to variable costs require volume to support high-capacity utilization; hence, pressure on prices. To lower costs, managers sought long runs of standard items, which increased capacity utilization and reduced the need for costly changeovers. As a result, most companies offered volume discounts to encourage large orders. * Is there some way to differentiate yourself? Service may be possible and there is some evidence that Crown Cork provides superior service in the form of helping to solve customers problems. It does not appear, however, that a price premium can be obtained for this service. Customers buy primarily based on price. All suppliers provide just-in-time inventory, and product quality is a strategic necessity in the sense that customers will not pay extra for exceeding the standards. Buyers punish suppliers for poor delivery and service. * Reynolds was instrumental in establishing new uses for the aluminum can and was a world leader in can-making technology. Reynolds’ developments included high-speed can-forming machinery with capabilities in excess of 400 cans per minute, faster inspection equipment (operating at speeds of up to 2,000......

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Crowns

...Literature Project Dental Lab Procedures Crowns A crown is a tooth shaped cap that is put on over the tooth to restore the size and the strength of that tooth. When the crown is cemented into place it appears as the original tooth above the gum line. Crowns are great options for those weak teeth that sometimes we have no control over. Most crowns require two visits. The first visit the dentist will prepare the tooth and make the temporary. On the second visit, the patient receives the crown for fitting. For the all porcelain crowns, depending on the technology in the office, it takes one day. In that one day the tooth is prepared, and with a special machine, the crown can be made in the office. Therefore, there is no need for a temporary. There are many reasons a crown may be needed. One reason is to protect a weak tooth, possibly from decay. Another reason is to restore a broken tooth. Also they are needed to cover a tooth with a large filling, to hold a bridge in place, to cover discolored teeth, and to cover an implant. Along with the various needs for a crown, there are a variety of types. These permanent crowns can be all metal, porcelain-fused-to metal, all resin, or all ceramic. The metal crowns are composed of gold alloy, other alloys, or a base-metal alloy. For this type of crown, less tooth structure needs to be removed and the wearing of the opposing teeth is kept to a minimum. This type of crown probably lasts the longest in terms of......

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