Technology And Modern Contemporary Schools - 1654 Words

Abstract This reflective essay’s goal is to mirror my opinion regarding the use of technologies in teaching in modern contemporary schools. It describes how technologies help teachers in educational process, in what ways they are useful and beneficial for more effective learning, and what should be done to obtain the best possible results when technologies are implemented. The paper also mentions disadvantages, which may prevent teachers and school administrators from introducing technologies in their teaching, as well as barriers, which should be conquered. The conclusion states that technologies in modern 21st century schools are the necessary, indispensable element of the educational process, and all fears set aside, teachers should aim for making the educational process more interesting, exciting and engaging. In the world where technologies become more and more developed and helpful in many fields of people’s lives it seems natural that their implementation has expanded in the sphere of education. Children obtain access to computers and mobile gadgets in a very young age and no wonder they are familiar with technologies and need them in their everyday life. According to Duncan (2012), technology has become a new platform for students’ learning process, and while schools at present still choose to use or not to use technologies, it is a preference and an advisable strategy. Education becomes more individualized and knowledge – more convenient toShow MoreRelatedA Modern Day Management Approach1221 Words   |  5 PagesThe 21st century has brought with it a unique approach to management and leadership as a reaction to environmental changes, intensifying competition and availability of technology. 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The Importance Of China s Music Industry - 1828 Words

Due to the sharp growth of economic and the huge scale of music market in China, the importance of China’s music industry catches the attention. Although the China’s music industry still cannot shake off some issues such as governmental control, political influence, copyright and so on (Montgomery 2010), the innovation of information technology bring an enormous change to this industry. Indeed, from 2000, this dramatically change attracted more international music companies to enter China’s music market. It is complicated to study on an underdevelopment music industry in China. Cookson (2014) got an opportunity to interview Max Hole who is the leader of international business at Universal Music. Max assures that the existing music business model in China is not completely broken, but it is fairly broken. The reason why China’s music industry is exciting at this moment is that they may get a chance to skip it and go directly to a streaming model. 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Project Report Hinkley Point C Nuclear Power Station

Question: Discuss about theProject Reportfor Hinkley Point C Nuclear Power Station. Answer: Introduction: In a modern environmentally friendly world, it has benefits and merits of Nuclear Power. However, on the other hand a controversial subject. It is in proof that nuclear power is a further resourceful power product than its leftover energy producers. It is moreover towards in contributing to carbon dioxide emissions since it does not burn as such. In addition, of this nuclear waste is not easy to dispose of. Therefore, a proposal came for constructing the nuclear power station that too of thirty two hundred megawatt (3200 MWe). Government of British in the year of 2010 introduced it and name of the proposal is Hinkley Point C nuclear power station (HPC) project. Analysis: Hinkley Point C nuclear power station (HPC) is the one of the first nuclear power stations for new generations with an ability to produce reliable, safe, electricity with a low carbon. It able to provide electricity to 6 million homes with a lifespan of around 60 years. It is big project with huge investment and it will generate employment in a large-scale. A project has become an inspiration for upcoming new generation. (In brief Hinkley "approved"", December 2013) Using the conceptual model, there are challenges and opportunities faced by project team member in their endeavor to manage the projects. Challenges: Undefined goals when the goals and aims not clearly identified and due to that, project and decisions are suffer. Change in scope extending the limits of original objectives affecting the deadlines and cost estimation of desired project. Inadequate team skills and knowledge leads to the inappropriate work. Lack of team spirit and leadership qualities are unproductive. Ineffective communications among the members resulting in failure Deficiency of resource does not obtain approval upfront. (Nuclear power, October 2010) Opportunities: The successful project needs to have well-skilled and proficient members in a team working together to accomplish a goal. There is a need to understand and identify the needs, requirements and responsibilities of a team before starting a project. The successful project management skills erudite and performed with quality project management training. It is imperative to sincerely appraise skills and work to get better that deficiency. Enduring edification is characteristically the initial step in the direction of overcoming the challenges that likely arises throughout project management. (Nuclear energy, September 2008) Project members can learn best practices through training programs presented online via an agile, video-based e-learning platform. These training programs proves to be best way to exercise and educate about building leadership qualities, identifying the quick solutions for problems an d acting on them respectively and accordingly. These programs expand the career opportunities and successful implementation of project. (Hinkley Point C, August 2016) Conclusion: Nuclear energy will certainly be very important to seal the power breach that has expected, given the assurance to plummeting fossil fuel use. It is an energy resource with the prospective to turn out a big quantity of electrical energy with an inferior brunt on the environment. References: "In brief Hinkley "approved"". The Guardian. World Information Service on Energy. 14 September 1990. Retrieved 30 December 2013. "Hinkley Point C: EDF's Board of Directors approves the final investment decision". EDF Energy. Retrieved 7 August 2016. "Nuclear power: Eight sites identified for future plants". BBC News. BBC. 18 October 2010. Retrieved 18 October 2010. "Nuclear energy: British Energy facts". Telegraph.co.uk. London: The Telegraph. 24 September 2008. Retrieved 25 September 2008.

