History Of The Blue Harbour Brand Marketing Essay

History Of The Blue Harbour Brand Marketing Essay In 1884 Michael Marks, a Russian born Polish refugee opened a stall at Leeds Kirkgate market. Since then, Marks and Spencer was born, opening over 300 stores worldwide and also being the UKs largest clothing retailer. In 1999, online shopping was introduced to their website for customers to enjoy in the comfort of their own home. The internet had just started to become known and more and more people were staring to use it, so Marks and Spencer took this opportunity and set this up at the correct time. In 2000, MS brought out their healthy Count on us range, for the healthier people on diets or who were just watching what they ate. Their 1st Simply food stores opened in Surbiton Twickenham in 2001, selling nothing but healthy food, no home furnishing or clothes like the normal stores. They also launched Per Una a brand of clothing specifically targeting the fashion-conscious women. Shortly after in January 2001, Blue Harbour was introduced, a casual wear brand for males. View form and DB07 another brand of clothing was introduced in 2002, View form for sportswear and DB07 for children designed in collaboration with David Beckham. Mission Statement Marks and Spencers mission statement is broken into 3 parts which include: Vision To be the standard against which others are measured Mission To make aspirational quality accessible to all and Values Quality value, service, innovation and trust. This mission statement has been kept up since the start of making it; MS have worked hard to achieve all these factors. Even though there have been ups and downs during the years they have tried hard and have kept to their word. There are many companies which look up to MS and measure themselves against them, helping their company to improve and gain more customers. Marks and Spencers have been known for their quality value, service, innovation and trust to all their customers who as a company they have stuck to very well. They are continuing to attract new customers as well as keeping their old ones, offering them new and improved products all the time. Objectives Every year MS had many objectives which were to be met, they were not really split into long term and short term but just objectives as a whole for each coming year. In 2001, they had many objectives but their main ones were attracting new customers, developing stronger relationships with their suppliers, aim for market leadership and also to restore the heart of MS, stop non-core and profit losing activities and also to keep an effective balance sheet calling these three sectors their fundamental strengths. In 2002, not only did they want to develop stronger relationships with suppliers but also to build on a unique relationship with their customers. They needed to keep rebuilding on their fundamental strengths, continue to regain market leadership with value, quality and also appeal. It was aimed for MS to open their 1st standalone home store in spring 2003, also to improve every aspect of their company, overcome the competition and continue to attract more customers to their stores. Before 2004, the MS fundamental strengths were changed, which included improving the management team, still ensuring the balance sheet was effective and also delivering impactful but low cost improvements. In 2005, MS only wanted to refocus on their core values in their business which is quality, value, service, innovation and trust. Pestel Analysis In this section a PESTEL analysis will take place and will look at the external factors that impact on Mark and Spencers performance. Political According to the Marks and Spencer website there are constraints on out of town shopping has been but in place by the government. This is causing problems for M and S. This is because it is highly expensive for retail stores to be in the centre of large towns and cities with all the business rates and M and S is not selling enough produce to break even with these extra expenses they have to pay for being in the centre. MS is trying to move some of there stores out of the centres but with constraints it is causing problems for them. The UK not having the Euro is working as a disadvantage to MS in relation to there western European store because MS products are too expensive as there are being sold at UK prices. Economical The UK economy and currency is relatively strong compared to other countries so the strength of the pound is working as a disadvantage to Marks and Spencers in the UK and abroad. (www.bitc.org.uk) Current world events have affected global economies, which may result in fluctuations within the industry. This may lead to unpredictable consumer and supplier behaviours. Sociological Market trends are constantly changing and Mark and Spencers have always struggled to keep up with them. For example, Life style changes have made people more aware of their health, which has resulted in higher demand of quality health care related products. People are concerned with value for money. Consumers are concerned with their image, for example; they must have the latest labels. The population in the UK is ageing and with this, more people have a higher disposable income. Technological Internet shopping has lead to international buying opportunities, which means the consumer has an enormous amount of options when it comes to shopping. This means that the competition has also increased, but Marks