Financial Ratio Analysis Performance Report Essay

1.0 Executive Summary This report provides an analysis and compare of the current profitability, efficiency and financial stability of Premier Investments Ltd and David Jones Ltd over last 2 years. Methods of analysis include trend, horizontal and vertical analyses as well as ratios such as Gross Net profit margin, Inventory turnover and Current ratios. All calculations can be found in the appendices. Results of data analysed show that David Jones Ltd have better performance and is more stability than Premier Investments Ltd. In particular, Premier Investments Ltd’s profit had dropped almos half than the year before.The report finds the prospects of both companies in their current position are pretty positive. The major areas of†¦show more content†¦Premier Investment’s Gross Profit Margin has increased slightly from 59.09% in 2010 to 59.51% in 2011. The increase is not huge, but the margin is pretty good, and it reflects that the company keeps the cost under control. On the other h and, the Gross Profit Margin for David Jones has decreased from 39.73% in 2010 to 39.11% in 2011. This decrease is not very huge, but the overall figure reflects not a very profitable condition. These margins are well below the profitability of Premier Investments. This means that David Jones has a relatively poor cost control. Net Profit Margin The Net Profit Margin is a more refined measure of profitability. Gross Margin reflects half of the costs, and does not include the effect of operating costs. However, net profit margin includes the operating costs, as well (Vance 2003). Premier Investments’ Net Profit Margin has decreased from 16.11% in 2010 to 9.54% in 2011. This is a significant decrease in profitability, since the net margin has decrease by over 5%. It reflects that the company is unable to control its operating expenses. David Jones Limited, on the other hand, had a net Profit Margin of 12.11% in 2010, which increased to 12.62% in 2011. 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Primark and Oxfam free essay sample

This report is based on the marketing techniques/ skills of Primark and Oxfam based on their products/services. Before we can understand the effectiveness of the marketing techniques, we have investigated both companies and carried research by looking through different sources. Sources include; internet research, company website, advertisements which we evaluated on www. youtube. com for Oxfam. Additional sources include the BTEC Level 3 Business Book1, which was used to look up techniques such as; survival strategies and brand awareness. We have also used resources such as PowerPoint Presentations from The Times 100, Business Case Studies. In this report you will find some information on the company itself and how they market themselves which we have put into sections in a specific order to show how we came to the conclusion of how effective we think their marketing skills are. We have provided evidence of our research and transferred relevant data into charts. Oxfam Company Purpose: Oxfam is a voluntary charity organisation. Oxfam’s main objective is to reach out to poor countries and help civilians manage their own lives from the sources Oxfam provide. Oxfam market themselves through their website and television commercials. This helps them get more attention from people and persuade them to donate to Oxfam. Oxfam also use direct mail. Oxfam also market through a sales orientated approach. For example direct sales. Marketing Strategies: Oxfam’s marketing strategies for growth is market penetration as they want to attract new customers to increase their share in the market. Marketing Objective: Oxfam’s marketing objective is to raise awareness of poverty in less economically developed and famine countries. On the subject of raising awareness we found out that Oxfam establish ethical trading. Oxfam state on their website that they help communities to fight against businesses who put lives of civilians at risk. Oxfam speak of the Swiss pharmaceutical giant Novartis challenging rights in India based on developing cheaper medication. We have made a screen shot of this particular section under ‘proof of research’ below. Company Product/ Service: Oxfam have a charity shop selling many products from clothes to books. Oxfam also have charity projects which take place throughout the year fulfilling their company purpose. This involves them providing aid to many countries around Africa and Asia. Oxfam supply the countries with physical resources allowing the poor communities to start a new life and make a living by providing them with some of the following; civilians making a living by growing and trading crops, providing service in clinics set up by Oxfam and supervising schools made for the homeless and orphan children. However the services based on growing and trading crops are limited due to climate change. Climate change can destroy the service of helping civilians grow crops in many geographical zones. This can clearly create a loss for Oxfam and change the way Oxfam manage this service. We did not find any sources linking us to the difficulty it causes Oxfam apart from the PDF file provided by Oxfam. The section of this file was headlined ‘Helping communities to adapt to climate change ’ and the figures provided on the situations Oxfam identified were based on years 2011-2012. Most situations are based on flooding and we have analysed this section of the file by using the figures to help us understand how Oxfam will deal with this situations to stay successful. We have provided a graph containing the exact figures and have used the evidence to link it with Oxfam’s loss and gain in the business industry. The graph is below, headlined under ‘charts and graphs’. Oxfam also helps rebuild homes for those who have been affected by natural disasters, with that Oxfam have provided them with food and clean water supplies. These services are ongoing and have been