The Structure of the Marketing Environment Essay Example

The Structure of the Marketing Environment Essay Example The Structure of the Marketing Environment Paper The Structure of the Marketing Environment Paper   The consumer occupies the core/central position of all business activities and hence occupies the Centre of the marketing environment. The organization with its resources and having a policy and structure surrounds the consumer with its particular market offering as do its competitors, suppliers and other intermediaries. This micromanagement of marketing is again affected by the macro environment, which consists of the government, technical, political, social, economic factors. This is graphically represented by below 1 . The major external and uncontrollable factors that influence an organizations decision making, and affect its performance and strategies. These factors include the economic factors; demographics; legal, political, and social conditions; technological changes; and natural forces. 2. Specific examples of macro environment influences include competitors, changes in interest rates, changes in cultural tastes, disastrous weather, or government regulations. PESTLE Macro Environmental Analysis PESTLE The PESTLE Analysis is a framework used to scan the organizations external macro environment. The letters stand for Political, Economic Socio-cultural, Technological, Legal and Environmental. Some approaches will add in extra factors, such as International, or remove some to reduce it to PEST. However, these are all merely variations on a theme. The important principle is identifying the key factors from the wider, uncontrollable external environment that might affect the organization. The PESTLE Factors We start with the Political forces. First of all, political factors refer to the stability of the political environment and the attitudes of political parties or movements. This may manifest in government influence on tax policies, or government involvement in trading agreements. Political factors are inevitably entwined with Legal factors such as national employment laws, international trade regulations and restrictions, monopolies and mergers rules, and consumer protection. The difference between Political and Legal factors is that Political refers to attitudes and approaches, whereas gal factors are those which have become law and regulations. Legal needs to be complied with whereas Political may represent influences, restrictions or opportunities, but they are not mandatory. Economic factors represent the wider economy so may include economic growth rates, levels of employment ND unemployment, costs of raw materials such as energy, petrol and steel, interest rates and monetary policies, exchange rates and inflation rates. These may also vary from one country to another. Socio-cultural factors represent the culture of the society that an organization operates within. They may include demographics, age distribution, population growth rates, level of education, distribution of wealth and social classes, living conditions and lifestyle. Technological factors refer to the rate of new inventions and development, changes in information and mobile technology, changes in internet and e-commerce or even mobile commerce, and government spending on research. There is often a tendency to focus Technological developments on digital and internet-related areas, but it should also include materials development and new methods Of manufacture, distribution and logistics. Environmental impacts can include issues such as limited natural resources, waste disposal and recycling procedures. Additional Considerations A newer force which is gaining in importance is ethics. These can be defined by the set of moral principles and values that govern the actions and decisions of an individual or group. Ethics and morals serve as guidelines on how to act rightly and justly when individuals are faced with moral dilemmas. This force could include corporate social responsibility, fair trade, affiliation between corporations and charities. A particular problem may exist with how ethical factors relates to legal forces as they may be at different stages in development. Something may be ethical but not protected by law, whereas other activities may not be ethical, but are legal. A PESTLE analysis should feed into a SOOT analysis as it helps to determine the threats and opportunities represented by macro-environment forces that he organization usually cannot control. On an international basis, it is best to perform the analysis on a country-by-country basis because factors can differ greatly between countries (or even regions). Marketing Environment Micro The micro marketing environment consists of certain forces that are part of an organizations marketing process, but remain external to the organization. This micro marketing environment that surrounds organizations can be complex by nature; however the company has an element of control over how it operates within this environment. Marketing helps you to manage and aka sense of this complexity. The illustration above summarizes the order of the immediate external marketing environment that businesses operate in. Current and Potential Customers Your customers are vital to the growth and sustainability of your company. In order to grow you must locate customers, understand their needs and then satisfy those needs both efficiently and profitably. Competitors Your competitors however have the same remit as you when it comes to sourcing and satisfying the needs of the customer. They will make it difficult to liaise with customer groups, as by definition they are largely pursuing the name sets of customers as you. As a marketer, you must therefore not only monitor what competitors are doing in the external marketing environment today, but to also anticipate their likely response to your campaigns and to predict what they will do tomorrow. Intermediaries (Distributors/Wholesalers/ Retailers) Your business may require a network of wholesalers, distributors and/or retailer. These intermediaries provide an invaluable service in getting your products to the customer. You must therefore think carefully about how best to distribute your goods and build relationships. This area can be fierce in intention as not everyone can get access to the channels of distribution that they want. Suppliers One other important area to consider in the external marketing environment is your suppliers. A key supplier can be an important part of your business and may even attribute to your competitive advantage. Losing important suppliers can interrupt production flow or your competitive edge and prevent you from getting your product to your customers. Choice of suppliers, negotiation of terms and relationship building all become important tasks of the marketer. The wider marketing environment, discussed in a separate knowledge sheet, covers all other influences that might provide opportunities or threats to the organization. These include technological development, legal constraints, the economic environment and coloratura changes. This brief overview of the world in which companies operate in demonstrates that there are many relationships that matter. These need to be managed if the company is to conduct its business successfully. The main responsibility for managing these relationships lies within the marketing department. Using a SOOT SOOT is an important tool in auditing the external and internal environment f the organization. A SOOT Analysis should be more than a basic listing of strengths, weaknesses, opportunities and threats. Most organizations have the same, common-sense type of threats, such as competitors, technological changes, regulation and deregulation, or weaknesses such as high price, but these are all very general, hard to control elements meaning the utility can be quite limited. As Cornfields Professor Malcolm McDonald puts it, real SHOTS should be more concise and specific.