and Spencers can use it to their advantage to promote new products and help to show that Marks and Spencers is an up to date company. (www.marksandspencers.com) Environmental MS is restricted to where they can build its stores because of the restrictions on Brown field sites and Green field sites. MS can only build on Brown field sites witch restricts them to having to stay in urban areas with competition. Legal The government is constantly redefining trading laws, which enables Marks and Spencers to trade for longer hours, for example; longer shopping hours on a Thursday. Marks and Spencers must follow advertising laws which are put in place to protect the consumer, but also to promote fair competition between companies. SWOT Analysis The Swot analysis looks at a companys strengths, weakness, opportunities and threats which are likely to have an impact on the companys performance. Strengths Marks and Spencers has been running since 1884 and has a good traditional reputation especially with the older generation. Marks and Spencers is also one of the biggest retailers on the high street having stores in most cities and large towns and with thirty other stores across the globe. (www.marksandspencers.com) The brand name is known in nearly every house hold. Marks and Spencers has a diversity of products such as food, underwear, menswear children wear, women wear and furniture. Weaknesses Fashions are constantly changing and Marks and Spencers has an inability to keep up with changes in the retail market. There are also problems with focusing on the right targets markets in terms of products and customers. (www.bitc.org.uk) Many consumers still feel that Mark and Spencers products are old fashioned and out dated compared to competitors. Even though this is some thing that Marks and Spencers is constantly trying to change. Marks and Spencers is now experiencing poor performance across the globe which has resulted in the pull out of foreign operations. Opportunities Marks and Spencers has the opportunity to collaborate with other companies to widen up product range even more. They could also collaborate with designers to help bring new ideas, and help expand on their furniture and beauty products. Threats There is constant competition from competitors such as John Lewis, Debenhams and Next. And especially from younger clothing competitors such as New Look. Ever changing fashions trends which Marks and Spencers struggle to manage is threatening Marks and Spencers performance. Gap analysis and Ratios A gap analysis involves identifying a gap or weakness in a specific company and looking to bridge that gap in order to meet a target objective as to where the company wants to be. The following quote helps to further identify a gap analysis: Gap analysis, consists of defining the present state, the desired or target state and hence the gap between them. In the later stages of problem solving the aim is to look at ways to bridge the gap defined www. Ifm.eng.cam.ac.uk [January 23] An example from Marks and Spencer is there downfall in the womenswear market, which in 2004 fell 0.6% to a 10.4% share of the market. Competition in womenswear has increased dramatically with women demanding style, quality, outstanding value and real choice. In order for Marks and Spencer to reclaim this market share they set out a clear plan, this involved listening to customers better during store visits, focus groups, better use of market data and keeping a closer eye on tracking trends, tracking competitors and also evaluating there own performance. From a purchasing point of view they looked to strengthen there buying teams, giving clearer responsibilities for design, buying and merchandising. The companies buying strategy changed to buy less, more frequently meaning better ranges and fresher lines of stock. It was also vital that Marks and Spencer didnt miss out on key trends like the previously did in 2003 such as with cardigans. In order to further close that gap Marks and Spencer learnt that they have to cater for particular needs and markets. For instance it is estimated that 42 % of womenswear brought is by women under the height of 5ft 3 inches, Marks and Spencer didnt previously cater for these, often producing large, baggy clothing. Now Marks and Spencer have now produced a petite range in 33 of its stores in order to cater for this market. The three ratios that were decided in order to assess Marks and Spencers financial position were the current ratio, gearing ratio and return on capital employed ratio. Firstly the current ratio can be calculated by dividing current assets by current liabilities, this identifies how far a firm can meet its short term liabilities from its current assets without having to raise finance by borrowing, selling fixed assets or issuing more shares. A ratio less than one for a period of time is a cause for concern; Marks and Spencers did have a healthy current ratio until 2003 but in the last couple of years they have dipped below one causing concern, whereas for example a competitive company such as Next has stayed consistent for the last 3-4 years. Secondly the gearing ratio can be calculated by total borrowings x 100 % and then divided by the capital employed. The ratio shows the proportion of capital employed, which is financed by borrowed funds. The relationship between both, ought to be balanced with shareholders funds significantly larger than the long term liabilities in order to have a health