Porters Five Forces free essay sample

In the future| Can substitute products really do the job that current products do? (is it a true substitute in every aspect? )- Likelihood of current buyers switching if given a viable alternative. Switching cost incurred by buyer| Bargaining Power of Buyers| Strength of the negotiating power of the buyers of the firm’s or industry’s output, and what is the impact of the distribution of the value-added by the industry? | Bargaining Leverage: Relates closely to factors affecting the other forces. Low switching costs and readily avail. Sub. Give the buyers leverage and help to strength this force for buyers- Buyer’s Price Sensitivity: Depend on qualitative factors such as, brand, product differences, quality and performance. Also, quantitative such as price relative to total purchases and profitability| Bargaining Power of Suppliers| Strength of negotiating position of supplier of production inputs to the industry. What is the impact of the distribution of the value-added- Stronger the bargaining power, greater ability to increase share of the value-added in the form of higher prices or the inputs they sell to the industry| Differentiation of inputs that are acceptable to the industry- Presence of substitute inputs closely related to the differentiation of input- Supplier concentration (a lot of suppliers? )- Importance of volume to supplier. We will write a custom essay sample on Porters Five Forces or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page The more volume req. by seller, the harder they will work to maintain this volume and the lower their bargaining power. Threat of forward integration means that supplier may be interested in entering the industry. Greater switching cost, greater the supplier power. Rivalry Among Existing Competitors| Will existing firms compete away the value added component through lower prices and higher costs to compete? | No. of competitors (more, greater rivalry)- Industry growth implies demand for the product is strong, and the need to engage in competition, both price and on-price, is reduced- High degree of operating or financial leverage makes it more likely participants will engage in price competition (or respond to such competition) to defend their market share and cover fixed costs. Greater the participant’s commitment to business, the greater likelihood of competitive behavior- Product differences- Product shelf life (shorter shelf life, greater potential for price competition)- The existence of the exit barriers, costly to leave industry, which will mean greater competition- Amount of info comp lexity can make it difficult for competitors to communicate discretely in ways that can reduce the likelihood of damaging competition| Temporary Factors that may affect an industry, but do not determine industry profitability an structure in the LT: * This factors only affect the Porters 5 forces, therefore analyze how they affect the 5 forces. Temporary Factors| Description| Industry Growth Rate| High g diminishes rivalry but does not assure profitability if other forces are detrimental to profits| Innovation and Technology| Improved tech does not improve profits if it attracts competitors- Low tech industries can be very profitable if the overall effect of the five forces is positive| Government Policies| Can be good or bad. Prone to change through time| Complementary Products| Can have +’ve or –â€Å"ve effect- Can create or increase barriers to entry and reduce the threat of substitutes, while others can increase industry rivalry to serve the demand generated by purchase of complement| 3 Strategies that Firms can Employ to use Five Forces in its Favor 1. Altering the Firm’s Existing Position Managers should attempt to intentionally create changes in Porter’s Five Forces by reducing: * Customer Power – increase service or bypassing the middleman and sell directly to end users * Supplier Power – use standar d parts that can be sourced from many vendors or outsource labor to more favorable markets * Substitutes – make product more widely avail. Or enhance product features * Threat of Entry – raise barriers to entry by raising fixed costs through increased RD or mechanization * Rivalry – avoid price wars and focus on differentiating products and finding or creating new market niches and geographic segments 2. Capitalizing on Changes in the Industry * These type of change are opportunities to firms that are positioned to capitalized on them * Forward or backward integration External forces such as improvement ot substitutes * Sudden dramatic change 3. Creating Changes in the Industry Structure * Firm can move entire industry in directions that improve industry attractiveness by enhancing industry value-added overall (eliminate inefficiencies in the supply chain or distribution network) * Can move industry in directions that play to its strength and enhance its competi tive advantage (create barriers to entry by raising fixed cost and increase econ. of scale) * Can’t engage in practice that improve short term competitive e position at the cost of long term industry attractiveness (price discounting) Porters Five Forces free essay sample Porters five forces model is an outline for the market analysis and business strategy development, it includes five forces that decide the competitive power and attractiveness of a market which in turn affect profitability. However the pure competition model implies that risk adjusted rates of return should be constant across firms and industries while different economic studies have opposed the model going on to state that different firms can have varying profitability levels from one given time to another. Henry E Porter, a havard lecturer and economist was among those who opposed the model and through numerous studies, he came up with the notion that in a particular industry various forces, specifically five, affect a firm’s capability to serve its consumers and make profit. A change in any of the forces make a business unit to re-assess the marketplace. Tough industry may look attractive to start a business, it does not mean that every company in the industry will earn the same profitability. We will write a custom essay sample on Porters five forces or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page Some business may have better market place and earn higher profit whilst another business in the same industry may end up at break even point. To overcome this an organization must apply their core competencies, business model or network to achieve a profit over the other competitors. This model of Porters five forces include threat of existing rivals, threat of new entrants, threat of substitutes, bargaining power of suppliers and the bargaining power of customers or buyers. Porters Five Forces Analysis shows that there are five important elements that verify competitive control in a business location and market attractiveness. Organisation Amaya Resorts Spa brings guests authentic Sri Lankan experiences. Architecture, arts, music, dance, cuisine – Amaya incorporates each aspect of local culture into its retreats. Amaya Resorts Spas is a subsidiary of Connaissance Holdings. Under Amaya Resorts Spa they have three hotels. Amaya Lake, Amya Hills and Amaya Reef Hotel locate at three deferent locations. In this assignment I have chosen Amaya Lake hotel at Dambulla to study and apply Porter’s five forces model. Porter’s 5-Forces 1 Threat of New Entrants Demand for Restaurants, Guest Houses and motels are still under the spot light. Yet majority of large chain hotels have established their authority with operating efficiency, and key marketing-mix outflow. This influential force has an immense impact on the small ordinary Hotels, Restaurants, bakers, Guest Houses and motels etc. Therefore, it possesses a tough obstacle for new companies who wish to enter in to the hospitality industry. For instance, it becomes rather complicated for new competitors to raise adequate resources and establish extremely developed service. This is also evident in vast investments done by large chains like Amaya Resorts Spa, on advanced technology for check-ins, checkouts and stock control systems that blow new competitors and the existing ones. Amya Lake has overcome threat of new entrance with their insistent operational strategies in product development, promotional activity and better service. Threat of new entrants for Amaya Lake – Up coming Restaurants, Bars, clubs, guest Houses, boutique hotels, ect†¦. 