How to Stir Up Your Essay Writing Motivation

How to Stir Up Your Essay Writing Motivation How to Stir Up Your Essay Writing Motivation Essay writing motivation is invaluable. Finding personal motivation is key to success in any academic environment. Whenever you set out to complete an academic task, you face the risk of demotivation. This simply means you cannot find the inspiration to get to work. Starting on any project is always the most difficult part. Once you start you will find that moving onward is not nearly as challenging. As a college student, there are many things which might get in the way of stirring up the motivation, especially if you are busy with a multitude of other projects. But it is possible and we will show you how: Look Deep into Yourself If you are struggling to get motivated, look into yourself and find out what the issue is. You have control only over your actions and your thoughts, so if there is a problem with someone else or something else in your life, deal with it as far as you are personally able to and then let the rest go. You should not let yourself become demotivated to work simply because of things you cannot control. Get Less Stressed Sometimes the lack of personal motivation stems from stress, and more often than not in college stress can be debilitating for students who are unable to press onward through the storm. But thankfully, you can get back your personal motivation. If you are stressed about a project, break it down into smaller pieces. Crop down the Deadline Set up a deadline working backward from your due date so that you can assign manageable milestones for each day. Reward Yourself Give yourself a break as a reward once you accomplish the halfway point on your milestone list. Embrace the Feeling of Accomplishment Remember that setting smaller goals means you will feel accomplished more easily. That feeling will be motivating enough to get you through the next milestone, and the next one too. Soon enough, your entire project will be completed. This is something you want to apply to each task you face during the course of your academic career. A lack of personal motivation might come from feeling ill, from money problems, from stress, anxiety, or a fight with your friend. Regardless of why you are feeling less motivated, it is up to you to rise up, overcome the reasons for demotivation, and rectify the problem. Whether you are frustrated by a heavy workload, friends, family, or something else in between, you can identify the issue and start working to put it aside. If you are overwhelmed, start organizing your work or setting up a time management schedule. This will help you to feel motivated and accomplished; take that small accomplishment and turn it into something bigger and better. You can regain your motivation if you talk with family about your issues, or tell them that you need some space in order to get work done. Again, whatever the cause of your demotivation, find it out and fix it. Only then can you return to pursuing your academic goals. If you are demotivated in writing your paper feel free to contact our professional custom essay writing service right now!