gearing ratio. The higher the gearing ratio, the higher the risk to the company is, as high levels of borrowing represent a significant risk to the company. In 2004 Marks and Spencers was sky high, massively bigger than that of competitors Next. The last ratio analysed was the return on capital employed, this can be calculated by Operating profit x 100% and then divided by capital employed. The ratio is an important indicator of how efficiently the business is being managed. As a rule if a company has a low return on capital employed then it is using its resources inefficiently even if the profit margin is high. In the years 2004-2005 both Marks and Spencers and Nets ROCE have been high indicating a healthy return on capital employed. Five force analysis Porters five forces model (below) can be used to help make an analysis of the competitive environment for a company within a certain industry. In this case, it is Marks and Spencer in the food and clothing industry. Source: Adapted from Porter, M, (1998) Competitive strategy, New York, free press QuickMBA, Strategic Management (1999) states that: The strategic business manager seeking to develop an edge over rival firms can use this model to better understand the industry context in which the firm operates. The threat of new entrants There are a variety of major companies in the market such as Next, Debenhams, Sainsburys and Tesco with regards to selling clothing and food products. These are well known companies which are strong in the market so the threat of new entrants is low. A company such as Marks and Spencer (MS) has a strong brand name which therefore creates a barrier to entry for potential new entrants. Companies would probably experience high start up losses in an attempt to try to promote its products in terms of trying to prise loyal customers away from MS. There is the threat however of company take over where one company buys another one out. Examples include Morrisons taking over Safeway and Walmart taking Asda in bids to try and create better companies without having to build many stores around the country. The government is also keen on new businesses starting up in the market to try to discourage a monopoly situation Bargaining power of suppliers MS has over 2000 direct suppliers where 1500 are for clothing and 500 for its food. Marks and Spencers corporate site online (2005) states: 90% of other products are now sourced overseas. Overseas suppliers provide plenty of choice for MS and also cheaper labour. The market that MS is in also makes it easier for the company to bargain with their suppliers because there are many suppliers which provide clothing and food which are relatively undifferentiated so MS can go to another supplier if they feel there are better suppliers to go to as opposed to their current ones. Bargaining power of buyers There are many clothing and food companies to choose from in terms of the consumer so it is the consumers who can dictate the price by demanding quality products at good prices. Clothing and food are not specific items unlike a Ferrari sports car. Food and clothing are readily available to everyone and so therefore it is important for a company like MS to offer quality goods at right prices in order to compete in a very price orientated market. With a Ferrari sports car, it is a very prestigious item and therefore prices are not as important for Ferrari. MS therefore needs to add value to their products such as the Autograph range of clothing launched in 2000 which The threat of substitute products If a product from a different company is cheaper then consumers may switch to that product. If there are low switching costs e.g. substitute products are much cheaper than MS ones then there could be more consumers switching to the cheaper product. For example, a pair of jeans in MS is  £25 but in Primark the jeans are £6. There are many retail stores selling clothes which are competing with MS and therefore could act as substitute products. To counteract the threat of substitutes, MS must concentrate on ensuring absolute product quality and customer service to keep loyal customers. The intensity of rivalry amongst existing competitors There food and (especially) the clothing market has fierce competition and MS must compete with companies such as Next, Debenhams, Tesco and Sainsburys for selling both their food and clothing products. These companies are all trying to obtain the largest market share possible in the retail sector. Conclusion Overall, MS (Marks and Spencer) have established themselves over 120 years as a well known high street name. The mission statement that has been created by MS, highlights that the company aims to be the standard to which other companies look too in terms of retailing. The objectives highlight on continuously improving the company (objectives in 2005 focused on the core values of the business). The SWOT analysis shows that MS is a very well known company although is poor at keeping up with fashion changes and therefore must be wary of changes and regard them as a threat. The five force analysis shows intense competition within the industry with big companies such as Next and Debenhams selling clothes and Tesco and Asda selling clothes and food. MS must be wary of substitute products with stores such as Matalan and Primark offering these products and also MS must recognise that the customer has high buyer power as they have the choice of many retailers at different prices.

