Optimising market share and profit margin:SMDP-based tariff pricing under the smart grid paradigm

Smart grid technologies have given rise to a liberalised and decentralised electricity market, enabling energy providers and retailers to have a better understanding of the demand side and its response to pricing signals. This paper puts forward a reinforcement-learning-powered tool aiding an electricity retailer to define the tariff prices it offers, in a bid to optimise its retail strategy. In a competitive market, an energy retailer aims to simultaneously increase the number of contracted customers and its profit margin. We have abstracted the problem of deciding on a tariff price as faced by a retailer, as a semi-Markov decision problem (SMDP). A hierarchical reinforcement learning approach, MaxQ value function decomposition, is applied to solve the SMDP through interactions with the market. To evaluate our trading strategy, we developed a retailer agent (termed AstonTAC) that uses the proposed SMDP framework to act in an open multi-agent simulation environment, the Power Trading Agent Competition (Power TAC). An evaluation and analysis of the 2013 Power TAC finals show that AstonTAC successfully selects sell prices that attract as many customers as necessary to maximise the profit margin. Moreover, during the competition, AstonTAC was the only retailer agent performing well across all retail market settings.

Profit as Cost versus Profit as Surplus over Cost: A Case Study on Varian's "Intermediate Microeconomics"

On the analysis of Varian’s textbook on Microeconomics, which I take to be a representative of the standard view, I argue that Varian provides two contrary notions of profit, namely, profit as surplus over cost and profit as cost. Varian starts by defining profit as the surplus of revenues over cost and, thus, as the part of the value of commodities that is not any cost; however, he provides a second definition of profit as a cost, namely, as the opportunity cost of capital. I also argue that the definition of competitive profit as the opportunity cost of capital involves a self-contradictory notion of opportunity cost.

Project alliancing Vs project partnering : a case study of the Australian National Museum project

Significant differences between project partnering and project alliancing occur in the selection process, management structure of the organisations undertaking the project and nature of risk and reward incentives. This paper helps clarify the nature of project alliancing and how alliance member organisations were selected for this case study. A core issue that differentiates between the two approaches is that in partnering, partners may reap rewards at the expense of other partners. In alliancing each alliance member places their profit margin and reward structure ÁÁat riskÂÂ. Thus in alliancing, the entire alliance entity either benefits together or not all. This fundamentally changes the motivation and dynamics of the relationship between alliance members.

Ten basic factors to identify suitable subcontractors for construction projects

With unpredictable workloads and a need for a multitude of specialized skills, many main contractors rely heavily on subcontracting to reduce their risks (Bresnen et al., 1985; Beardsworth et al., 1988). This is especially the case In Hong Kong, where the average direct labour content accounts for only around 1% of the total contract sum (Lai, 1987). Extensive usage of subcontracting is also reported in many other countries, including the UK (Gray and Flanagan, 1989) and Japan (Bennett et al., 1987). In addition, and depending upon the scale and complexity of works, it is not uncommon for subcontractors to further sublet their works to lower tier(s) subcontractors. Richter and Mitchell (1982) argued that main contractors can obtain a higher profit margin by reducing their performance costs by subcontracting work to those who have the necessary resources to perform the work more efficiently and economically. Subcontracting is also used strategically to allow firms to employ a minimum work force under fluctuating demand (Usdiken and Sözen, 1985). Through subcontracting, the risks of main contractors are also reduced, as errors in estimating or additional costs caused by delays or extra labour requirements can be absorbed by the subcontractors involved (Woon and Ofori, 2000). Despite these benefits, the quality of work can suffer when incapable or inexperienced subcontractors are employed. Additional problems also exist in the form of bid shopping, unclear accountability, and high fragmentation (Palaneeswaran et al., 2002). A recent CIB TG 23 International Conference, October 2003, Hong Kong report produced by the Hong Kong Construction Industry Review Committee (CIRC) points to development of a framework to help distinguish between capable and incapable subcontractors (Tang, 2001). This paper describes research aims at identifying and prioritising criteria for use in such a framework.