Reason, Faith and Logos Essay Example | Topics and Well Written Essays - 2000 words

Reason, Faith and Logos - Essay Example As part of discussing the arguments made by each author, this study will present some self-evidence and/or empirical evidences behind the claims or arguments of each author. Comparison between the Philosophical and Theoretical Views on the Nature of Logos Plato was one of the great Greek philosophers in our history. Inspired by the theories of Parmenides, Plato mentioned that the term â€Å"logos† is a Greek term which means both the spoken and unspoken thoughts and reasoning that are rational by principles (Hillar, 1998). Since the era of Heraclitus, Audi (1999) revealed that the philosophical view of logos eventually became the basic philosophical theory of order and knowledge. The study of theology is focused on analyzing issues related to religion. As an essential part of the 1st century Jewish religious beliefs (Boyarin, 2001), the nature of logos is very much focused on revealing the truths. Given that the â€Å"logos† of theology is based on religious concept, Pl atonic defined logos as the divine â€Å"soul of the man Jesus Christ† (Basic Theology, 2012). It means that theological â€Å"logos† is all about thinking and uttering the word of God. Unlike the philosophical point-of-views, the Greek term â€Å"logos† (when based on a theological perspective) is simply referring to the act of speaking God’s words (Brent, 1999). It means that the nature of logos under the theological point-of-views is based on theological reasoning rather than pure rational reasoning. Conclusion that Boyarin (2001) Aims to Establish Published under the Harvard Theological Review, Boyarin (2001) wrote the article entitled â€Å"The Gospel of the Memra: Jewish Binitarianism and the Prologue to John†. In this article, the author thoroughly discussed the nature and significance of logos based on the views of theology (i.e. Judaism and Christianity) and philosphy. Unlike in Christianity which considers Jesus Christ as the son of God, Boyarin (2001) mentioned that the Deity is considered as the ultimate form of god. Regardless of whether or not a specific religion considers a Deity or Christ as the creator of this world, it will remain a fact that the logos of theology will always be associated with the reasoning of God. On the contrary, the logos of philosophy is not based on religious concept but rather based on the reasoning that is currently being used to govern the world. In other word, the philosophy of logos is not purely based on the teachings of God but more on a set of rules that people are obliged to observe when living in a particular society. Conclusion that Hillar (1998) Aims to Establish Hillar (1998) wrote the article entitled â€Å"The Logos and its Function in the Writings of Philo of Alexandria: Greek Interpretation of the Hebrew Myth and Foundations of Christianity†. According to Hillar (1998), Philo’s concept of logos is not clear because of his religious and mystical point-of-v iews. Since Philo’s religious views is very strong, God is considered as the ultimate goal whereas logos is considered as the â€Å"wisdom of God† (Hillar). Referring to God’s chief messenger, logos serve as the link between the human creatures in this world and God. Within this context, it means that the divine logos will allow the human

RESEARCHING BEHAVIORS OF INTERNET SHOPPING Research Paper - 1

RESEARCHING BEHAVIORS OF INTERNET SHOPPING - Research Paper Example For this research a lot of literature has been analyzed in depth and quantitative research design will be used for the purpose of conducting this research. This research will be conducted with full authenticity and all areas regarding the current and future trends in internet shopping will be investigated. The internet has become accessible to public for over twenty years by now. It came upon the scene and has exploded in popularity like few things have ever done in the history of mankind. Since the introduction of the World Wide Web, its value in the area of commerce as well as human life has been growing. Skeptical at first, online consumerism has steadily increased and, along with it, has come some positive and negative behaviors. Online business has been the most distinctive feature in this internet era. The internet is used by all types of people on a daily basis for multiple purposes. Internet shopping is one of the most accepted forms internet activities after email and browsing. Online business is the process of buying products through the internet. This has become the easiest way to purchase various items people want, without physically visiting the shop. When the customers wish to buy a product or service, they will explore it online and further make an evaluative learning about the product. This online shopping allows the consumers to search for information about the product and its prices. It opens a vast opportunities for the shoppers to study the product details. There will be several collections of items from books, prints, games to electronics, household materials, etc. They will be better attracted by learning the facts about the products they intended to buy. Then they assess other options avai lable and lastly make a decision to buy the one that most suits their needs, considering all aspects of the product. After, this, the money transaction is done and then the materials are provided. The instances of people