Enlightenment Movie Study

The Enlightenment Movie Study Guide Part One 1. What other names is often used when referring to the Enlightenment? The Enlightenment is often referred to as the Age of Reason 2. What was Sir Issac Newton's role in the Enlightenment? Identified other natural laws to explain the workings of the universe 3. What changes did they encourage for social progress? Religious tolerance, education reforms, and prison reforms 4. What long-standing political belief did Enlightenment thinkers question? Monarchs rule by divine rightPart Two 5. What important idea did John Locke write about in the Two Treatises of Government? He argued that government should protect people's natural rights to life, liberty, and property 6. What was Voltaire's role in the Enlightenment Era? He wrote plays, novels, and essays attacking slavery, religious intolerance, and other social and political injustices. Passionate advocate for â€Å"Freedom of Speech† Part Three 7. What important political idea did Monte squieu introduce? Introduced the concept of â€Å"Check and balances† . How did Jean-Jacque Rousseau ideas differ from other Enlightenment philosophers? Criticized what he saw as the Enlightenment's excessive reliance on reason, argued  that people should trust their instincts and emotions Part Four 9. Explain the Main Idea behind Rousseau's Social Contract? He explained that government should be based on a contract that allows people to rule themselves by adhering to the general will 10. Analyze which Enlightenment philosopher expressed the most democratic ideas.Use at least three facts from the movies to support your answer. Charles de Montesquieu was a 18th century French philosopher who expressed the most democratic ideas during his time. He divided power between the king and parliament, much like the president and congress. He advocated dividing the government into three independent branches: the executive, legislative and judicial. He had a strong belief for equal dis tribution of power amongst the branches. Therefore, he introduced the concept of â€Å"Checks and Balances. †

The Inenvention of the Wheel

The invention of the wheel is the single most important invention in the world. The wheel did not only shape our world in transportation but it helped evolve many inventions. The wheel is estimated to have been invented in 3500 B. C. (Reynolds). There have been many changes to the wheel that have made it a more advanced invention and changed into newer inventions. The wheel has shaped our world geographically, economically, and culturally. The evolution of transportation became capable with the invention of the wheel.Without the wheel the wagon would never had been invented (Reynolds). The invention of the wagon was the first of many inventions that came from the wheel that helped the transportation of goods for trade (Reynolds). The steam engine train was also another break through of technology from the wheel. The steam engine train made it possible to transport items from a greater distance, faster delivery, and it also made transporting goods for trade less expensive which led to a greater profit for the merchants (â€Å"Transportation Revolution†).With the capability of transporting goods over land quicker the economics of the world turned for the better. With the invention of vehicles people were beginning to be able to see the more of the world. The wheel helped many people see the amazing geography of their surroundings. In 1845 most vehicles had wooden and steel tires (Colvin). Robert Thomas invented the pneumatic tire which gave people and smoother and more enjoyable ride to see the places they wanted to visit (Colvin).The first type of wheel that was being used on vehicles was made of peer rubber, but later John Dunlop improved the solid rubber wheel into an air filled rubber wheel (Colvin). Even in China during 2000 BC wheels were put on chariots to carry kings and emperors around to see their kingdom (â€Å"Wheel†). Still today vehicles are the main source of getting around quickly. Many people travel the country in RVs to see at that is to see. Even the airplane would not be able to land without a wheel at the bottom.Without the invention for the wheel there would be no other way of getting around on land to see the sites that the world has in store for us. There are many inventions that use the same basic idea as the wheel. The pottery wheel never would have been invented if the wheel was never developed. The pottery wheel is an invention that has simply changed a few things about the wheel to make it work. The potter’s wheel is estimated to have been invented in 3000 BC and is a very important feature to the culture of nearly every country (Bryant).Pottery is one of the only ways we can tell how the ancient towns had worked. Many archeologists work for weeks if not months to try to dig up ancient pottery so that we can better understand the ancient culture. Pottery is not the only thing that the wheel affected. The wheel also helped the sport of racing become a big part of our culture. On April 23, 191 1 the world first of the world’s fastest mile was completed in 25 seconds (Carter). This was the start of many races in the US. Today without the ever being invented the sport of NASCAR never would have been thought up.Many people in the US enjoy watching this port and have made it a huge part of their life. The wheel is not only a great invention put it has shaped our would in so many different ways. The wheel has not only been changed many times but it has evolved into the greatest invention of man kind. The wheel has helped the world economically, geographically, and culturally for the better. This is why the wheel is considered to by the best invention in the world.Works Cited Bryant, Victor. â€Å"The Origins of the Pottery Wheel. † Ceramics Today. 26 Jan. 1996. Web. 14 Nov. 2009. . Carter, C. F. , and Isaac Marcosson. â€Å"Man’s Fastest Mile: The Automobile Age. † A. D. 1911. The Great Events by Famous Historians, Vol 21. Harrogate, TN: The Nationa l Alunmi, 1926. World Book Advanced. Web. 22 Nov. 2009. Colvin, Howard A. â€Å"Tire. † World Book Advanced. World Book, 2009. Web. 28 Oct. 2009. Reynolds, Terry S. â€Å"Invention. † World Book Advanced. World Book, 2009. Web. 28 Oct. 2009. â€Å"Transportation Revolution. † World History: The Modern Era. ABC-CLIO, 2009. Web. 28 Oct. 2009. . â€Å"Wheel. † The Columbia Encyclopedia, Sixth Edition. 2008. Encyclopedia. com. 15 Nov. 2009 .