going on for 70 years and have made Oxfam one of the largest charity organisations in the UK. Marketing Techniques: Marketing techniques are techniques that a company uses to expand in the industry or to achieve its company purpose. Growth strategies such as market development help charities like Oxfam expand. Growth strategies, four departments based on Ignor Ansoff’s theory (1957): Market Penetration Product Development Market Development Diversification Market development is when a company is using an existing product but is marketing it in a new market such as other countries. This increases popularity for the service and the company. For example, Oxfam have now taken their service to more LEDC countries and have expanded their service though nothing in their service has changed. Oxfam also use another technique known as diversification. Diversification is when a company introduces a new product/ service to a new market but does not relate it to the existing product. The product is completely new. For example, Oxfam have now tried to gain popularity to give them the opportunity to raise more money. To achieve this, Oxfam have held charity concerts and festivals. This is diversification as it is completely different from the service Oxfam provide. Market Orientating: The Focus of Their Marketing Every company has a reason behind why they market the product/service in a certain way. Oxfam’s reason behind their marketing is to be able to raise more money and to complete more projects in order to do that Oxfam have to make their charity well known to be able to cover all costs. Promotional Material/Techniques: Oxfam’s best marketing technique is through advertising poverty and their charity projects on television advertisements, social networking sites and radio commercials. This is one of their survival strategies to keep them functioning as a charity and allowing them to reach out to more countries. Oxfam approaches wealthy members of the community and those who would donate to charities to put an end to poverty and destruction caused by natural disasters. Oxfam aims at the sensitive side of the viewers to create an upsetting emotion through the illusions in their adverts. The viewers are shown civilians struggling to reach day to day needs and Oxfam show how painful it is for them to do so by showing a shot of their tears in their eyes which represents hardship and pain. Then they move on to showing how Oxfam’s aid has healed the needy community through helping them maintain their own lives and make a living. This is another skill used by charities to gain more donations by showing how much improvement they can make. For some charities like Oxfam this has made a great impact as it helps them carry out more projects as it is a form of prompting the organisation. Oxfam survives through volunteers taking part and helping them with their projects and the purpose of promoting themselves is to gain as much help as they can. Oxfam rely strongly upon the money raised and given from the public and it is one of the essential factors they rely on to survive as a charity. Marketing effectiveness Oxfam’s marketing skills are more effective as they have been successful for 70 years and are well known for a charity. This report has based Oxfam’s marketing effectiveness on the PDF file found on the Oxfam website which stated the income and expenditures based on projects, community support on raising money and other additional costs involved within the organisation. This PDF file shows how strategic Oxfam are with the income and expenditures as they themselves as a charity organisation have analysed all the departments of their income and expenditures. As we analysed the file we found figures showing how much profit (including success in progression within each project) Oxfam have made. This gave us the understanding that this financial increase has given Oxfam the opportunity to expand the charity organisation, allowing them to hold festivals and music concerts alongside with the number of charity shops they have around the UK. We think that this is the way Oxfam make themselves recognizable in order for them to become better known in the country and among many communities. Further on with the investigation, we investigated Oxfam’s Trading Income and Fundraising Income which we have made a similar replica of the graphs we researched on the PDF file below titled under ‘charts and tables’. Primark Company Purpose: Primark is a private retailing company started in Ireland to the United Kingdom and now in some countries in Europe. Primark’s purpose is to sell fashionable clothes for a cheaper price. Marketing Strategies: Primark’s marketing strategies for growth is market development as they want to attract new customers to increase sales leaving themselves at medium risk. Marketing Objective: Primark’s marketing objective is to standout in the retailing market with their low prices as the advantage to rise above their competitors. To meet their objectives Primark do this by producing their clothes in third world countries and by buying in bulk amounts to succeed financially. Company Product/ Service: Primark have many products based on fashion and design. They sell fashionable clothes; designs of which have been seen on the catwalks, made to suit all ages. Primark also have a section for jewellery and a minimal section for cosmetic products. Primark’s products are not as competitive as the price due to the cheap quality but they are not always predictable and create products in good quality which is unique to them. Marketing Techniques: Primark uses different marketing techniques to Oxfam. Primark use survival strategies to keep the company running. Survival strategies are when a company introduces new Items and ideas to survive as a business, such as; lowering their prices or giving customers gift vouchers when customers purchase an item. This may not be used by the company; it’s a strategy they could call up. For example, Primark