The Potential of Coconut Bagasse in Making White Charcoal Essay Example for Free

The Potential of Coconut Bagasse in Making White Charcoal Essay AN ACT PROVIDING FOR THE REGULATION OF THE CUTTING OF COCONUT TREES, ITS REPLENISHMENT, PROVIDING PENALTIES THEREFOR AND FOR OTHER PURPOSES. The Republic Act No. 8048, also known as the â€Å"Coconut Preservation Act of 1995†, states the importance, conservation and replanting of coconut trees. The act was approved on June 7, 1995 http://www.ustcivillaw.com/Republic%20Acts/RepActNo6260.php REPUBLIC ACT NO. 6260 AN ACT INSTITUTING A COCONUT INVESTMENT FUND AND CREATING A COCONUT INVESTMENT COMPANY FOR THE ADMINISTRATION THEREOF. The republic act no. 6260, also known as the coconut investment act, states the development of the coconut industry through the provision of adequate medium and long-term financing for capital investment in the industry by creating a corporation to be known as the Coconut Investment Company. It was approved on June 19, 1971 http://www.chanrobles.com/republicacts/republicactno4403.html REPUBLIC ACT NO. 4403 REPUBLIC ACT NO. 4403 AN ACT ENCOURAGING THE ORGANIZATION OF AGRO-INDUSTRIAL COCONUT COOPERATIVES UNDER THE JURISDICTION OF THE PHILIPPINE COCONUT ADMINISTRATION, AMENDING FOR THE PURPOSE REPUBLIC ACT NUMBERED ELEVEN HUNDRED FORTY-FIVE| | The republic act no. 4403 states the aim to help planters and processors organize themselves into associations and/or agro-industrial coconut cooperatives with a view to giving them greater control in the marketing of their products, to help them obtain more credit facilities, and to assist them in getting more participation in the income of the coconut industry. It was approved on June 19, 1965 RELATED LITERATURE http://www.pyroenergen.com/articles08/black-white-charcoal.htm Black Charcoal and White Charcoal This contains the differences between black and white charcoal, the procedures in making black and white charcoal and the benefits of white charcoal. It is also said that These charcoals are made by different methods of burning. About the Author: - Junji Takano is a Japanese health researcher involved in investigating the cause of many dreadful diseases. In 1968, he invented PYRO-ENERGEN, the first electrostatic therapy device for electromedicine that effectively eradicates viral diseases, cancer, and diseases of unknown cause. http://www.whitecharcoal.com/history_country.php History and Origin of White Charcoal| The history of white charcoal in goes back several thousand years to the Jomon era (Japan) according to web of japan. During the medieval period, Japan introduced Chinese charcoal-making techniques that represented an advance for those days, and around the 14th century charcoal was in common use. In the early modern period, Chado (the Way of Tea) took on greater importance, and this led to the making of an even finer variety of charcoal for the tea ceremony. Today, Japans charcoal-making techniques are admired worldwide. We can classify the different types of charcoal used in Japan into two broad categories: kuro-zumi (black charcoal) and shiro-zumi (white charcoal). http://www.oilgae.com/energy/sou/ae/re/be/bm/bag/bag.html Bagasse (sometimes spelled bagass) is the biomass remaining after sugarcane stalks are crushed to extract their juice. Bagasse is often used as a primary fuel source for sugar mills; when burned in quantity, it produces sufficient heat energy to supply all the needs of a typical sugar mill, with energy to spare.