President Obama Health Care Speech - 866 Words

Analyzing the Rhetorical situation in president Obama Health care Speech to The congress A rhetorical situation is compressed of three components. These components are; the problem: which is basically the social issue under discussion, audience whom the message is addressed to and the constraint which is the limitations to achieving the social issue being advocated for (Worth, 2009). Primarily, the interplay of the following components leads to development a formidable rhetorical situation. In expounding on these components, this paper seeks to analyze president Obama health care Speech to the congress in 2010. The problem With the increase in the cost of health care in the united states, the Obama health bill of 2010 was a tool that the government aimed to use reforming the health care industry in the united states. In particular, the bill that was officially signed into law by president Obama in 2010 focused on patient protection and provision of affordable h ealth care to the American citizens (Wizemann, 2011). On drumming his support for the bill president Obama emphasized driving forces behind having the bill signed into law. The president noted that thousands of Americans die from curable diseases yearly due to poor health services or in inability to afford quality health care. Therefore he held that by adopting the Obama health care policy then, the rights of the patients would be expanded and the health care insurance industryShow MoreRelatedBarack Obamas Speech On Planned Parenthood712 Words   |  3 PagesObama’s Speech on Planned Parenthood In this political speech by Barack Obama, the 44th president of the United States, he talks about planned parenthood and how it benefits women. Remarks Made by the President at the Planned Parenthood Conference took place on April 26, 2013. 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Patient Confidentiality Essay - 785 Words

How Nurses Leaders Help Ensure Patient Confidentiality In 2015, the United States Congress endorsed the Medicare Access and CHIP (Childrens Health Insurance Plan) Reauthorization Act (MACRA), which in part called for meaningful information use reinforced by value-base care provider reimbursement models. [1] Health information technology (HIT) infrastructure streamlines care providing only with the in-depth information provided by Electronic health records (EHRs). HIT is an amalgamation of the development and creation of storage systems the house, store and protect EHRs and other medical data. Nurse leaders use these systems improve the quality of services, lower health care costs, and reduce medical errors. The technology has transformed†¦show more content†¦The technology also facilitates faster and safer health care services. Privacy, Security and Electronic Health Records The Health Insurance Portability and Accountability Act (HIPAA) Privacy Rule regulates how care providers handle sensitive patient information. The provision dictates federally mandated protection measures concern specific and discernable patient information. The Privacy Rule encourages, but does not mandate, that providers to give patients a choice as to whether appropriate health care professional can access their personal medical information. Although, some laws – such as HIPPA - do exist that require care providers to obtain written patient authorization before sharing sensitive medical data. The medical professionals might use the information for operational activities such as billing or treatment. The Healthcare Insurance and Portability and Accountability Act of 1996 The Healthcare Insurance and Portability and Accountability Act (HIPPA) establishes nationwide standards regarding EHRs, health plan, mass medical information management, and care provider conduct when handling sensitive electronic patient records. [3] Under this rule, patients gain more control over the management of their medical details. HIPPA requires care providers to comply with safety measures that protect the privacy of patients’ health information. The law also limits what information care provides can share without patient consent. PatientShow MoreRelatedPatient Confidentiality Essay926 Words   |  4 Pagesï » ¿Patient Confidentiality: Ethical Implications to Nursing Practice Patient Confidentiality: Ethical Implications to Nursing Practice Patient confidentiality is a fundamental practice in healthcare and it is integral part of healthcare ethical standards (Purtilo Dougherty, 2010). 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It will look into why it is needed and what can happen if these aspects are breeched in anyway. The National Health service was founded in 1948, this brought free healthcare to everyone. In 1902 the Midwives act becomes a law and midwifery became an established profession, fast forward to 2004 the midwives rules and standards are published and then amended in 2012 and in 2008 the code of conduct was brought

Kids Will Be Kids Is No Longer The Case - 992 Words