keep most of their prices very low and have various ranges of clothes and offers to increase their chances of being more competitive amongst other high street shops. As well as keeping their prices low, Primark also develop their clothes in cheaper material to allow the company to make a great amount of profit. This way the company continues to survive in the market. Other survival strategy such as branding is used by Primark. Examples of branding: Items that Primark brand are: jackets, jeans shoes with different Primark brand names. Other example of branding, some sports brands such as Adidas hold a high reputation as they are seen promoting and sponsoring sports teams. Adidas and other sports brand usually advertise their brand by using celebrities to influence consumers into buying and wearing the particular brand. The brand becomes of high reputation to the consumers so it becomes something consumers wear and promote without realising they are promoting the brand. Consumer’s also have choices of merchandises to buy with the brand logo on which also helps the company to survive as it is being promoted. Market Orientating: The Focus of Their Marketing Primark want to continue to survive as retailers of the designer but affordable fashion wear. Primark market their products through their customers as Primark depend on them to promote their products. This has been working for Primark, and could them on of the bestselling retailers in the future as their brand will be more recognized than their price. This could give Primark the opportunity to upgrade their designs and price of their item, becoming a retailer of high quality clothing. Another focus of Primark’s marketing is that they can too design clothes as other expensive high street retailers. Promotional Material/Techniques: Primark do not advertise themselves through television or radio commercials which are making it harder for us to investigate and analyse the company alone. However we used a website known as ‘The Times 100, Business Case Studies’ which provided us with a PowerPoint. Primark’s aim is to promote brand awareness by putting their company logo on billboards and singling themselves out by prompting their prices as being cheap but saying their clothes are fashionable. However Primark do promote themselves through social networking sites such as Facebook where they post their latest trends and designs. Promoting a company on social network site can make them more successful as the use of technology and the use of social networking has increased and for Primark it is the best way for them to create publicity. Primark are also the most discussed Retail Company in the community and there for are always gaining loads of customers and great creditability from customers too. Ethical Trading: Primark have been establishing workers rights including rights of women in factories, mainly focusing on their health in factories. Primark’s concern for workers health and rights was developed after they had been reported of using child labour; no that it made Primark make changes but they still explained themselves on their website. Primark have not shown any live evidence such as, to prove that they no longer use under aged children to create their products but increase their price on products. For Primark it could be a way to say they have put an end to child labour and are now part of fair trade. As before, when they were using child labour, their prices were lower.

All My Life for Sale Essay Example

All My Life for Sale Essay The Life of EBay In the essay â€Å"All My Life for Sale†, John Freyer explained how he sold all of his possessions in his apartment to move out for college. Those items had some sort of sentimental value to people who purchased them and gained a vague relationship with them. One way he expressed himself, is when he sold his first wave of objects on eBay. He asked the highest bidders if they could update him on how his things were doing. He wondered if his buyers were taking good care of his things. Freyer is the type of person who would hold on to things hoping they would get used or fixed one day. He got a community started on his website allmylifeforsale. com. Over time, Freyer started to receive messages containing photographs about the stories from people who were a part of the project. He also requested if people could send him their address so he could come and visit. Not too long after, an invitation from the person who purchased Freyer’s salt shaker invited him to their house in Portland, Maine. The six thousand dollars that Freyer made from his selling his things helped him start his journey to visit people all over the country by car. â€Å"As I met more people, the awkwardness of meeting strangers started to wear off†¦ Some may say too comfortable†¦ I would help myself to food in the high bidder’s refrigerator without a second thought† (85) He started to think they were more than just strangers. For example, he acted like a kid who walks into his parent’s fridge to get something to drink. We will write a custom essay sample on All My Life for Sale specifically for you for only $16.38 $13.9/page Order now We will write a custom essay sample on All My Life for Sale specifically for you FOR ONLY $16.38 $13.9/page Hire Writer We will write a custom essay sample on All My Life for Sale specifically for you FOR ONLY $16.38 $13.9/page Hire Writer Soon after September 11, Freyer starts to mature. I stopped caring so much about the objects that I was visiting and started caring more about the people who invited me†(86). This personifies that he is growing up in a sense that he is paying attention to the things that really matter in this world. â€Å"Although I hadn’t made it to everyone who had invited me to visit, I knew that it was time to stop driving. †(86) Freyer started to realize that everything was in good hands and he should start worrying about himself. He wanted to set his priorities straight. He had to graduate college.