2 Bar gaining Power of Suppliers This force stands for the control of suppliers towards hotels. Suppliers can be the holy owners of the decision making in terms of price. Yet that can be influenced by foremost hotel chains. By creating fear of losing their business to other suppliers’ hotels can still have the control over them. By having number of suppliers as an option and also by bargain improved promotional prices that small individual hotels are unable to compete will enable the control over the suppliers. On the other hand suppliers are also vulnerable by the rising capacity of large hotels to resource their supplies from overseas at better deals. At Amaya Lake they have well controlled the supplier power choosing many numbers of suppliers using their growing ability in hotel industry and as well as having and strong and better relationship with the other suppliers. Suppliers of Amaya Lake – Most vegetables and fruits are harvested in their own garden, apart from that  they have chain of suppli ers to supply other main materials. 3 Bargaining Power of Customers Porter said that more the service become uniformed consumers find many options to chose, hence more power is given to buyers. If a hotel does not identify customers need and break the informality of the service, retaining customers will become bit of a hard task. At this point Amya Lakes famous loyalty card remains the most successful customer maintenance strategy that drastically increases the profitability of there business, also by taking care of customer needs, providing customized service, ensuring low prices, implementing better choices, adding value additions, having constant promotions they have attract many numbers of customers under their wing. This has contributed to retain their customer base over the period of time. Ecologically kind and ethically sound food and beverage products makes customers more glued to Amya Lake than the competitors in the market. Customers of Amaya Lake – mostly the leisure market have been targeted by Amaya Lake, and by maintaining a bett er customer relationship portfolio they kind of have their own market segment. Since customers mostly get their desired experience at Amaya Lake they prefer to stay with them. 4 Threats of Substitutes Substitution is having other Medias to full fill once needs. For example in-house guest who wants to enjoy a meal have many choices. One is going to hotel restaurant and have the meal or order room service and have meals or go to an out side restaurant and have his meal. Having third option chosen reduces the demand, as there is a threat of consumers switching to the choices .In the hospitality industry this can be seen in the form of service-for-service or the substitute of need, and this takes place by new developments such as the way small hotels, restaurants, bars, clubs ect†¦ this happens in a way of convenience, tailor maidens, easy access and proper customer care ect†¦. Amya Lake has overcome this by adding few value additions such as Bar, Restaurants, Gym, and Spots complex, DJ club for residents and non residence for affordable price with better service. Substitutes to Amaya Lake – Restaurants, motels, sports centers, bars , ect 5 Threats of Existing Rivals Traditional economics model illustrate perfect competition as a result of competition among rival firms. Today however, competition is more of a driver towards competitive edge rather perfect competition. Generaly, the concentration ratio (CR) is at most used as a measure of rivalry intensity in a given industry by the use of industry concentration as an indicator whereby, a high CR indicates a large percentage of the market share is held by the largest firms in the industry thus a less competitive landscape and a low CR indicates a presence of a very fragmented market with many rivals none of them with any significant market share leading to a very competitive landscape. Still, an industry’s trend analysis doesn’t only rely on marketshare but can also be defined in a way that it portrays additional information vapart from the use of concentration ratio. A lower rivary among firms in a given industry is ussualy a sign of discipline within the industry, this harmonious environment may be a result of an informal compliance of certain generally understood code of conduct or simply the role played by the leading firm. Any competitive moves are informally constrained but a maverick firm may rise to the occasion and shift the given harmonious market into a different direction, likely competitive. On the other hand when a rival acts in a way that calls for counter responsive acts from other firms then rivalry intensifies in an aggressive manner, this aggressiveness can be distinguished as weak, moderate, intense or cutthroat (guerilla) depending on the responsiveness. Rivarly scenario in the beverage industry In the beverage (soft-drinks) industry competition intensifies whenever; Presence of a number of firms though Pepsi is a key player in the industry the company has to compete for market share among others to ensure maintainance and growth of its share. With high fixed costs involved in the industry, PepsiCo is not exception to the fact that production is at almost capacity thus major emphasis to product movement and target attainment which works up-down on the organizational structure to ensure competitive edge at market place over rivals. High market growth for soft drinks is also a factor that intensifies the industry’s competition. Low switching costs for customers are another cause for intense reivarly in the industry as its as  easy as the alphabet for a customer or consumer to switch from pepsi to Azam cola or a Coke thus Pepsi stays focused to quality control and assurance. Switching as a result of product differentiation being at low levels in the industry, in turn calls for branding efforts as the recent pairing with Beyonce, a worldwide mega artist for it’s advertising campaign from late last year up to date. The industry is permanently characterized by high exit barriers due to the extensively specialized nature of its investment, its not as easy to leave since abandonment of the product costs as much as acquiring it thus competiton is intense and need for creativity at reaching competitive edge. The growing market as an advantage but an influencing force for intense rivalry in the industry, 90% of the young population Pepsi on pursuing an advantage over its rivals in the industry has been able to make various competitive moves as; Changing prices Improving product differentiation Creative use of distribution channels Exploiting supplier relationships Having many competitors in the market for the same industry which provides uniformly neat service make little control over the condition, where suppliers and buyers have the power to choice with whom they need to deal with, if they do not get a good deal. On the other hand, if only you provide one particular service and no one can do what you do, then you can often have a wonderful force over suppliers and buyers which leads them to have no choice but to retain with you. Hospitality trade has seen a considerable growth in the size and market power of the larger groups and small groups, with greater size it may attract reasonable number of guest who are utilizing range of value additions, which are now important characteristics of the segment. Yet some guest prefers small or mid size hotels with more privacy, affordable and more religious, as it was mentioned above, the power of choosing the place where a guest might want to go depends on competition among the industry. At Amaya Lake targeted customers mostly tend to choose them, since they have different room categories at different locations, and guests have choices of there own. Operating in an established market makes  growth hard mainly because of the competition among businesses. And on the hand highly competitive market has speed up level of growth, ensuing in a circumstances in which hospitality sector may have to be innovative to maintain and build market share. Such innovation can be seen in the development of a variety of operating systems, in reaction to alter in consumer behavior. Market leaders have reacted by focusing on service, price and value additions. Amaya Lake is one of the chain hotels having its own customers in the market with other competitors by providing better service and value additions to its customers. . Competitors of Amaya Lake Sorrowwa Resorts Spa, Gimanhala Hotel, Chaya Village, Heritance Kandalama Hotel, Thilanka Hotel Additional theories Porters Diamond of National Advantage Theory, In this theory Porter highlighted that comparative advantage inhabit in the factor donation that a nation may be lucky enough to inherit. Factor aids contain property, natural resources, labor, and the size of the local residents. Michael E. Porter said that a nation can generate new highly developed factor contributions such as technology, skilled labor and knowledge base, government support, and culture. Porter implement a diamond shaped map as the foundation of a structure to demonstrate the determinants of national advantage. This diamond stands for the national playing field that countries set up for their trades. Porters Diamond of National Advantage Frame work Four components of the diamond framework have an effect on national comparative advantage. Those components are, The accessibility of resources and skills,  Information to decide which prospects to follow with those skills and resources, The goals of individuals in business,  The force on businesses to innovate and invest.  