Small-scale commercial production of tilapia fry and fingerlings in concrete raceways

This paper discusses the investment prospects in Tilapia fry and fingerling production in raceways created from the concrete drainage channel of a reservoir or pond of an existing fish farm in Nigeria. With an initial capital of 1,300 and an annual operating cost of 310 spent on procurement of fish feed and brood stock for a 10 m super(2) raceway per se, a net profit of 4,100 and 5,090 would be realized from Sarotherodon galilaeus in the first year and subsequent years of production respectively, assuming that the fingerling production rate has been maintained through the production period. It is concluded that the application of this approach of optimizing the use of available resources in the fish farm for the productive breeding of Tilapia fry and fingerlings will apart from alleviating the problem of scarcity of stocking materials in the country, increase the profit margin accruing to the fish farmer

The role of women in marketing of frozen fish in Lagos State of Nigeria

The involvement of women in the marketing of frozen fish in Lagos State (Nigeria) was examined in this study. Two hundred questionnaires were administered to fish marketers in five markets randomly selected within the Lagos metropolis based on their storage capacities. These markets were Balogun (500 tones), Idumagbo and Idumota (250 tonnes each) Obalende and Epetedo (37.5 tonnes each). From the study results, a greater percentage of women (64.2%) are actively involved in marketing of frozen fish in the study areas. Over 56% of these traders are retailers while about 33% are wholesalers. More than 91% of the marketers were found to be literate. A high percentage of the frozen fish are imported (68%), 27% from coastal fishing and 5% from riverine fishing. The commonest fish in the markets were titus (34%), sardine (32%), hake 19%, catfish 10% and argentine 5%. Catfish has the highest profit margin. The greatest problem of these traders is the lack of modern storage facilities and where available, the erratic power supply constitutes a problem

Marketing of value-added products from silver carp and involvement of rural people in the production and marketing chain

Cost-profit analysis and market testing of some value-added products from silver carp such as fish mince block, fish sausage, fish ball, fish stick and fish burger were analyzed during April 2001 to March 2002. The study also explored the possibility to involve rural low-income people in the production and marketing of such products. The production of silver carp was higher in greater Jessore and Mymensingh districts but the price remained low during the peak-harvesting season in October to November. The price varied with size of the fish, season, market characteristics and effective demand of the buyers. Price of about 500 g size fish was found to be Tk. 20-25/kg in the rural markets. The average size of fish in the rural markets was 3S0-550 g while that in the urban markets it was 700-1,200 g. The cost of production of the value added products and profit margin were assessed on the basis of market price of the raw material as well as that of the finished products, transportation, storage and marketing costs. The profit margins of 34%, 39%, 81% and 31% of their sales price were obtained for fish sausage, fish ball, fish stick and fish burger, respectively. Actual production cost could be minimized if the fish is purchased directly from the farmers. Consumer's acceptance and marketability tests showed that both rural and urban people preferred fish ball than fish sausage. However, response towards the taste, flavor and color of fish ball and fish sausage was found to vary with occupations and age of the consumers. A correlation was observed between age group and acceptance of new products. Fish ball, fish stick and fish burger were found to be the most preferable items to the farmers because of easy formulation process with common utensils. Good marketing linkage and requirement of capital had been identified as the prerequisites for operating small-scale business on value-added fish products.

Overcoming Customer Dependency - A Case Study of Small Consumer Food Producers in Northern Ireland

Dependency on a small number of customer puts intense pressure on suppliers' profit margin and, in slow growing markets, limits their ability to grow. using stragtegic benchmarking information, a group of Northern Ireland consumer food producer are shown, depsite slow market growth and higher than averge customer dependency, to have increased market share while maintaining aboe vergate proitability. examination of the business strategic and develoment activites of the consumer food firms,and comparble information for other small food prodcuers in Ireland, suggests and emphasiss on cost-reduction and new prodcut development. A comparision of the productivity and prodcut range of the consuer food firms provides evidence of the success of these strategic. This suggests that even a relatively weak market situations, charactrised by dependency on a small number of customers, can be over come by effective and appropriate business strategy.

Docking the value of pigmeat? Prevalence and financial implications of welfare lesions in Irish slaughter pigs.