Autism spectrum disorder Essays

Autism spectrum disorder Essays Autism spectrum disorder Essay Autism spectrum disorder Essay Autism spectrum upset Introduction Autism is an overall term which is used to depict a group of complicated encephalon developmental upset which is besides called permeant developmental upset. There are other permeant developmental upsets which include permeant developmental upset which is non yet specified, Aspernger s syndrome, Rett syndrome, and childhood disintegrative upset. This group of upsets is jointly referred to as Autism spectrum upsets ( Morgan, Jones A ; Jordan, 2001 ) . Prevalence rate The prevalence rate of the upset is estimated to be approximately 0.7 % among kids doing it more prevailing than kid malignant neoplastic disease, juvenile diabetes, and paediatric AIDS. It is reported that around 1.5 1000000s of individuals populating in the United States and other legion 1000000s of people around the universe are enduring from autism. The United States authorities figures show that the prevalence of autism among its population has been lifting every twelvemonth. The ground for the addition has non been found, but improved diagnosing and environmental influence are considered to be the cause for the increased consciousness. Male kids have been reported to be more prone to the upset as compared to the female kids and are diagnosed with the status rather often. In the United States it is estimated that around 1 % of the male childs are diagnosed with the upset ( Ehlers A ; Gillberg, 1993 ) Symptoms Every person who is diagnosed with autism has alone marks which can non be compared to that observed in another person. This is so because autism is a combination of upsets, one individual s status can be really terrible with the other individual holding a little 1. The normally ascertained marks in persons with autism include ictus upsets, GI jobs, mental deceleration and unwellness. Explanations for the being of these jobs in persons holding autism are non known. It is possible to province that these extra conditions observed is grounds of assorted signifiers of autism with each being caused by different factors ( Haley, 2006 ) . Although the conditions listed supra are rather normally observed in persons holding autism as compared to those people who do non hold autism, they are non observed in everybody enduring from autism. The other symptoms observed include societal and communicating symptoms, centripetal and motor symptoms, and personality differences ( Rudy, 2009 ) .Autistic spectrum upsets have a common societal interactions, communicating, and imaginativeness which are linked to stiff, continual paradigm of manners. It normally begins at birth or at the fist three old ages of life, but can besides get down later on during the kid s life. The three of symptoms can be noticed at all degrees of intelligence and can be observed entirely or accompanied with some other physical or even psychological upset ( Columns. 2009 ) Causes The chief cause of autism is non yet established with the research workers mentioning the chief cause being idiopathic. Since the upset has changing badness and the clinical marks associated with it, it is suggested that the status has assorted causes ( Novella, 2008 ) . Research workers suspect a cocktail of factors which might be considered to do autism and they include multiple familial constituents which might do autism entirely or when combined with other environmental factors which are non yet determined ( Wing A ; Gould, 1979 ) The clip at which the kid might hold got exposed to these factors is besides important, for illustration, before birth, during birth or even after the kid is already born. Very few instances of autism can be associated with familial upsets like Fragile X, Tuberous Sclerosis, and Angelman s syndrome. Exposure to environmental factors which are infective like maternal German measles or CMV, or chemicals like thalidomide or valporate at the clip of gestation ( Ehlers A ; Gillberg, 1993 ) There is an increasing involvement among research workers on the map of immune system in the control of autism. There have been suggestions that autism may affect redness in the cardinal nervous tissues ( Wing A ; Potter, 2008 ) . Animal surveies have besides produced grounds on how the immune system of the organic structure can act upon symptoms which are linked to autism. There have been organized autism negotiations which aim at increasing the degree of consciousness and besides probes of utile immunological facts to research workers who are non in that field and those within the field of autism at the community degree ( Haley, 2006 ) . Previously, autism was believed