The employee’s lunch quickly ended as he stormed out of the break room baffled. While walking back to his cubical, he thought†¦. Parents really allow their children to have such a disgruntle demeanor? The day seemed to drag as he became emotionally disgusted. He found himself disturbed and writing down words like anger, fist fighting, bribery, nark, under achiever and so on. All these words carry a negative meaning. It is these kind of words that children, friends, family, coworkers and employers endorse in their daily lives for the sole purpose to bully others? These words have been around for eons and did not have the same impact on society as they do today. The old clue shay â€Å"kids will be kids† is no longer the case. American’s†¦show more content†¦Today, people are out of tune with human civilization. This did not happen overnight. Due to people using negative words in their daily vocabulary change occurred. One evident cause is individual values. Constantly, the local daily paper is full of people committing wrongful acts of behavior. The band aid answer is contributed to one’s upbringing. While partially accurate it continues well beyond. An individual’s values are comprised of discipline and ethics. Very few children today receive a good old spanking that some old folks reminisce about when talking about the â€Å"good old days†. People who grew up over the past 25 years lack discipline, which has flowed into the work force. Discipline comes in various forms. Just like discipline a adults parental rights are eroding too. Society has put their nose in how parents raise their children. Parents are afraid to spank their child, have them perform additional chores, or stand in the corner with their nose touching the wall when they do wrong. The current laws tie parents’ hands. According to American Humane Association â€Å"an estimated 3.3 million reports of alleged ab use and/or neglect involving approximately 6 million children were made to local child protective services (CPS) agencies across the country. An estimated 899,000 of these children were determined to be victims of abuse

Construction Contracts Law and Management

Question: Discuss about the Construction Contracts Law and Management. Answer: Introduction Contract is an agreement enforceable by law. Agreements which confers legal obligation on the parties, only those agreements are contracts. Validity of contract is determined on the basis of the fact that, whether essential conditions of for formation of contract have been satisfied or not. Essentials of a valid contract constitute an agreement, intention to enter into contractual relationship and consideration. An agreement includes offer and acceptance of the terms of the offer in strict sense. In order to constitute a legally binding relationship between parties there should be meeting of minds, in other words the parties must agree upon the terms of the contract in the same sense. At common law a promise to be enforceable by law as a contract must either be incorporated in a deed or supported by valuable consideration. In Dunlop Pneumatic Tyre Co. vs. Selfridge and Co. Ltd. consideration was defined as An act or forbearance of one party, or the promise thereof, is the price for which the promise of the other is bought, and the promise thus given for value is enforceable. It can rightly be asserted that consideration is an important aspect of contract so as to be legally binding upon the parties to contract. In other words, consideration is the price paid for enabling the promise to be enforceable. The rule that consideration must not be adequate or commercially realistic, rather it should be sufficient, mandates that the consideration need not be equal to that promised, but must have some value. In other words in a contractual arrangement some value must be given by promisee in lieu of promise made by the promisor. This is in line with the pronouncement in the case of Thomas vs. Thomas wherein it was laid that consideration must hold some value in the eyes of law. The research paper would analyze problem related to the nature of consideration so as to enable the contract to be enforceable by law. Whether the consideration should be adequate or commercially realistic or the consideration would be a valid consideration under law if it is a sufficient consideration. The present paper would determine with reference to case laws, development of the concept of consideration in contract law and explain the role of consideration in formation of contract. History on the origins of concept of consideration Concept of consideration requires it as an essential element in the formation of contract. The term consideration was for the first time in contractual context used by judiciary in 1557, with regard to a marriage agreement in the case of Joscelin vs. Shelton. It has been argued that concept of consideration occurred around 16th century when the common law judges were in a dilemma, as to enforcement of a contract not under seal, and the answer to the problem lied in development of the concept of consideration, so as to identify and enforce bargains. Theorists are of the view that the concept of consideration might be a species of evolution of the concept of assumpsit, but it can be argued that during this process there existed a strong influence of the 14th century doctrine of Quid pro quo. With the decision in Pickering vs. Thoroughgood in 1533 the concept of assumpsit had developed to an extent that it could be regarded as a remedy in cases of breach of promises. In the said case a successful action was brought by a brewer against a person who assumed and promised to deliver malt, which was supposed to be used in brewing trade. The position laid in Slades case led a way to enforcement of simple agreements. The said case adjudged that every contract carries in itself an assumpsit, as where one party agrees to make