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The Case of NASA

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  • Pages: 6
  • Word count: 1279
  • Category: Science

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SUBJECT: Budget Effects on the Consumer Behavior

The introduction of the new financial year by the government has brought alongside it a lot of shift s in the common trends of our consumers. It has been noted within the first month of the greatly consumer-friendly budget implementation that the sales levels within the month for our products, the mobile phones and the digital cameras, has in a cute manner shifted direction to the positive side from 50 mobile phone sales per week to 70. Although we are facing moments of financial crisis not only in our country but also in the whole globe’s economic arena, the consumers have dramatically widened their spending ratio on the two mentioned electronic gargets. We are therefore forced to look in to the issue as a company and greatly take advantage of the prevailing market conditions when they are still favorable for our enterprise.

The reason for the consumer’s change in behavior though is greatly pegged, on the fact that the state has totally offloaded the tax charged on the commodities and hence the great shifts in the consumer demand and effective consumption since the prices are now pocket-friendly to the consumer as we are now not including the tax charge on our prices. As a profit oriented firm, we are therefore forced to look in to the following issue as best options for our company to take advantage of during this period of high levels of the consumer spending on the mentioned goods.

Increase our purchases trend

As an effective method of dealing with the situation at hand, the more we are going to sell the more profits we are going to make since by all means we are not in a position to totally rely on the government’s strategy since it may wake up in the coming budget and greatly again increase the levels of taxes on the commodities. As a method therefore of ensuring that the company takes maximum advantage of the situation and exploit it fully, we can increase our supply to the market but with great caution as most of the people will now be tempted to buy the less expensive phones and digital cameras. In regard to the sales records for the past two weeks we can with comfort deduce that the consumers purchasing trends have greatly reduced from the expensive and trendy phones to the less expensive and simple phones by a ratio of 2:5. In our purchases therefore, we should put in to consideration the above trend while carrying out our purchases from the suppliers.

Offer studio services as our new venture

As a result of the demand created by the consumers, the digital cameras have vastly overwhelmed the market and the consumers are to a large extent demanding for the photo processing services from our sales people which is a great disappointment that we can not take advantage of the situation and exploit the demand while it is still present. After careful assessment of the capital requirement for the new venture, our team deduced that we can with ease enter in to the new enterprise and make a lot of profits estimated to be a boost to our annual profits by about 10%.

The financial year is estimated to be favorable to us in the next period and with the implementation of the above issues, we can effectively increase our profits by a statistical estimate of 30%.

Attachments: The sales Journal, The Daily Press June 10, 2009.

Summary on the Challenger Explosion

            Though highly controversial and highly captivating, the Challenger explosion has been adequately discussed to have had nothing to do with the Groupthink that it was squarely responsible for the Challenger space explosion. The issue is specifically laid on the engineers and the group think only comes in due to the fact that they did not meet one of the managers of the contractors on the very day when the take-off occurred. It is therefore only viewed as a contributing force of failure on that day but not as determining force of failure. A commission was formed but its failure is by no means anything to talk of since they submitted their report to NASA which was to implement them so as to avoid a repeat of the same tragedy. They have much blame to lay on the shoulders of the NASA team for the ineffectiveness of their commission.

Summary on the Columbia Explosion

            Although the main theme in the cause for the accident is foam insulation, the explosion is still a burden on the shoulders of the groupthink that chaired the project. We are told that everything else in the project seemed to be carrying on well that the groupthink was overwhelmed and over looked the fact that there could be any possibilities of an accident to occur (Ferraris, Rodney, 2000, P. 2). We are told that the problem had been foreseen but the group was too reluctant to discuss the issue as every member was all optimistic regarding the project and hence they all anticipated for a successful take off of the plan as per schedule. This though did not happen and the result was a terrible accident, a repeat of the 1986 explosion (Ferraris, Rodney, 2000, P. 4). NASA is therefore brought on a compromising platform again.

Comparisons in the two Groupthinks

            The two groupthinks have a heavy coat of similarities and a very light one for the differences in them. The only seemingly difference is the apparent fact that the challenger groupthink was by all clear terms acting out of no reference of any space jet explosion. The Columbia explosion on the other hand was better off as it had a reference to peg its work on (Ferraris, Rodney, 2000, P. 3). In fact their reference was a great source as it presented possibilities of all the loop holes that could occur since their reference was the failed challenger groupthink.  Apparently though, this did not seem to effectively work to their advantage as it was highly anticipated but they also fell under the same traps that had faced their colleagues.

The groupthinks were both answerable for the tragedies as they had assumed their roles. In the fist groupthink, they greatly assume meeting with the manager of the contractors on the very day. In the report we are also told that they decided to overlook on their engineer and these two contributing factors resulted in to them failing and an explosion succeeding (Ferraris, Rodney, 2000, P. 7). On the other hand, we are also presented with the Challenger explosion that was met with high levels of confidence that resulted in the members of the groupthink greatly assuming that the project was already a success and hence they failed to initiate the system to check the foam insulation that was the cause of every mess.


            Since it has remained clear that the two explosions were as a consequence of the groupthink having an oversight on the technological loopholes (Ferraris, Rodney, 2000, P. 9) I would suggest that the groupthink as much as possible should have with themselves a qualified engineer as an active member. Communications should also be greatly improved as the two failures can be effectively linked to failure in the transfer of information to the appropriate sources at the correct time (Ferraris, Rodney, 2000, P. 5).

Work Cited

Ferraris, C. Rodney, C. (2000), NASA and the Columbia Disaster: Decision-making by Groupthink: Rochester:  Western Oregon University/Rochester Institute of Technology

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