Components of the diamond frame work are explains as follows. I. Factor Conditions  A nation generates its own significant aspects such as technological support and skilled resources. The reserve of factors at a given time is less  significant than the extent that they are improved and deployed. Local shortcomings in factors of production force improvement. Unfavorable circumstances such as labor shortages or limited resources force firms to develop new methods, and this improvement leads to a national comparative advantage. II. Demand Conditions When the marketplace for a particular product is better in locally than in overseas markets, the local firms dedicate more concentration on that particular product than foreign firms, this will lead to a competitive advantage when that product start to export. Challenging local market leads to national advantage. A strong local market assist local firms look forward to global markets. III. Related and Supporting Industries When local businesses are aggressive, industry has the benefit of more cost effective and innovative contributions. This effect make stronger when the suppliers are strong with international competitors. IV. Firm Strategy, Structure, and Rivalry Local circumstances influence the strategy. For example, some businesses have a tendency to be hierarchical. Some companies tend to be smaller and are run more like extended families. Such strategy and structure helps to decide which types of industries are good in nation. Porters Five Forces model says, at the beginning of an industry little rivalry makes an industry striking. Though at time an industry prefers a smaller amount of rivalry, in the long run more rivalry is good since it build weight on a business to be more creative and become more advance. And also, the more local rivalry a nation has less global rivalry will enter in to the market. Local rivalry pushes business to move beyond fundamental advantages that the country can enjoy, such as low costs. Hunt Strategic group Analysis Theory, A strategic group is a concept used in strategic management for businesses within an industry that have related business models. For example, a hotel can be categories based on the room types such as standard, deluxe or suits and based on the value added facilities, eco type hotels, colonial type  hotels or modern architectural hotels. They all under one industry. Strategy is the path and capacity of an organization over the period of time to achieve rewards for the business while directing how the business will make money. Hunt (1972) invented the phrase strategic group while carrying out a study of the appliance industry, later on he revealed a higher amount of competitive rivalry than expected by the industry. He recognized this as existence of subgroups within the industry that compete along different proportions. These unbalanced strategic groups root the industry to have more fast innovation, higher quality, lower prices and lower profitability than customary economic models would forecast. Conclusion In a fast changing business atmosphere with high competition businesses have to adopt new expansion strategies and diversified the existing business in order to maintain its primary market place in an already established hotel sector. Amaya Lake has continuously adapted to the fast changing conditions. Strategy formulation has been observed as a practice of continuous learning, which contains learning about the goals, effects of trials towards these goals and how to put into practice and carry out these trials. The excellence of an invented strategy and the speed of its completion will therefore directly depend on the quality of Amaya Lakes behavioral learning processes. In large organizations like Amaya Lake, strategy should be analyzed and applied at different levels within the industry. These different levels of strategy should be related and mutually supporting one another. Amaya Lakes strategy at corporate level defines the businesses in which Amya Lake will battle, by which it focus resources to convert distinctive competence into competitive advantage. Porters Five Forces free essay sample Porter’s Five Forces which categories into 5 segments, is a modern competitive strategy to look at the larger value system of activities and actors in order to evaluate the potential of an industry and understand the effective competitive strategies. Suppliers and Buyers, and not only direct competitors, affect both how much value is created and who gets the share of the value created by the value system. Potential Entrants Unilever faces low threat of new entries since the market has been more or less gained Economies of Scale with a few of the big companies like PG, Kraft and Nestle. Wtih such barriers to entry, it makes new comers coming into the industry very difficult in terms of survival. High product differentiation enables Unilever to command a price premium while deterring new entrants since their customers recognized their brand names whereas start-up entrants are relatively unknown. Such industry is also capital intensive, requiring big amount of capital to operate. We will write a custom essay sample on Porters Five Forces or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page Being capital intensive and existing high switching costs acts as the barriers to exit. Bargaining Power of Buyer With intensive rivalry for market share within the big companies within the industry, buyers had gained significant power in deciding which products of which company to choose from. Switching costs are low for buyers since they can easily find substitutes easily, for example a consumer can switch from using Persil Capsules to Ariel Liqui-Tabs (both are liquid detergent in the form of capsules, having Persil manufactured by Unilever and the later by PG.. Buyers incurred low costs in switching suppliers since they hold more power over them. Bargaining Power of Suppliers Unilever has a low supplier power since it has been believed that a brand manufactured by whichever company does not make a difference and it should not make a difference, because the retailer has to take a decision with regards what is best for their shopper and having brands on the shelves that do not sell does not do anything for the shopper, no matter who manufactured the product. Since, their business to business customers at the same time still preserve supplier-customer relationship; they too have powers over Unilever in deciding which products they choose to be placed on their shelves. Power of Substitutes With intense competition within the fast moving consumer goods industry by the few big companies, especially PG, with regards to Unilever’s Home Care and Oral Care products; substitution power of the consumers have increased tremendously. Although by having product differentiation has created chances for suppliers to command premium pricing, there may be a point where they would hit a saturation point whereby growth will slow down and branding becomes arguably the leading form of product differentiation. With the modern market flooded by all sorts of brands for both Home Care and Oral Care products, substitution is made common among consumers when they take pricing versus quality into consideration. At times in recession, price may make a bigger impact in consumer’s choice. Power of Other Stakeholders With the recent Melamine contamination case, health and food authorities all over the world has taken a stamp in reducing such health pact on its population by increasing their attention in checks on both Oral Care and Home Care products, even though they are not consumable products. Unilever is also accountable to the shareholders in maintaining a social responsible image. Higher restrictions from government bodies may mean higher cost of production in certain products which may require higher quality ingredients. More stringent checks may also mean a delay in shipments towards delivery schedules which results in customers dissatisfaction or shelf replacement lead time. Rivalry Among Existing Competitors Unilever is operating within the Fast Moving Consumer Goods industry which is mainly operated by a few large companies like Procter Gamble (PG), Kraft and Nestle. Zooming into just Home Care and Oral Care products, there is a fierce rivalry between Procter Gamble and Unilever. Both companies needed to compete against each other for a bigger piece of pie within the market.