Free Essays - Use of Satire in Pride and Prejudice :: Pride Prejudice Essays

Use of Satire in Pride and Prejudice Satire is used in Pride and Prejudice by Jane Austen to show the deficiencies in morals and ethics of the characters that Austen disapproves of. Satire is used to "attack" characters and to bring about change. The different characters types she satirizes are "suck-ups," hierarchical, and/or ignorant. Austen disapproves of Mr. Collins and that is why she attacks and satirizes him. Mr. Collins is a "suck-up." His living with Lady Catherine has caused him to demoralize himself. He thinks and talks highly of people higher than himself, such as, Lady Catherine DeBourgh. An example of this is when they were invited to dine with Lady Catherine DeBourgh and Mr. Collins then tells Elizabeth, "Do not make yourself uneasy, my dear cousin, about / your apparel. Lady Catherine is far form requiring that elegance of dress in us which becomes herself and / daughter. I would advise you merely to put on whatever / of your clothes is superior to the rest / ...she likes to have the distinction of rank preserved" (137 Austen). This shows how high he thinks Lady Catherine is and this sort of shows that he thinks he's sort of better than her by implying that she doesn't have an elegant dress. Another example of him "sucking-up" is when Mr. Collins introduces himself to Mr. Darcy at the ball. After introducing himself and making a "speech," Mr. Darcy "replied with an air of / distant civility / ...and Mr. Darcy's contempt / seemed abundantly increasing with the length of his / second speech" (85 Austen). When Mr. Collins returned to Elizabeth, he told her "Mr. Darcy seemed much / pleased with the attention" (85 Austen). Mr. Collins is so thickheaded that he didn't notice Mr. Darcy's contempt towards him. When Mr. Bennet commented on Mr. Collins letter, Mr. Bennet said that Mr. Collins letter contained a "mixture of servility / and self importance" (56 Austen). This is why Mr. Collins is also a fop. A fop is someone who sees himself/herself as much more sophisticated and well liked than they really are. He continually brags about his "so-called" friendship with Lady Catherine DeBourgh.

Aspects of a Tragic Hero

Aspects of a Tragic Hero To be a tragic hero, the character must show a great strength of heroism, including a vulnerability, that could lead to his or her demise. Sophocles, the great ancient playwright of the Greek Empire was as popular then as he is today. Antigone, one of his many plays, is still appreciated in modern day literature. Sophocles’ main characters Antigone and Creon are both similar and diverse in which they could qualify as tragic heroes. Antigone and Creon have very many similar traits that could qualify them both as tragic heroes. Creon demonstrates excessive pride by declaring that â€Å"He would never have any dealings with an enemy of the people† (1. 26-27 Sophocles). Creon only wanted Antigone to be an enemy of the people to allow his pride to stand strong. Even though Creon had sent down the orders to lay Antigione‘s brother, Polyneices, â€Å"out for the birds†, Antigone is determined to go against Creon’s demands for what she feels is right, therefore becoming a battle of wills. In contrasting Antigone and Creon, Antigone’s actions could be viewed as hubris, but she was only doing what was right for the sake of someone else, and probably would have done it for anybody. Where as Creon uses every moment to prove his power, instead of even considering what is right. This is proven true, even to the end when Creon wants to kill Antigone for her betrayal to him and his pride, while Antigone accepts it and decides to die with dignity. Unlike a samurai in Japan dying with dignity would not be submitting to their enemy, it would have been to take it into your own hands before the enemy had the pleasure (Strayer394). Antigone and Creon could qualify as tragic heroes because they were both equally Traylor2 engrossed in preserving their own pride. In the play, the gods look down upon Creon in his actions he took toward the burials of Etocles and Polyneices. This was enough for the gods to create a dust storm, so the reader thinks, until the dust settles. They soon realize it was Antigone creating it to cover up her underhanded plans to give her brother a proper burial. As you can see, both Antigone and Creon will go to tragic lengths to fulfill their desires. Traylor3 Works Cited Sophocles. â€Å"Antigone. † Holt McDougal Literature. Texas: Holt McDougal. 1068-1106. Print. Strayer, Robert W. Ways of the World: a Brief Global History. Boston: Bedford/St Martin's, 2009. Print.