payment or deliver goods to another, he thereby assumes the position of a promisor and for the said reason when the former delivers goods to the latter, the latter in consideration of the delivery agrees to pay money at such a date. The court after observing the above mentioned position concluded that wherein a similar situation arise both the parties have an action of debt or an action of assumpsit, hence whenever the parties have two remedies available, the option to opt between the two lies with the parties. During the 18th century consideration was presumed in case of existence of moral obligation. The definition of consideration lay in the case of Dunlop vs. Selfridge was accepted during 20th century, and the same still prevails. Academic theories of consideration The academic theories related to consideration are imperative in the formation of a valid contract that enforceable by law. The contract law deals with the conception of exchange and it predicates the economy of a country. In countries like Australia most of the goods and services are distributed through markets and contract forms an integral part of the market. Consideration under the law of contract is an essential element that validates a contract and makes it enforceable by law. It is a well-established concept that enforceability of contracts is imperative in ensuring fairness and legal certainty for all the parties to the contract. The principal academic theories related to consideration are consideration is not required to be adequate, it must be sufficient; past consideration is not a good consideration; part-payment of a debt is not a good consideration and performance of a legal duty is not a good consideration. Consideration must be sufficient, it is not necessary that it should be adequate A consideration is valid if it is sufficient to bind the parties to the contract legally. A consideration that has some monetary value is considered as a valid consideration before the court of law. The consideration made must be recognizable in the eyes of law. The promises made by the parties at the time of entering into a contract must not be merely verbal promises. The promises made by one party in exchange of the promise made by the other party must be of some value that is recognized by the law. The value of the consideration may not be equal value but it must be something that amounts to a sufficient consideration to make the contract and valid and enforceable by law. In White v. Bluett (1853), Bluett brought a legal action against his fathers consent for an arrear amount and claimed that his father promised to make payments of the outstanding bill in exchange for Bluett himself provided Bluett stops complaining about it. It was held by the court that the consideration made by his father does not amount to a valid consideration as a promise to stop complaining does not possess any monetary value. Therefore, Bluett was still entitled to be paid by his father. It is established that consideration made in exchange of the promise must be tangible and must possess some pecuniary value. However, there are instances that are not considered as sufficient consideration in the legal parlance. These include moral duty, natural affection, love, and prayers. Promises made out of natural love and affection are not considered good consideration as these promises are regarded as general promises that are made within a family and there is no pecuniary value attached to the promises. The terms sufficiency and adequacy have similar meanings but from the legal point of view, they differ in their meanings and application. A consideration is considered adequate when a price or value received by any person is not proportionate to the price paid by the person. However, the courts are of the opinion that it depends on the parties to the contract as to what value is to be attached to the goods or services they intend to sell. Therefore, if the consideration in a contract is inadequate it does not invalidate the legal efficacy of the contract. This contention has been established in the case of Grogan v. Cooke where it has been observed that if the consideration is adequate and is not malafide in nature the court shall not intervene into the matter. It is an acceptable rule of common law that as long as the terms of a contract are not ambiguous and comprehensible the terms shall not be considered as unfair or inadequate. The rule is subject to the condition that the value attached to the services and the goods that forms the subject matter of the contract is nominal the goods and services are exempted from regulations as was expressed in Irish Steel Ltd case. Past consideration is not a good consideration If either of the parties to the contract executes an act willingly and the other party makes an undertaking after such performance, the consideration thus made is termed as past consideration. The Law of Contract stipulates that any consideration that is not made either with or after the promise becomes a past consideration and is not regarded as a valid consideration. Past consideration is not valid and cannot make the contract enforceable. This rule has been established in the case of Roscola v. Thomas (1842) 3 QB 234. The facts of the case were such that the plaintiff purchased a horse from the defendant and subsequent to the sale, the defendant assured him that the horse was sound by nature. However, later it was found that the horse was unsound and the