to be caused by bad parenting as was proposed by Dr. Leo Kanner in 1943. Because the unequivocal causes of autism is non yet established, it has become clear that bad parenting is non one of the possible causes of the upset. Dr. Bernard Rimland who founded the Autism Society of America and the Autism Research Institute enabled the medical community to appreciate that autism does non come approximately as a consequence of cold parents but from biological beginning ( Mauro, 2009 ) Reasons for the recent consciousness Harmonizing to the professionals in the field of kid development in Britain, there has been increase in the figure of kids diagnosed with autistic spectrum upsets. Dr. Kanner was the first individual to qualify autism when he described it as a status in a certain group of kids with a unusual form of behaviour noticed after birth or before achieving the age of 30 months. He subsequently referred to the status as early infantile autism ( Columns. 2009 ) Harmonizing to the professionals in the field of kid development in Britain, there has been increase in the figure of kids diagnosed with autistic spectrum upsets. Dr. Kanner was the first individual to qualify autism when he described it as a status in a certain group of kids with a unusual form of behaviour noticed after birth or before achieving the age of 30 months. He subsequently referred to the status as early infantile autism ( Columns. 2009 ) Many clinicians have a feeling that there has been an addition in the figure instances of autism as compared to the yesteryear. Some current surveies have showed high prevalence rates for autism. Harmonizing to California wellness and human services bureau study between the old ages 1987 to 1998, a period in which the research was done, there was rise in the figure of persons diagnosed with the upset ( Morgan, Jones A ; Jordan 2001 ) . Decision can hence be made that the addition in the figure of persons reported with autistic spectrum upsets can be attributed to alterations in referral forms and in the methods of diagnosing, and the much cognition of the different manifestations of the autistic behavior ( Ownby, 2008 ) .There might besides be alterations in the prevalence rates either locally and internationally with the cause non being known. Failure to transport out decently resourced prevalence surveies, the status of the upset is likely to stay black ( Mauro, 2009 ) Decision The grounds for the addition in the autistic spectrum is non yet clear because assorted researches has showed conflicting figures associating to the prevalence of the upset. The status still requires a batch of research work to cast visible radiation in its causes, prevalence rates and its direction. Mentions : Columns ( 2009 ) . Autistic spectrum upsets. Retrieved on 15th December, 2009 from: hypertext transfer protocol: //www.bmj.com/cgi/content/full/312/7027/327 Ehlers, S. A ; Gillberg, C. ( 1993 ) . The epidemiology of Asperger syndrome: a entire population Survey, Journal of Child Psychology and Psychiatry, 34 ( 8 ) , pp. 1327-1350. Haley, B. ( 2006 ) . Vaccines and the altering epidemiology of autism. Child Care Health Dev. Retrieved on 15th December, 2009 from: hypertext transfer protocol: //www.whale.to/a/autism_diagnosis.html Mauro, T. ( 2009 ) . Autism Spectrum Disorders. Retrieved on 15th December, 2009 from: hypertext transfer protocol: //specialchildren.about.com/od/gettingadiagnosis/g/Autism.htm Morgan, H. , Jones, H. A ; Jordan R. ( 2001 ) . A Guide to Services for Adults with Autistic Spectrum Disorders for Commissioners and Providers. Retrieved on 15th December, 2009 from: hypertext transfer protocol: //autism.bibliomaker.ch/BM_DIRECTORY/H/BM000001710/7723/JOR3.pdf` Novelette, S. ( 2008 ) . The Increase in Autism Diagnosiss: Two Hypothesiss. Retrieved on 15th December, 2009 from: hypertext transfer protocol: //www.sciencebasedmedicine.org/ ? p=95 Rudy, L. J. ( 2009 ) . A Definition of Autism and Autism Spectrum Disorders. Retrieved on 15th December, 2009 from: hypertext transfer protocol: //autism.about.com/od/autismterms/f/defautism.htm Ownby, M. H. ( 2008 ) . Raising Autism Awareness. Retrieved on 15th December, 2009 from: hypertext transfer protocol: //autismaspergerssyndrome.suite101.com/article.cfm/raising_autism_awareness Wing, L. A ; Potter, D. ( 2008 ) . Notes on the prevalence of autism spectrum upsets. Retrieved on 15th December, 2009 from: hypertext transfer protocol: //www.nas.org.uk/nas/jsp/polopoly.jsp? d=364 A ; a=2618 Wing, L. A ; Gould, J. ( 1979 ) . Severe damages of societal interaction: and associated abnormalcies in kids: epidemiology and categorization Journal of Autism and Developmental Disorders, 9 ( 1 ) , pp. 11-29.