Expansion of the meat inspection process to incorporate animal-based welfare measurements could contribute towards significant improvements in pig (Sus scrofa domesticus) welfare and farm profitability. This study aimed to determine the prevalence of different welfare-related lesions on the carcase and their relationship with carcase condemnations (CC) and carcase weight (CW). The financial implications of losses associated with CC and CW reductions related to the welfare lesions were also estimated. Data on tail lesions, loin bruising and bursitis, CW and condemnation/trimming outcome (and associated weights) were collected for 3,537slaughter pigs (mean [± SEM] carcase weight: 79.2 [± 8.82] kg). Overall, 72.5% of pigs had detectable tail lesions, whilst 16.0 and 44.0% were affected by severe loin bruising and hind limb bursitis, respectively. There were 2.5% of study carcases condemned and a further 3.3% were trimmed. The primary cause of CC was abscessation. While tail lesion severity did not increase the risk of abscessation, it was significantly associated with CC. Male pigs had a higher risk of tail lesions and of CC. The financial loss to producers associated with CC and trimmings was estimated at €1.10 per study pig. CW was reduced by up to 12 kg in cases of severe tail lesions. However, even mild lesions were associated with a significant reduction in CW of 1.2 kg. The value of the loss in potential CW associated with tail lesions was €0.59 per study pig. Combined with losses attributable to CC and trimmings this represented a loss of 43% of the profit margin per pig, at the time of the study, attributable to tail biting. These findings illustrate the magnitude of the impact of tail biting on pig welfare and on profitability of the pig industry. They also emphasise the potential contribution that the inclusion of welfare parameters at meat inspection could make to pig producers in informing herd health and welfare management plans.

Un portrait du trafic de drogues fait par les membres de gangs de rue à Montréal

L’image qu’a la population du phénomène des gangs est fortement influencée par les médias. Les informations véhiculées par les journaux et par les canaux de nouvelles mettent généralement l’emphase sur les stéréotypes associés aux gangs et aux comportements de ces derniers. Ceci a pour conséquence de rehausser la crainte que développe la population à l’endroit des gangs de rue. Dans un contexte où le phénomène des gangs paraît devenu omniprésent dans nos quartiers, nos villes et représente une problématique en expansion dans plusieurs grandes villes du Québec et du Canada, une attention particulière portée au trafic de drogues fait par les membres de gangs de rue, reconnu par plusieurs comme la principale activité des gangs de rue, revêt sans nul doute un grand intérêt. Obtenir la description la plus précise possible, faite par des membres ou d’ex-membres de gangs de rue, à partir de leurs connaissances concernant le trafic de drogues étant donné leur appartenance et leur implication dans les activités d’un gang de rue et, le cas échéant, le trafic de drogues effectué par ce dernier, représente l’objectif principal de la présente étude. C’est par le biais d’entrevues avec les principaux concernés que le trafic de drogues fait par les membres de gangs est abordé. Au total, quinze entrevues semi-directives ont été réalisées auprès de membres et ex-membres de gangs de rue, tous – à une exception près - pris en charge au Centre jeunesse de Montréal-Institut universitaire. Globalement, il ressort de cette étude qu’en plus du trafic de stupéfiants, les gangs ou les membres de gangs s’adonneraient à une délinquance polymorphe, le trafic étant rarement l’unique source de revenus du gang ou du membre. De plus, le trafic de stupéfiants ne serait pas une activité exclusive aux gangs de rue auxquels appartiennent les membres interviewés. Ainsi, même si l’on retrouve un certain nombre de membres participant à la vente comme activité structurée d’un gang, il est possible pour un membre d’effectuer de la vente de drogues de façon indépendante, tout en étant affilié à un gang de rue. Il appert que la plupart des interviewés font partie d’une clique, s’identifient à une couleur ou à un quartier, et s’approvisionnent en drogues auprès de membres plus âgés et hauts placés dans la structure des gangs de rue, que les répondants identifient comme étant les vétérans. En ce qui les concerne, les répondants signalent l’importance de gagner la confiance des plus haut placés s’ils souhaitent débuter et évoluer dans la vente de stupéfiants. Lorsque la confiance est présente et que le nouveau vendeur débute ses activités, soit il s’approprie un territoire, généralement à l’intérieur de son quartier, soit on lui fournit un endroit de vente où il peut « travailler ». La présence d’un membre de la famille déjà affilié à un gang paraît faciliter le processus d’accès des nouveaux à l’activité de trafic. Lorsque les interviewés abordent l’aspect du territoire de vente, plusieurs dimensions viennent s’y greffer : la compétition, les conflits, les interactions avec les gangs ennemis et la violence, pour ne nommer que celles-là. Les interviewés indiquent vendre une certaine variété de drogues, le cannabis et le crack représentant les deux drogues les plus couramment citées. La marge de profits varierait, entre autres, en fonction du type de drogue vendue, du quartier et des caractéristiques de la clientèle. Cette dernière, malgré qu’elle soit diversifiée, comporte une constante : les consommateurs dépendants sont, comme plusieurs interviewés l’ont mentionné, prêts à tout pour assurer leur consommation. Les consommateurs sont ordinairement des étudiants, des propriétaires de commerces, des employés de bars, des travailleurs de la construction, des itinérants, des prostitués, des fêtards, des voyageurs de passage à Montréal. Les répondants dénotent également la présence de policiers, agents doubles, pouvant se présenter comme clients. Ceci étant, il leur apparaît essentiel de développer des habiletés permettant de détecter la présence policière et la distinguer des clients réguliers. Côté consommation, les interviewés affirment se limiter presqu’essentiellement à l’alcool et au cannabis. Néanmoins, plusieurs avouent avoir consommé une grande variété d’intoxicants au cours de leur vie. Plusieurs signalent qu’une trop grande consommation nuit à la vente de stupéfiants.