Community Health Nursing Essay

Course Description: Continued study of nursing models and application of relevant theories to guide nursing practice as it pertains to health promotion and risk reduction. Using the family as the essential unit of care across all environments within the community, critical thinking and clinical decision-making processes will facilitate the design, management, and provision of care to modify risk factors. It promotes engagement of healthy lifestyles among individuals and families within the community. Specific clinical activities are related to prevention and reduction of health disparities across the life span through the conduct of community assessment and the development and implementation of culturally appropriate nursing strategies reflecting professional values and behaviors. Prerequisites or Co-requisite:NURS 3000, NURS 3020, SOC 2100 Course Objectives: At the conclusion of the course, the student will be able to: A.Describe the current focus of state, national and global health objectives. B.Define health promotion and population-focused nursing practice. C.Utilize principles of public health core functions and health education to formulate population focused health promotion interventions that address the goals of state, national and international objectives (outcomes). D.Function as patient/family advocate by designing, coordinating and managing the provision of nursing care focusing on health promotion and risk reduction in and across all environments. E.Demonstrate knowledge and sensitivity in the care of diverse populations in regard to age, gender, culture, race, religion, socioeconomic status and lifestyle preference. F.Facilitate active family participation in health assessment and the promotion of health lifestyles and health care decisions. G.Conduct comprehensive community assessment to determine family health risks/strengths. H.Demonstrate effective use of information-based technology in planning health care promotion with families in the community. I.Design and implement an appropriate curriculum for health promotion of families in the community. Program Assessment Plans are located at the following link and can be accessed by clicking on the link in the first column for each program.

H.R. Giger essays

H.R. Giger essays Over half a century before the dark subculture of morbidly inclined teenagers began to flourish in America, a young boy in Switzerland named Hans Rudi Giger was building ghost rides in his cellar and drawing deformed children on calendar sheets . Before his time, this artist went against the crowd, daring to be himself and daring to be different. As an accomplished sixty one year old painter, sculptor, moviemaker, costume designer and scriptwriter Giger doesnt create art, he lives it. The always confident and eccentric Giger has been known to wear hollowed out loaves of bread on his feet calling them shoes, and once dressed up a dog as a robotic monster, but he is most notorious for his masterpiece movie successes The Alien trilogy. As a young man Giger attended a myriad of art schools ranging from interior design to drawing schools, and he even attended a military college once. He started to create tables and masks in 1964, also the year his ink drawings began to be published in underground magazines. He was working a full-time furniture design job for designer Andreas Christen when he fell madly in love with an attractive actress named Li Tober in 1966 . In 1967 they moved into a vacant apartment next door to a condemned house, which proved to be the first of several condemned houses Giger would live in or near by in his lifetime. Nine years after moving in with Giger, Li shot herself in the head, leaving Giger in the clutches of despair . Throughout the sixties Giger remained very active in the art world, never taking a break. Friends helped him promote his galleries and films and he quickly became very well known and respected in the business. In 1970 Giger was inspired by his first of many horror nightmares to paint a series of paintings called the wet-cell paintings. Some of his paintings in this era had the haunting illusion that they are covered ...