Obamacare. The Achievements of Our Founding Fathers Essay

Obamacare. The Achievements of Our Founding Fathers - Essay Example Discussion Before we embark further into the debate, it is important to learn, understand, and recall the achievements of our founding Fathers and the knowledge and experience that inspired them to establish this nature and type of government. It also important to understand and recall the origins and characters of the United States constitution and the structure of government and the rights and privileges of citizenship that is inherent in the constitution. The American constitution was drafted and promulgated in 1787.1 The early framers and formulators of the United States constitution had experienced dark and hard times under the previous despotic central government system that was dominated by tyranny and oppression. In view of the above, they devised and entrenched a system of government into the constitution that was divided with each having a clear cut jurisdiction and mandate. The framers of the constitution were keen to divide the power of the government through the constitu tion; a three tier system of government structure was established.2 United States constitution created the federal system of government in which power was shared between the federal government and the state governments. It is important to note that the power sharing structure deviates from the centralized government structure that is present in United Kingdom in which the national government maintains and controls power. Free government as proposed and understood by the founders of the nation was to restrict and structure the powers of the government with a view of securing and articulating rights in the declaration of independence, preventing tyranny, and preserving liberty. In order to achieve the above aspirations, the remedy was the creation of a strong, energetic government that had limited authority. Consequently, the powers of the government were enumerated in a written constitution, separated into different functions, responsibilities, and were further divided into the power s of federal/national government and state governments.2 The three forms of government that have been established under the United States Constitution include a federal government with three independent branches: executive, legislative and judiciary.1 The powers and functions of the above branches of the federal government are outlined in the constitution and further specified and delineated through laws that are enacted by the constitution. It is important to understand the circumstances and the reasons that led to the drafting and formulation of the constitution in relation to the functions of the government as regards its citizens. The constitution was drafted at a time when majority of Americans were expressing resentment and distrust in the central government that was authoritarian and tyrant in nature. The problem of a strong and autocratic government was further compounded by the overlapping ideas and rivalry of different states. The role of the United States constitution was , therefore, to limit the power of government over the individual, and the debate has ensued on how far such power may be extended. Initially, all the states in America had their own national congress and continental army, and they controlled their fiscal and political sovereignty.3 The drafters created,

Seeking Pleasure and Happiness Essay Example | Topics and Well Written Essays - 250 words

Seeking Pleasure and Happiness - Essay Example Unfortunately, Billy is deadly wounded and is left recuperating injuries in a hospital and meets Sally, Bob Hyde’s wife. He believes that Sally will help her get over the anger, frustration, and pain he got from the war. Luke and Sally pursue happiness through sexual pleasure, and the two eventually engage in sex (Waldo, 2014). Sally gets an organism for the first time and she slowly starts forgetting her husband and starts enjoying the happy life with Luke. Luke feels exasperated by Billy’s decision to kill himself by injecting air into his body. Billy committed suicide as he was striving to obtain happiness and get over the injuries he got from the war, hence affirming the extent that people go in search of pleasure and happiness.  Similarly, in The Last Detail 1973, Larry Meadows is sentenced to 8 years in prison after his plan to steal $40 botched. The petty crime that Meadows expected to be a source of unending pleasure lands him in unfathomable miseries. As he i s transferred from Norfolk to Portsmouth prison, Buddusky and Richard Mulhall provide several adventures for Meadows as a way of ensuring that he obtains happiness before getting to prison (Chuck, 2013). Meadows, an underage, seeks pleasure in whiskey and visits a brothel where he loses his virginity and openly admits that the few profane activities he had engaged in when in the company of Buddusky and Richard gave him the greatest happiness in life. This is what Aristotle termed as Egoistic Hedonism that torpedoes an individual’s life.

Obama and Bush in the Iraq war Essay Example for Free

Obama and Bush in the Iraq war Essay On April 11, 1991, the Gulf war ended with a cease fire that was negotiated between the United States and its allies and Iraq. A policy of containment was maintained by the United States and its allies towards Iraq. This policy encompassed various economic sanctions by the United Nations Security Council, the enforcement by the United States and United Kingdom of Iraqi no flying zones and inspections to prevent Iraq from developing chemical, biological and nuclear weapons. In October 1998, the United States official policy toward Iraq became regime change with the enactment of the Iraqi liberation act. The act provided for the transition of Iraq to a democracy following the withdrawal of United Nations weapons inspectors. This legislation however did not correspond with the terms that were set out in United Nations Security Council Resolution 687 which basically focused on weapons and weapons programs