September 15, 2015

Do We Need National Labor Relation Act?

The National Labor Relation Act or Wagner Act was passed in 1935 during the tenure of President Roosevelt with the aims of empowering the workers of manufacturing sector mainly. This act covers the workers at lower echelon of the hierarchy and the laborers mainly who have lower bargaining power to negotiate with the management. Continue reading

September 14, 2015


For decades there have been some forms or other forms of accounting and financial reporting across the world. Different countries have different accounting and financial reporting standards. These different accounting standards define and recognize assets and liabilities as well as costs and benefits in very different ways and these different definitions makes result into different values for different items. In many countries liabilities and costs are recognized in as such a way that they end mixing up things. In the same ways assets and benefits too are treated differently in different countries. These practices lead to huge differences in the values of assets and liabilities and costs and benefits[1]. Continue reading

September 13, 2015

What is Economic Interest Group Theory

It often happen that a few industry players end up getting favours from the government by liaison and campaigning and this end up ignoring the interest large group small players in unorganized sectors of the industry. So it becomes important for the government to respond to the interests of this large group of players. For this purpose the government comes up with new laws and provisions that are helpful to the small players in the industry and having right kind the control over the few big firms in the market. This practice strengthen government efforts at bringing more transparency and availability of vital and critical information regarding the social and environment costs and efforts made by the big corporations. This results into a discriminatory positive policy and regulatory response from the government that at the same time ensures and protects the interests of the large number of small players and bringing in right kind of information about the activities and costs relating to social and environment causes as well as efforts by the industry players. Continue reading

September 12, 2015

What is Capture Theory?

According to the capture theory a government agency that is established to regulate the industry to protect and benefit the society ends up acting for the interests and benefits of the industry instead. In other words the government agency is captured by the industry players. The regulations that are aimed at bringing more transparency and disclosure is helpful according to capture theory as the industry regulator is empowered to notify guidelines and directions to industry players and can take required actions for reinforcing the same and can punish the defaulting members of the industry. Continue reading

September 11, 2015

What is Public Interest Theory?

There has been a practice by the corporations of ignoring most of aspects relating other stakeholders and only concentrating on the financial performances. But the ignorance to the other aspects has huge cost on the society and public at large. There are huge costs relating to environment, society and other aspects that are often ignored but these needs to be taken care of properly there are some organizations that are found to be engaged in the socially responsible activities but this goes unnoticed because these efforts are not disclosed in annual reports in the same ways the financial performances are presented. So the government should come up with a regulation that makes it imperative to include the activities and costs that is borne by the environment and society to keep the organization going. Continue reading

September 1, 2015

Self Esteem

Self esteem is an expression of one’s perceptions regarding the convictions and confidence in what one can do and is worthy of. It is evaluated by the level of confidence in the applicant regarding the required skills and education to complete the job in the most effective and efficient manner. The applicants with high level of self esteem answer the question by using phrase I can than any other phrases like I believe or I do. When a candidate is confident of him performing duties and possessing the required skills then only answers with phrase I can. Apart from the confidence, it is body language as well as the facial expressions while discussing or talking about the skills also help in evaluating the self esteem level of the candidates. Besides the above mentioned ways, there is better way to evaluate the self esteem. The self esteem can be evaluated by using self esteem test consisting of questionnaires regarding skills and many other aspects of job as well as previous experiences. Continue reading

August 31, 2015

Why to Implement International Financial Reporting Standards

Many economies have accepted IFRS. So many companies across world have implemented IFRS and have started reporting according to the IFRS. The implementation to the IFRS results into huge benefits for the company. These benefits come in many ways and forms. These have huge impact on the competitiveness of the companies as well as it offers huge opportunities to the companies. This also provides better options for the finances. These benefits of implementation and reasons to implement these IFRS can be summarized as below: Continue reading

August 31, 2015

Clan Control

The four functions of the management are planning, organizing, leading and staffing. All these four functions are meant for an efficient performance of the system or organization. While practicing these four functions there is need for ensuring that everything remains in the given or expected range and the outcome of all actions is expected. To ensure the alignment to expected values or range there is need for controlling these activities so that goals are met and no function of these four functions tends to dominate or encroach in others territory. Continue reading

August 30, 2015

International Financial Reporting Standards

There are huge and widespread discussions in the fraternity of the accounting and financial management about the consequences and implications of the acceptance of the International Financial Reporting Standards issued by the IASB as new world order for the accounting practices across the world. IASB has been lobbying and trying to convince and bring all the nations on the discussion table to discuss and adapt to this new financial and accounting reporting practices across the world as a homogeneous practice to help investors to decide accurately. Critics across the world are criticizing this process of standardization of accounting practices. Instead they are demanding for harmonization of financial reporting across the world to take care of the special needs of the needy nations. So a lot of controversy is there on this issue. It is important that there is no suspicion about the benefits or possible losses from the adaptation to IFRS. Continue reading

August 30, 2015

Variables Affecting Investment Decisions

There are many variables that investors consider when making an investment decision. But two variables Expected return and market conditions are the most important in the decision-making process. The reason for the importance can be summarized as below: Continue reading


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