Análisis de viabilidad de apertura de oficina en la ciudad de Miami para Tecnotransmisiones Ltda.

TECNOTRANSMISIONES LTDA con más de 15 años de trayectoria en el mercado Colombiano ha llegado a posicionarse como una de las empresas líderes del sector ubicándose en las principales ciudades de Colombia y con el objetivo de emprender en el mercado internacional. Con ese fin incursionaron en el mercado Ecuatoriano abriendo la primera sede en la ciudad de Guayaquil y en este momento están pensando en abrir en otros países como Costa Rica y Perú. En su labor de ser distribuidores de marcas internacionales han visto como se han perdido oportunidades de agregar nuevas líneas de negocio debido a la falta de internacionalización de la empresa o a la falta de tener oficinas ubicadas en territorio Norte Americano. Es por eso que TECNOTRANSMISIONES LTDA, para poder hacer negocios con marcas que en este momento no están en su portafolio de productos ha tenido que recurrir a intermediarios que hacen que la mercancía llegue más costosa para el cliente y así mismo el margen de utilidad sea bajo. Sabiendo que la mayoría de mercancía proviene de los Estados Unidos y muchas de las marcas que comercializan en este momento son vendidas por intermediarios, en este trabajo se cuestiona si la apertura de una oficina comercial en Estados Unidos es viable para evitar los costos de intermediación en los que están incurriendo y cumplir el objetivo de expansión e internacionalización.

A motivação empreendedora e a satisfação com o desempenho organizacional em empresas de pequeno e médio porte de Blumenau: uma análise da indústria local

The current study arose from previous studies made by McClelland (1972), Namam; Slevin (1993), Kuratko; Hornsby; Naffziger (1997), Hoeltgebaum; Kato (2002); Hoeltgebaum;Debastini (2003), Hoeltgebaum; Santos; Loesch (2003) and Hoeltgebaum; Santos (2003). Its objective is to understand the reasons that that lead an entrepreneur to open his ownbusiness, his degree of satisfaction and to perceive if there is a relation between entrepreneurial motivation and the performance of companies. In order to concretize the objective, a descriptive qualitative/quantitative research was realized, amounting to 88 questions of a closed type, statistically ordered. Data collection was achieved by means of a questionnaire divided into 4 parts. Once responses to the questionnaires were obtained, analysis was performed on them, using LHSTAT software. Among the principal results, it was evident in the analysis of the questionnaires that there were a variety of motivations for opening a new business present among the interviewed, with a small, distinct difference in the frequency of the responses. When the satisfaction of the respondents regarding the performance of the company was analyzed, it was perceived that the greatest satisfaction derived from gross and net profit margin and return on investment. Several interdependencies between motivation and satisfactionand performance were evident in the research, with three in particular being the strongest. It was decided to include a category regarding behavioral characteristics of entrepreneurs tothe objectives of the project in which, according to the interviewees, these have a strong entrepreneurial profile; results showed that all the characteristics are well developed. It wasconcluded that the intrinsic motivations are more evident in the entrepreneurs interviewed and that the greatest satisfaction among them lies in the area of gross and net profit margin andin return over investment. It was perceived that there are clear relationships between the motivation of entrepreneurs and satisfaction with the performance of companies.