and made no mention of change of regime. The United States and the United Kingdom launched the Operation Desert Fox one month after the Iraq Liberation Act was passed. The rationale behind the campaign was to restrict the ability of Saddams government to produce chemical, biological and nuclear weapons. On the other hand, United States national security personnel hoped that the exercise would weaken Saddams grip on power. With the election of Bush as the United States president in 2000, the United States became actively inclined toward the policy of regime change in Iraq. The Republicans campaign became prior to the elections called for complete implementation of Iraq Liberation Act and the ousting of Saddam. The invasion of Iraq may have been planned since the inauguration with the first National security meeting discussing the invasion (Hamilton, 2004). However, there are also claims that the National Security Council discussions were a continuation of Clintons administrations foreign policy. However, little formal step was made by the Bushs administration toward invasion despite its stated interest in liberating Iraq until the September 11, 2001 attacks on the twin towers. The rationale behind the invasion of Iraq after the 9/11 attacks has been questioned as there was little to suggest that Saddam had any cooperation with Al Qaeda. Shortly after the attack, President Bush announced the new war on terrorism which was backed by the doctrine of preemptive military action. Why Bush Started the War The Bushs administration considered Saddam Hussein to be a major distraction and threat not only to American security but also to global peace. As such, the only way to guarantee the global stability and peace was by ousting Saddams regime. The administration believed that Saddam possessed weapons of mass destruction and thus rushed to conquer the country before they could fire any weapon. The administration also believed that Saddam was a major sponsor of terrorists and with the 9/11 attacks, the American people were thirsting for some form of action. The electorate of the United States was skillfully convinced that the best solution to the problem of terrorism was to get Saddam Hussein. As such, the main reason that was given by the Bushs administration as a justification for the invasion was the Iraq possessed weapons of mass destruction. Other reasons were that Saddam supported terrorism and held the people of Iraq captive. Another primary motive which was however not stated with regard to the invasion of Iraq was the consolidation of oil resources in Iraq (Holtzman, 2006). A report which was commissioned before the September attacks by Dick Cheney indicated unambiguously identifies Iraq as the main destabilizing influence to the flow of oil to the international markets from the Middle East. The report also indicated that Saddam had expressed a willingness to threaten to employ the oil weapon and to use his own export program to influence and manipulate oil markets. Iraq was a destabilizing influence to global oil flow from the Middle East and therefore United States military intervention was inevitable (Moore, 2004). Within the American grand design for the world, oil plays a major role. The Middle East id the only place that is capable of satisfying the demand for oil as it contains the world’s largest reserves. An increase in the demand for oil was conceived by the Bush administration as inevitable, and Iraq was a stumbling block. The invasion was thus necessary for the United States to guarantee its energy needs. By securing a strategic position in the Gulf region through establishing a friendly and compliant government in Iraq, the United States will not only manage check the OPEC but also influence the conduct of other global powers. Why Obama is against the war According to Obama, Iraqs invasion without any clear rationale and without strong international support had the capacity to lead to instability not only in Iraq but also in the Middle East (Ambinder, 2007). The invasion, according to him, would fuel sectarian warfare. The Sunnis, having been empowered by Saddam, were likely to discover that they were the targets of Shia radicals who sought for revenge for the way that they were treated and power to control Iraqs future. Iraqs insurgency will thus be inspired, not only by the desire to kill the Americans but also by the ambition to be in power when the United States leaves. Obama also opposed the war because he envisioned a situation whereby the attacks would increase leading to the death of more American young people. The difference between Obama and Bush with regard to Iraqi war became clear in 2007. The year marked a critical turning point in the war in Iraq. It was during this period that Iraq sunk into a state of savage sectarian chaos with three thousand civilians dying every month. It was also during this period that the American people lost hope in the war and were thus prepared to bring the troops back to America. However, instead of letting the soldiers go back to America, a move that was favored by both Republicans and Democrats, Bush ordered a troop surge to ease the violence, suppress al Qaeda in Iraq and set the stage for political reconciliation. Obama had much to say concerning this issue, predicting that the surge would not be effective (Stone, 2009). Obama was not convinced that the twenty thousand additional troops would not solve the sectarian violence in Iraq. According to him, the effect will instead be reversed (Obama, 2002). This move, in his view, would not solve the long term political strife between the ethnic and religious groups in Iraq. Obama believed that strategic defense is a much more preferable approach to the entire war, an idea that many people seem to agree with. He opposed the war on the premise that the United states did not know how much it was going to cost, what the exit strategy would be and how the invasion itself will affect the relationship of the United States with the rest of the world. Again, he doubted the soundness of the