Should Girls Ask Guys Out Essay Example

Should Girls Ask Guys Out Paper Should girls ask guys out BY leie_92 Felecia Cummings ENGL1321 SP13 J. Brantley April 28, 2013 Outline Thesis: Although boys have always asked girls out, why cant girls return the favor; society today has changed and girls are asking boys out. I. Almost everybody is taught that tradition has always been that the boy has to ask the girl out, because this shows that he can be a man and take charge. We will write a custom essay sample on Should Girls Ask Guys Out specifically for you for only $16.38 $13.9/page Order now We will write a custom essay sample on Should Girls Ask Guys Out specifically for you FOR ONLY $16.38 $13.9/page Hire Writer We will write a custom essay sample on Should Girls Ask Guys Out specifically for you FOR ONLY $16.38 $13.9/page Hire Writer a. This tradition goes back far as the eighteenth century. b. Most boys who took interest in a girl they liked or were attracted to, nine times out of ten wanted to get to know her and in doing so by asking her out. A girl will never understand how much pressure and sense of masculine it puts on a boy to ask a girl out. II. Nowadays, people live in a civilized society with a continuous development. a. Women are stronger and more confident about themselves and certain situations than women in the past. b. Boys do not know how to handle rejection or failure, so they think that they can avoid rejection or failure by not asking a girl out all together. c. Boys would sometimes prefer for a girl to ask them out. III. For those who agree with the idea or for those who do not, there are however pros and cons to asking a boy out. a. It seems sensible to go after what you want and take initiative. b. If he feels like you are extremely interested he might not be that interested. c. As one becomes more skilled, ones chances of finding, appreciating, and deserving a more satisfying life partner greatly increases. Professor J. Brantley English Comp. II 28 April 2013 Should Girls Ask Boys Out While both genders are timorous of what the other will say, this is the main reason why a lot of people never ask out the other gender until someone intervenes or someone works up the courage to say something. Although boys have always asked irls out, why cant girls return the favor; society today has changed and girls are asking boys out. They are becoming more confident because they feel they should not have to wait for a boy to ask if they really like him. My goal in this paper is to talk about how it is generally traditional for guys to ask girls out, the way society has changed and girls are becoming confident and feel equally able to ask men out. To achieve this goal, I have organized my paper into three main sections. In the first section, I provide an account of information regarding the traditions of dating and asking a girl or boy out. In the second section, I discuss how dating in todays society has changed and how boys have become scared to ask due to the fear of rejection. I end my paper with a third section that discusses and supports my decision of whether or not girls should ask boys out. This section also includes several opinions from others from blog sites and article reviews. I also include an appendix before the Work Cited that contains images of surveys taken by both sex on dating. Traditional Almost everybody is taught that tradition has always been that the boy has to ask the girl out, because this shows that he can be a man and take charge. It is represented that men are the head of the household and are to take care of his family and be the final decision maker; and anything not according would make him less of a man. This tradition goes back far as the eighteenth century, where in order for a boy and girl to even go on a date, he had to ask her parents for their consent. Just as it is in marriage, the man is to ask the womans parents or father for her hand. For a girl to take the initiative in asking a boy out during these times, they were looked upon as being disrespectful, being out of place and a boy would respect them less. Most boys who took interest in a girl they liked or were attracted to, nine times out of ten wanted to get to know her and in doing so by asking her out. This leaving the boy having to take a chance with every decision he makes because oftentimes the girls truly believe the boys has to do everything. Not only were we taught that this was tradition, but we see it portrayed in pre-motion pictures as well. Like stated during an interview by Maddie Burks Historically speaking, men have always played a more dominant role in relationships, Maddie said. l think its kind of stayed that way ecause girls like to feel taken care of. I mean not to the point where they cant do anything on their own, but its nice to feel like someones thinking about you. While there is nothing wrong with a girl wanting to feel protected or having a sense of security, a girl will never understand how much pressure and sense of masculine it puts on a boy to ask a girl out. Todays Society In society today, many beli eve in the equality between men and women, and why a girl should not have to wait to be invited on a date, or out to dinner. Nowadays, women are stronger and more confident about themselves and certain situations han women in the past, due to family situations, the work environment, and the fact that women now contribute effort in amplification of the country. While there are still some people of both genders who might not agree with girls asking boys out first, that does not make it wrong especially in these enlightened times when men and women are supposed to be on equal symmetries. I think that it is suitable and bolstered for girls to ask boys out. If a girl knows that boy really likes her, then she should act on how she feels. Also in todays society boys are not very buoyant. They o not know how to handle rejection or failure, so they think that they can avoid rejection or failure by not asking a girl out all together. As stated in a thread (essay review) on Should Girls Ask Boy Out? Help Me Correct Please Besides that, people mentioned that the guy would prefer not asking and being able to near the girl than to take a chance by asking and being rejected. Definitely, if girls dont grab at the chance, it might be gone. Especially if the girl is very outgoing and the guys are shy. From this statement it is gathered that boys would sometimes prefer for a girl to ask hem out because they are tired of being rejected, and if no one says anything to the other party then they Just missed out on the chance with that person. It also states that you might have a situation where sometimes the boy may be shy and nervous and the girl is totally opposite and is poised. So, one actually never knows until they go out on a limb and ask the person out. The Pros and Cons While many people are quick to Judge a girl when she takes the initiative to ask a guy out many also believe that there is absolutely nothing wrong with it. When it comes o the situation where a girl asks a guy out, there are advantages and disadvantages in the situation. Girls do not want a guy to think that the girls are desperate or that they can do whatever they want because you have made it clear that your interested. Yes, it is a serious problem. However, without a doubt the same thing can happen at any time, even if the guy was the one who made the approach first. The pros and advantages of a girl asking a guy out consists of being confident, not waiting or missing out on the opportunity, actually getting the guy to say yes, and relieving the guy from the pressure of asking the girl. The cons/disadvantages of a girl asking a guy out are: being rejected, the guy might become indifferent or arrogant, and nothing romantic happens because the guy expects the girl to do everything. When a girl lets the guy choose her, she will end up with the guys who like her; oppose to when a girl makes the approach she gets the guy of her choosing. One of the advantages that come from a girl asking a guy out is that she does not have to wait for the guy to ask her and she wont miss out on the opportunity with the guy. When a girl approaches a guy, she already knows what her intensions are with the guy and hows that she is confident and makes a guy want to respect her more. Women who wait for a man to initiate romantic contact can find themselves waiting for weeks, months, or even years. Sometimes they dont get the chance to wait that long because the man leaves or becomes involved with someone else. The best way to make sure you arent sitting waiting for an unknown amount of time is to take action. Aloftyexistence. From this quote it can be gathered that when girls go ahead and put forth the effort to ask a guy out it could actually benefit her in more than one uy is scared to ask the girl in fear of rejection. And if both parties do not have the courage to say anything the guy may end up asking a girl out that he knows will not reject him, leaving the girl that really wanted to talk to the guy without a chance to ask him out. When a girl ask a guy out it can sometimes give her the upper hand in t he relationship and shows that she is truly self-possessed about what exactly it is that she wants. The guy would be more receptive of the girl, because often times he already knows that he is interested in the girl, and it will catch the guy off guard and ive the girl more leverage in the relationship (D. Tolbert) After interviewing a colleague on his perceptive of the pros from a girl asking a guy out, it gave me insight on how guys feel about the girls asking guys out and how they really feel about the situation. Being rejected is definitely something that no one wants to experience. It takes a lot of courage not only for guys to ask girls out, but twice as much for a girl to ask a guy out. Not only has she built up her self-esteem and confidence but she has also set her pride aside and is will to take the role that a guy would normally have. When a girl gets rejected it may also cause the girl to second-guess herself, aside from her being hurt; sometimes it happened and its not as bad as its made out to be. Sometimes you approach a guy and end up with nothing to show for it. You may end up becoming friends, which isnt terrible, but probably not what you were looking for. Other times there are no tangible results; you part ways and contact dwindles or simply put, nothing happens. (Aloftyexistence) Sometimes approaching a guy or making the first move is not always the best. Another disadvantage from asking a guy ut could result in him being to relaxed and feeling like he does not have to put forth as much effort into the relationship as he would if he was the one who actually asked the girl out. The romance may be lacking in the relationship or the guy could appreciate t he fact that you had the courage to approach him, and then in the end just really want to be the girls friend. As girls continuously ask guys out the girl will eventually start to realize what type of guy it is that she wants. She will learn the proper approach, what to say and how to say it. Her confidence will increase and she ill become relaxed and comfortable with asking a guy out. This can often times resort in good future relationships. Conclusion From doing research, reading articles and interviewing colleagues, it has proven to me that there is absolutely nothing wrong with a girl asking a guy out. Most guys love it when girls ask them out. It means that shes in control and knows what she wants. Its very stereotypical that guys have to ask out the girls. We have to stop letting societies standards dictate our lives. We as Americans are the only one who can choose what to do and the decisions we choose to make. While there are some eople both guys and girls who might not agree with girls asking guys out first, does not make it wrong especially in these enlightened times when men and women are supposed to be on equal footings. So to the girls who have no problem asking a guy out, I say bravo. To the girls who have a problem doing it, I say you have to stop asking for equality if you can not do things on an equal footing with the guys and take the good with the bad. (Can a Girl Ask a Guy Out? ) Today, Are Women Asking Men Out on First Dates? No. From The first question we asked was whether they preferred to ask someone out, or ould rather be asked out on a date. Figure 1-1 shows the percentage of males and females who would prefer to be asked out, or asked someone out. As noted in the histogram, a great majority of the women, 93%, preferred to be asked out only 6% preferred to do the asking. The majority of men preferred to do the asking, 83%, while 16% preferred to be asked out on a date. It is interesting that more men preferred to be asked out (16%) than there were women who preferred to do the asking (6%). That difference suggests that 10% of men may be waiting quite a while for a woman to ask them out on a first date. Work Cited Aloftyexistence. Aloftyexistence. N. p. , n. d. Web. 30 Apr. 2013. Can a Girl Ask a Guy Out? Yahoo! Answers. Yahoo! , n. d. Web. 30 Apr. 2013. Hamdan, Merahm. Boy Meets Girl. New Cannan High Schools Rampage. N. p. , 2007. Web. 10 March. 2013 Mills, Michael, Ph. D. Why Dont Women Ask Men Out on First Dates? The How and Why of Sex Differences (201 1): n. pag. Web. 30 Apr. 2011.. Thread: Should Girls Ask Boy Out? Help Me Correct Please. UsingEnglishcom ESL Forum RSS. N. p. , 3 Mar. 2010. web. 10 Mar. 2013. Tolbert, Damen. The Pros and Cons of Asking a Guy out. Personal interview. 28 Apr. 2013.