Political Terms Dominate New Dictionary Entries

Political Terms Dominate New Dictionary Entries Political Terms Dominate New Dictionary Entries Political Terms Dominate New Dictionary Entries By Mark Nichol Dictionary.com’s newest set of entries to its lexicon, and some revised definitions for existing terms, reflect the politically themed discourse that has dominated the media over the past year. This post shares and defines some of those terms. Alt-right, discussed in this DailyWritingTips.com post, is not new to Dictionary.com, but its definition has been extended to clarify that the central tenets of those who espouse extreme right wing ideology are white nationalism and anti-Semitism. Similarly, though far is of course not a new listing, its definition now alludes to the sense of extreme political views when it appears in combination with left and right. Meanwhile, the existing entry for alt refers to the abbreviation’s usage in alt-right, and the one for â€Å"white nationalism† makes a distinction, based on geopolitical focus, between that phrase and â€Å"white supremacy.† The phrase â€Å"fake news† has its own new entry, describing the term as pertaining to sensationalized false journalistic content that serves to boost ad revenue and/or discredit an entity that is the subject of the content. An entry surprising for its late appearance is â€Å"false flag,† which has long referred to the use by marine vessels of a flag of a country the ship doesn’t represent in order to deceive personnel on an enemy vessel. By extension, the term now alludes to events in which a country attacks its own territory or assets and blames the attack on a belligerent nation (or an entity such as a terrorist organization), or to similar operations carried out in civilian contexts, as when a group or individual frames another for a violent act the first group or individual secretly committed in order to discredit the other party. Want to improve your English in five minutes a day? Get a subscription and start receiving our writing tips and exercises daily! Keep learning! Browse the Vocabulary category, check our popular posts, or choose a related post below:Bare or Bear With Me?Ten Yiddish Expressions You Should Know10 Tips for Clean, Clear Writing

Market Microstructure Approach Essay Example | Topics and Well Written Essays - 2000 words

Market Microstructure Approach - Essay Example The above factors will therefore be important in answering the discussing whether the market microstructure to exchange rate has been a radical departure from the 1960's, 1970's and 1980's international macroeconomic models. This will involve assessing ach factor against a certain model thus noting the development undergone. For example, the economic growth under the monetary model of the 1960's was slow compared to the economic growth in the recent market microstructure approach. Combining these factors with the market exchange rate expectations will give us the current change value. According to the monetary model argues that relative price levels of any given two countries will provide the determinant to exchange rate. ( Obstfeld, M. and Kenneth, R, 1996) The real output level in a given country will also be a very important factor in assessing the models development; this is because it directly affects the price levels of certain goods and services. For instance, a rise in the United States output level with the other factors remaining constant will lead to a fall in the average prices in the US this will in return lead to the dollar appreciation. Past and future fundamental economic factors will matter a lot since the plays an important role of determining the future market expectations rate. Some of the traditional model of exchange rate includes asset market approach, mundell Fleming model orgarch model among others. They all had a shortcoming of failing to explain exchange rate movement's ion the long run. Mundell Fleming Model This theory was developed by Marcus Fleming and Robert Mundell in the 1960's. It was an extension of the LM model describing a small open economy. It gives the relationship between the nominal exchange rate and output of an economy in the short run. The model assures that under fixed rate regime an increase in government expenditure will shift the cure to the right. (Hamilton, 1994) This shift will increase the interest rate with the resultant effect being an appreciation of the exchange rate. In the fixed system framework the exchange will be controlled by the local momentary authority. The momentary authority stabilizes the exchange rate by using local currencies to purchase foreign currencies. This will in turn shift the LM curve in line with the direction of the IS shift, a thing that helps in lowering the exchange rate by increasing the supply of local currency in the market. However, a decrease in the government expenditure will shift the IS curve to the right. The shift will lead to a decline in the level of interest rate resulting to a depreciation of the exchange rate. (Hamilton, 1994) The central bank or relevant monetary authority will vary the money supply so as to realize a constant exchange rate level. Local authority adds its foreign reserves through increased purchase of foreign currencies using the local currency. this will lead to exchange rate appreciation.Incase it wants to depreciate the exchange rate the authority will use the foreign reserves to purchase its own currency to