American intelligence and held that capturing Bin Laden ought to have been the priority. Obama felt that because Al Qaeda had not been put to rest, it may act as distraction. Obama conceived of the invasion of Iraq unwise use of the military. According to him, the invasion brought more problems than solutions as more and more money was being used, more American soldiers were being killed and Al Qaeda had grown stronger. With regard to the reduction of the surge due to the deployment of more troops, Obama felt that it the reduction of violence was mainly as a result of the sacrifice by the soldiers. According to Obama, the Bush administrations judgment concerning the length of the war, the conception of America by the Iraqis as the liberator and the view that there was no history of violence between the Shiite and the Sunni were all wrong. Obama referred to the war in Iraq as a dangerous distraction. His view is that central front in the war on terror was never Iraq but the terrorist themselves. As such, his position is that the terrorists should be attacked directly. His new strategy has therefore been to directly fight Al Qaeda in Afghanistan and Pakistan. His first priority has been to end the war in Iraq as he had opposed it from the onset. With his position that the war in Iraq was unnecessary, Obama has made it his responsibility to redeploy the United States combat troops that propel Iraqi leaders toward a political solution, rebuild the military and refocus on Afghanistan and broader American security interests. His plan is to remove the combat brigades from Iraq by 2010 and to send additional combat brigades to Afghanistan. The worth of Iraqi war Assessing the worth of Iraq war requires that one reflects upon whatever would have happened in the Bush administration would have not gone to war in March 2003. There is no secret concerning the things that have gone wrong ever since the United States invaded Iraq but it cannot also be assumed that everything would have gone right if the United States had not invaded Iraq. It is a fact that there was a heavy casualty which does not go well with the American public. However, there is need to address what the alternative to war would have meant. Many people agree that Saddam was not the best leader. Other individuals like Madeleine Albright compared him to Hitler, a comparison that cannot be far from the truth in many respects. Saddam had contempt for human life, killing thousands of his own citizens beside threatening and butchering his neighbors. It may therefore be argued that removing such a man from power was worth some sacrifice. A more intriguing question is however whether the failure of the United States to go to war with Iraq in 2003 would have produced a lasting peace or would have postponed war. It may be said that Saddam would have pushed toward confrontation and war regardless of what might have been done. He brutally and patiently pushed his way to power in Iraq after which he impatiently and brutally made himself the dominant figure in the Middle East and the Persian Gulf. In all these instances, he employed war and the threat of war as his principal tools. In short, Saddam was in every conceivable way a threat not only to his people but also to world peace. However, some individuals have argued that even though Saddam posed a threat to world peace and stability, he would have been contained through sanctions and no-fly zones which would have acted as deterrence (Hunt, 2008). This argument was advanced even before the war even with the belief that he had weapons of mass destruction. For the majority of Americans, the question of whether the war was worth fighting revolves around whether the weapons of mass destruction were recovered or not. However, the major issue is whether Saddam could have been contained. Even though the war in Iraq has remained unpopular, the Iraqi people can claim some success with regard to the introduction of democracy. With the help of the United States, the Iraqi people have been successful in establishing the first Arab democracy. This is a major achievement with regard to the war on terror and for the purpose of liberty. The different ethnic and religious groups can now work together in a national army. They have made important steps in repossessing their country from the insurgents that have invaded their homeland. The Iraqi troops are solely responsible for clearing the Basra and Sadr City. The oppressive regime of Saddam Hussein was ousted. Conclusion The main difference between Obama and Bush on Iraq war lies in the objective of the invasion. The bushs administration saw it as a war against terrorism while Obama felt that there were better ways of fighting terrorism rather than invading Iraq. A sensible argument for the invasion was not that Saddam was about to attack anyone with a nuclear bomb. It was that the preservation of containment would nit have been indefinite and that Saddam was defying the international community repeatedly and that this defiance seemed to both the Clinton and Bush administration to be succeeding gradually. It may therefore be argued that if the Bush administration would have not gone to war then the United States would have faced a more daring and dangerous Saddam Hussein. References Ambinder, M. (2007, April 21). Obama’s Iraq evolution. National Journal, 39(16), 79-80. Retrieved on March 29, 2009 from EBSCO host database. Hamilton, W. (2004, April 17). Bush began to plan war three months after 9/11. The Washington Post, p. A01. Holtzman, E. (2006). The impeachment of George W. Bush; A handbook for concerned citizens, New York: Nation Books. Hunt, T. (2008. March 18). Bush: Iraq war worth it. The Huffington Post, Moore, J. (2004). Bushs war for reelection: Iraq, the White House, and the people. John Wiley Obama, B. (2002, October). Barrack Obama’s 2002 speech against the Iraq war. Retrieved on April 23, 2009, Responsibly ending the war in Iraq. (n. d. ). The White House. Stone, M. (2009, May 9). Bush 2007 v. Obama 2009? The Global Buzz. Retrieved on March 29, 2009,