Essay on Stress Report

Essay on Stress Report Essay on Stress Report A Report into the psychological aspects of Stress and wellbeing Abstract The purpose of this report is to identify what stress is and how affects body and mind. This has been achieved by examining biological and psychological responses in detail and simplified models of both, created by Selye (1956) and Lazarus and Folkman (1984). The report includes various methods of measuring stress including the Social Readjustment Rating Scale, physiological feedback and the levels of stress hormones. Finally, the work gives examples of stress management techniques, which can only be effective when combined. Definitions ACTH adrenocorticotropic hormone Amplify - to exaggerate, to increase the strength of sound or electrical signals Anxiolytic drugs - anti-anxiety medications Atherosclerosis refers to the build up of fatty deposits called plaques in the walls of the arteries. Brandt, C. at al (2012), Atherosclerosis (arteriosclerosis – hardening of the arteries), Netdoctor, accessed 04 March 2013, netdoctor.co.uk/diseases/facts/atherosclerosis.htm Autonomic nervous system (ANS) 'regulates the functions of our internal organs such as the heart or stomach.' Neuroscience for Kids, accessed 02 March 2013 http://faculty.washington.edu/chudler/auto.html Cortex, hypothalamus, pituitary-parts of the brain CRH (corticotropin-releasing hormone) GAS- General Adaptation Syndrome Homeostasis-'is the control of internal conditions, be it temperature, specific blood conditions or other variables within living organisms.' Biology Innovation, accessed 04 March 2013, biology-innovation.co.uk/pages/human-biology/homeostasis/ Hypertension - high blood pressure LCU - life change unit Neurobiological - relating to the biological study of the nervous system The Free Dictionary by Farlex, 2013, accessed 03 March 2013 thefreedictionary.com/neurobiological SSRS - the Social Readjustment Rating Scale Stimulus 1. Something causing or regarded as causing a response. An agent, action, or condition that elicits or accelerates a physiological or psychological activity or response. The Free Dictionary by Farlex, 2013, accessed 03 March 2013 thefreedictionary.com/stimulus Stress is a state of mental or emotional strain or tension resulting from adverse or demanding circumstances. Oxford Dictionaries 2013, Oxford University Press, accessed 04 March 2013, http://oxforddictionaries.com/definition/english/stress Sympathetic nervous system (SNS) 'is part of the autonomic nervous system(ANS)', Science Daily, accessed 02 March 2013, sciencedaily.com/articles/s/sympathetic_nervous_system.htm Introduction In modern, fast-paced times the word stress is used frequently, often without deeper consideration what it actually means. In fact there are three ways of defining it. One describes stress as an internal response to a stimulus, disregarding the stimulus itself and focuses on biological and psychological reactions such as arousal of the sympathetic nervous system or emotions ranging from anger to depression. An external stimulus may be used to define stress and is understood as any external factor that requires making an emotional, physical or mental adjustment. Stimulus can be categorised into: emotional (tension in marriage), physical (starvation or extreme pain), job-related (extensive workload), catastrophic events (floods) and chronic unpleasant circumstances (living in confined, overcrowded spaces). This definition discounts the fact that the same stimulus may cause different responses. Finally, stress is viewed as a correlation between stimulus and response, depending upon the perception of the situation and one’s ability to cope with the stress. This ability may depend on factors such as: personality, culture, gender and locus of control

Traditional Challenge Essay Example | Topics and Well Written Essays - 500 words

Traditional Challenge - Essay Example Most of the Organizations in China, after they get the right Guanxi, they minimizes the rate frustrations, disappointments, and risks in their businesses. Once an organization gets the right Guanxi through the required authority, Guanxi determines how long that business will last depending on the competition that exists in the business environment. Most of the risks that may encounter a business are reduced once you have the right Guanxi system at work for you. The right Guanxi is a key factor when it comes to a business in China.Guanxi sometimes can be demanding when it comes to resources and time. The resources needed and time required in establishing this network is worth the investment as everything else in the business becomes secure. In the current China’s situation, Guanxi is to be considered as an asset. Looking at how China is growing business wise, Guanxi system will be of high help as it minimizes the risks in business. China has got a different way of doing busines s that they only do business with the people that they trust; having the Guanxi system in place they increase the chances on being more successful in their businesses.Although sometimes Guanxi can be mistaken for corruption, relationships are better virtues when it comes to businesses. Guanxi is usually regarded legal in Chinese culture and it does not involve bribery in any way. Before conducting any business in China, having a good relationship with a partner in business will increase trust and this is what Guanxi comes about with.