Multi-agent simulation of sawmill yard operations

This paper reports the findings of using multi-agent based simulation model to evaluate the sawmill yard operations within a large privately owned sawmill in Sweden, Bergkvist Insjön AB in the current case. Conventional working routines within sawmill yard threaten the overall efficiency and thereby limit the profit margin of sawmill. Deploying dynamic work routines within the sawmill yard is not readily feasible in real time, so discrete event simulation model has been investigated to be able to report optimal work order depending on the situations. Preliminary investigations indicate that the results achieved by simulation model are promising. It is expected that the results achieved in the current case will support Bergkvist-Insjön AB in making optimal decisions by deploying efficient work order in sawmill yard.

Utilização de instrumentos de planejamento financeiro estratégico em pequenas e médias empresas no estado do Paraná

o presente trabalho averigua os modelos estratégicos atuais e, sua aplicabilidade nas pequenas empresas no que tange à viabilidade financeira de projetos dirigidos a esse assunto. Procurou-se desenvolver a pesquisa com o objetivo de investigar a influência e a operacionalidade dos modelos correntes de estratégia, na liquidez das pequenas empresas, de modo a transformar os dados destas analises financeiras básicas em ferramentas estratégicas de minimização de risco. O método utilizado para o estudo foi o da exploração de literatura de planejamento estratégico e análise financeira de tomada de decisão. Aplicação da teoria foi verificada em uma amostra não generalística e préestabelecida pelo autor, através de um questionário objetivo. As perguntas constantes neste questionário contemplaram a verificação do nível dos conceitos estratégicos presentes nas empresas, suas condições atuais perante a perspectiva financeira e a disponibilidade da aplicação dos conceitos em projetos de planejamento estratégico. Os resultados revelaram a presença de vários conceitos e diretrizes teóricas; porém na averiguação da condição financeira, as empresas pesquisadas apresentaram, através de notas, estado de li qui dez enxuto e com pouca margem de folga para investimentos na área estratégica. O contraponto da pesquisa foi dado pelo modo que como as empresas estão sendo obrigadas a esta análise, por mais que haja conhecimento do assunto, estes critérios não estão sendo utilizados, fato observado na terceira seção do questionário. As conclusões demonstraram que as pequenas empresas pesquisadas oferecem condições de desenvolvimentos estratégicos na forma de adaptações. A teoria informou que isto também constitui um procedimento válido. Porém os conceitos dessas adaptações devem ser avaliados perante a perspectiva da viabilidade financeira e de composição dos custos de capital a ser aplicado. Isto estabelece, além da implantação do início da adaptação estratégica, o uso de ferramentas financeiras básicas e de critérios de análise de risco, sendo esses fatos extremamente compatíveis com o tamanho das empresas e com os preceitos estratégicos. Assim, a hipótese estipula pelo trabalho apresentou compatibilidade com a pesquisa visto que, a teoria corrente demonstrou não ser viável para os gestores, ou ainda, ser aplicada para os casos em estudo. O texto e a pesquisa demonstram isto de modo que, para o caso das pequenas empresas a solução é a adaptação estratégica com estudo de viabilidade e, não a aceitação completa dos modelos propostos normalmente.

Análise econômica de cultivos consorciados de alface americana x rabanete: um estudo de caso

O trabalho foi realizado para verificar se cultivos consorciados de alface e de rabanete são economicamente viáveis. Foram elaborados os custos de produção das culturas em monocultivo e em consorciação. Alguns indicadores agroeconômicos foram usados para avaliar a eficiência dos sistemas consorciados: índice de uso eficiente da terra, receita bruta, receita líquida, vantagem monetária, vantagem monetária corrigida, taxa de retorno e índice de lucratividade. A associação das culturas da alface e rabanete permitiu um melhor aproveitamento dos fatores de produção, com aumento na produção por unidade de área. Os consórcios estabelecidos ao zero (espaçamento entrelinha 0,30 x 0,30 m) e aos 14 dias após o transplantio da alface (espaçamento entrelinhas de 0,40 x 0,30m) tiveram os melhores indicadores agroeconômicos, com índices de uso eficiente da terra de 1,76 e 1,61, taxas de retorno de 4,13 e 4,53, e índices de lucratividade de 75,77 e 77,94%, respectivamente.