plaintiff brought a legal action against the defendant for committing violation of the contract. The court held that the soundness of the horse did not amount to a valid consideration for the promise. The only consideration that w as made was the contract to sell the horse. However, the sale of the horse took place before the defendant had promised and hence it amounts to past consideration, which is not considered as a good and valid consideration. Part-payment of a debt is not a good consideration The rule established in the Pinnels case that fraction payment of a debt does not constitute a good consideration. If a party owes a certain amount of money to another party and assents to make fraction payment it is considered as part payment of a debt. The underlying reason behind the rule is that the proposal of making payment of a lesser amount cannot satisfy the outstanding greater amount and the law must decline to enforce the contract that includes such terms. This rule though was introduced in the Pinners case but was applied in the Foakes V Beer. In the latter case, Mrs. Beer asked Mr. Foakes to pay the debt for which Mr. Foakes asked for time subject to the condition that Mrs. Beer shall not take legal action against him. Mrs. Beer agreed to him but later she sued him for the remaining balance. It was held that Mrs. Beer was entitled to the payment of debt and that the promise made by her in exchange had no pecuniary value. Hence, it was not a good consideration. The most i mportant exception applicable to this rule is the doctrine of Promissory Estoppel. The doctrine binds a promise in the absence of a consideration. The doctrine states that if a party makes an undertaking relying upon which the other party acts on the promise, then the party making such undertaking is estopped or prohibited from turning in the promise made despite the party acting on such promise has not provided a good consideration. This doctrine has been established in the cases of Hughes Case (1877) and the High Trees (1947). The other exceptions applicable to the Pinnels case are that if the lesser sum proposed to be paid is accepted by the creditor; the amount is paid as an object that is acceptable by the creditor. Performance of a legal duty is not a good consideration When the plaintiff promises the defendant to fulfill a previous promise this amounts to insufficient consideration. Any public duty that is imposed by the law does not amount to a good consideration as the person is under statutory obligation to perform the legal duty. From the above discussions, it can be concluded that a consideration to be valid must be sufficient and adequate. As discussed above, for a consideration to be adequate it must be unambiguous and must not include any unfair terms. Again, a consideration is considered as sufficient in the eyes of law only when the promise made has economical value attached to it. Besides, having pecuniary value attached to the promise it must also be recognizable by the law. The intervention of the courts is unwanted, as the parties to the contract must decide the value to be attached to the goods and services. In case the terms are not fair and incomprehensible, the parties may seek the courts in the matter. A consideration acts as a fundamental element in the formation of a valid contract as it makes a contract legally binding and effective. For a contract to be enforceable by law, it is mandatory that the consideration is a good consideration. However, there remain difficulties in reconciling the s ufficiency and the adequacy argument. The main problem is that if practical advantage is to be considered to be the basis of a sufficient or adequate consideration, there are contrasting decisions that still do not make a clear statement as to whether a consideration must be sufficient or adequate for it to be valid. However, if the reasoning stated by the Court of Appeal in the Williams v. Roffey Bros is followed then the doctrine of consideration requires to be refined and restricted and recognition must be given to the practical benefit approach instead of the legal approach. Reference list Adriaanse, Mr John.Construction contract law. Palgrave Macmillan, 2016. Bailey, Veronica E.Cape Law: Text and cases: Contract law, Tort law and Real property. AuthorHouse, 2016. Gallagher, Ciaran. "Should the" Doctrine of Consideration" be abolished?." (2016). Hughes, Will, Ronan Champion, and John Murdoch.Construction contracts: law and management. Routledge, 2015. Kane, James. "The Rule in Pennel's Case: The Case for Repeal, a Mistaken Preponderance and Finding Consideration in Debt Renegotiations."Dublin ULJ37 (2014): 79. Liebenberg, Sandra, Colm O'Cinneide, and Gerry Whyte. "Case Notes and Recent Developments."Dublin University Law Journal37 (2014). Martin, Paul. "Estoppel: Binding promise without a contract: Court of appeal considers proprietary estoppel."LSJ: Law Society of NSW Journal23 (2016): 93. McKendrick, Ewan.Contract law: text, cases, and materials. Oxford University Press, 2014. Poole, Jill.Textbook on contract law. Oxford University Press, 2016. Robertson, Andrew. "Three Models of Promissory Estoppel."Browser Download This Paper(2014). Thampapillai, Dilan. "Practical Benefits and Promises to pay Lesser Sums: Reconsidering the Relationship between the Rule in Foakes v Beer and the Rule in Williams v Roffey."U. Queensland LJ34 (2015): 301. Zhang, Enkai. "Australian Business Law. A Case Study." (2015).