Critically evaluate the ways that the HR function could play a more Essay

Critically evaluate the ways that the HR function could play a more strategic role in the organisation - Essay Example By stepping away from subordinate-based practices and theories, the human resources manager develops practices that are geared for long-term success as it relates to the tactical side of objective fulfilment and long-run market orientation. The HR manager can take a more strategic role in the organisation by focusing on line management, executive leadership, new training development, and involvement in change management principles in an effort to expand their presence in the organisation as an HR leader. The strategy angle â€Å"The overall purpose of HRM is to ensure that the organisation is able to achieve success through people† (Armstrong 2006: 11). Success does not necessarily pertain to human capital needs and motivational practice development, it involves market orientation, market position of the business, operational efficiency, general staff productivity, and development of competitive strategies to gain cost and human capital advantages. Therefore, to become more st rategically oriented, the HR manager needs to expand their organisational presence to include executive management involvement and line management education to achieve competitive success using people as resources. In most organisations, change is a constant scenario. New technology implementation or procedures that relate to attaining market profitability (as two examples) dictate a need for improving change leadership and gaining employee/management support. In a situation where the business requires new information technology, changes to how employees conduct their job roles is inevitable, usually on the back of workflow redesign or complete changes to job responsibility. Kappelman, McKeeman and Zhang (2009) identify that when IT projects are part of change management, failures occur due to weak team commitment, lack of senior executive support, or team members who lack the requisite skills and competencies needed to complete the project effectively. In most cases, large-scale im plementation of new technologies consist of months if not years of labour investment and contribute significantly to cost reduction activities or improving process flow related to meeting customer demands. This is where the HR manager can take a more strategic role in the business in promoting change management principles to meet strategic goals. When change is required, management is described as â€Å"undeserving victims of irrational and dysfunctional responses of employees† (Ford, Ford and D’Amelio 2008: 362). The human resources manager can become more involved with the team functioning during the implementation phases of the new technology launch, promoting more effective interpersonal relationship development and team functioning. Weak team commitment may be stemming from employees, executives or mid-tier management due to the illogical and dysfunctional inherent psychology of the team members. By applying subordinate-based practices to higher-level individuals involved in project teams, the HR manager is promoting a more strategic angle that leads to more positive information technology and process improvement outcomes. Outside of technology scenarios, the HR manager can

Explain the nature of the basic economic problem facing society, and Essay

Explain the nature of the basic economic problem facing society, and show how business activity might provide a solution to this problem - Essay Example Business activities aim in the provision of all economic problems though not exhaustively. The active operation of firms in the market ensures the provision of goods and services. The large firms with the capacity of operating as independent organizations make their own decisions on how to enter and exit markets. The firms have also developed efficient ways such as choice on how well to utilize the available resources for maximum gain.1 Therefore, the firms have mechanisms for dealing with scarcity in the most productive way. In conclusion, some of the economic problems can be dealt with through the increase of firms in the market. The coming up of firms have the potential to reduce the transaction costs thus making commodities readily available. The incorporation of some goods within organizations rather than as a whole in the markets leads to attaining favorable costs.2 In addition, the use of new technologies makes a great contribution in the economic output of a country thus dealing with

Islamic Banking Deposits and Profitability Relationship

Islamic Banking Deposits and Profitability Relationship The purpose of this research study is to analyze the impact of Islamic Banking Deposits (Investment, Savings and Current accounts) on the profitability measure ROE of the Islamic banking industry in Paksitan. For this purpose, time series data of eleven quarters covering the period 2007 to 2009 is taken for the required variables from State Bank of Pakistans quarterly editions of the Islamic banking bulletin. The results showed that all the deposit variables had a significant positive relation with the profitability of Islamic banks. The aim is to contribute to the literature on deposit-profitability relationship of Islamic banks. Islamic banking is a banking activity based on Islamic principles, which do not allow the paying and receiving of interest (riba) and promotes profit sharing in the conduct of banking business. (Ghazali, 2008). According to the latest quarterly edition of State Bank of Pakistans Islamic Banking Bulletin?, the total Shariah-compliant assets worldwide have grown to about US$ 700 billion â€Å" with annual growth exceeding 10.0 percent during the past decade and are projected to grow to US$ 1.6 trillion by 2012. State Bank of Pakistans strategic plan for Islamic banking industry launched in 2008, aims to increase the size of the Islamic banking industry to 12.0 percent (of total banking assets) by 2012. Islamic financial institutions do not only play a vital role in resource mobilization, resource allocation and employment but are also actively involved in the course of implementing government monetary policy. Apart from offering nearly all traditional banking facilities, Islamic banks also assist domestic and international trades. Seeing the potential of the Islamic market, western conventional-based financial institutions such as Citibank, JP Morgan, Deutsche Bank, ABN Amro and American Express have introduced interest-free products to customers. Similarly, multinational corporations such as General Motors, IBM and Dewoo Corporation have already begun to use interest-free services.(Haron and Azmi, 2003). Studies that assess the influence of various factors that determine Islamic banks profitability are still at initial stage. Few attempts have up till now been made to empirically analyze the Islamic banks performance. In the Islamic banking literature, the work of Haron (1996a) was the first attempt to examine factors that contributed towards Islamic banks profitability. Most of the research used multiple regression analysis technique in measuring the relationship among the determining factors and profitability ratios. Extending the previous work in Islamic banks performance, this paper examines the strength of relationship between deposit variables and profitability of Islamic banks using univariate regression methodology. By studying the association between Islamic banksÃ… ¸ performance and the deposit variables, this paper contributes to the on-going discussion on the deposits and profitability relationship of Islamic banks. The paper is divided into seven sections. The literature review on determinants of Islamic bank performance is highlighted in Section 2. Section 3 examines the methodology used in analyzing the relationship between the deposits variables used in this study and the performance of Islamic banks. Section 4 presents the discussion and implication. The references are listed in section 5. The tables are listed in section 6 and figures in section 7. Literature Review The whole foundation of Islamic Finance is that the two sides of the equation (i.e. the fund-providers and the fund-users) work in agreement as partners, without depositors being assured of any return from those who use their money. In practice, Islamic banks draw approximately three-quarters of the capital from their depositors, and do not guarantee any precise level of return to these fund-providers. (Shubber and Alzafri,2008). Ghafoor (1995) states that all Islamic banks have three kinds of deposit accounts: current, savings and investment. Current or demand deposit accounts are almost the same as in all conventional banks. Deposit is assured. Savings deposit accounts function in different ways. In some banks, the depositors permit the banks to make use of their money but they attain a guarantee of being paid the complete amount back from the bank. Banks adopt a number of methods of inducing their customers to deposit with them, but profit is not promised. In others, savings accounts are treated as investment accounts but with less strict conditions as to withdrawals and minimum balance. Capital is not assured but the banks take care to invest capital from such accounts in fairly risk-free short-term projects. Therefore, lower profit rates are expected and that too only on a section of the average minimum balance on the ground that a high level of reserve funds need to be kept at all times to meet up withd rawal demands. Contrastingly, Investment deposits are accepted for a predetermined or indefinite period of time and the investors consent in advance to share the profit (or loss) in an agreed proportion with the bank. Capital is not assured. (Ghafoor, 1995). Some IFIs (Islamic Financial Institutions) classify deposits in terms of wadiah or amanah. Current accounts of IFIs are regarded as qard hasan or qard (alternatively, as wadiah/amanah). (Farooq, 2008). Qard al-Hasana is defined as deposits whose full repayment on demand is guaranteed by bank. (Ahmad, 1994). The deposits in the current account are regarded as if they are loans from the customers to the bank and therefore, bear no yield to the account holders.? (Al-Jarhi and Iqbal. 2001). Deposit accounts are neither a liability nor equity capital. They are a hybrid? source of capital, and must be acknowledged as such. Depositors are partners with the bank, but enjoy no ownership rights. (Shubber and Alzafri,2008). Sudin Haron (1996) mentions that the law allows the banks to accept two types of deposits, i.e., qard al-hasanah deposits and term investment deposits. The qard al-hasanah deposits includes current as well as savings accounts which vary in their operational rules. (Ahmad, 1994). If it is allowed that the borrower can pay extra money voluntarily, then treating deposits as qard-hasan allows the banks as the borrowers to pay extra money to the depositors (lenders). Unlike savings account services at conventional banks, where depositors are automatically rewarded upon appointment of their funds, returns to savings account holders are reliant on the Shariah (Islamic laws) principles which are practiced by Islamic banks when offering this service. When wadiah (trusteeship) or qard hassan (benevolent loan) are used, the returns are entirely at the discretion of the banks. (Sudin Haron, 1996). Nienhaus, (2004) argues that if the customers of Islamic banks desire a return on their funds, they should pay into investment accounts (also called participation accounts or PLS, profit and loss sharing accounts). Whereas, credit balances on these accounts are not considered deposits in the conventional sense. The returns on Islamic banks investment accounts are not fixed in advance; the customers participate by a certain proportion in the financial outcome of the utilization of their investment funds by the bank. These results could also result in a loss. In case of loss, the clients will have to bear a portion of the loss which would reduce the nominal value of the credit balances of their respective investment accounts. In such a situation, the clients cannot claim a full reimbursement of the money paid in. The full reimbursement, however, is constituent for a deposit in the strict sense. (Nienhaus, 2004). Rosly and Zaini, (2008) say that the public in general put their money in banks for either fulfilling transactional needs or for investment needs. To suffice the transactional objective, Islamic banks offer services such as wadiah yad dhamanah deposit, which facilitates safekeeping of their deposit money with guarantee services. In this product, depositors no longer deposit funds to receive a fixed income. Instead, they place their deposits for protection.`Wadiah yad dhamanah means safekeeping with guarantee. Wadiah yad dhamanah depositors permit the Islamic bank to invest their money in return for deposit safety that they got for free. Since the caretaker service is given without a fee, the Islamic bank holds no legal compulsion to pay depositors a predetermined return and may do so only on voluntary basis. In this way, the bank holds choice on profit distribution policy in the form of gift (hibah). The same is not correct for Islamic fixed deposits, frequently known as mudarabah in vestment deposits. In this partnership composition, no guarantee is given to capital protection and fixed income, as it runs under equity principle. It is a precarious product as the underlying contract is based on profitâ€Å"loss sharing system. Profits are shared only in case of performing investments, while capital may depreciate or even shrink if the investment ends in losses. (Rosly and Zaini, 2008). Haron and Azmi, (2004) discuss that similar to conventional banks, Islamic banks also rely on depositors money as a key source of fund. Bank Muamalat Malaysia Berhad for example, had total deposits amounting to 94 percent of total liabilities and shareholders equity at the end of December 2003. While in the case of Jordan Islamic Bank, Islamic Bank of Bangladesh, Bank Muamalat of Indonesia, and Bank Shariah Mandiri of Indonesia, the corresponding amounts were 94%, 86%, 76%, and 79%, respectively. These figures reveal the vast high total of the depositors money as a supply of finance for Islamic banks. Hence, it becomes indispensable for the management of Islamic banks to identify the factors that are most likely to convince customers decision making in depositing their capital with Islamic banks. (Haron and Azmi, 2004). With the exception of a study done by Metawa and Almossawi (1998) where religion was seen as a reason influencing customers choice to support Islamic banks in Bahrain, other studies have proven counter wise. The evidence from studies done in Sudan and Turkey, for example, revealed that religion was not the main motive for customers choosing Islamic banks (Erol and El-Bdour, 1989). Likewise, studies conducted in Malaysia and Singapore revealed both religion and profit as the explanation for people maintaining their association with Islamic banks (Haron et al., 1994; Gerrad and Cunningham, 1997). Since depositors are attracted by profits, it is vital for Islamic banks management to be aware of the fact that return rates on deposits persuade their customers decision to deposit. (Haron and Azmi, 2004). Relating to commercial banks deposit composition, Hester and Zoellner (1966) and Heggested (1977) found that time and savings deposits had a significant inverse correlation with profitability. Smirlocks (1985) findings demonstrated a significant positive relationship amid demand deposits and profits. In contrast, Fraser and Rose (1971) found that loan rate; time deposit rate and loan-to-deposit ratio had no outcome on profitability. Haron (1996a) found evidence to suggest that current, savings and investment accounts of Islamic banks are positively related to profitability. Fraser et al (1974) considered operating costs, deposit and loan structures as factors within the control of management and found that the factor which had the biggest control on bank performance was bank cost followed by banks deposit and loan composition. Heggested (1977) proved that banks heavily devoted to time and savings deposits earned considerably lower returns than banks which have higher reliance on demand deposits. Smirlock (1985) confirmed that demand deposits were a cheaper source of funds and had a positive impact on bank profits. In the literature, the majority of studies found that savings and time deposits have a negative relationship with profitability, while a positive relationship has been found for current account deposits. Haron (2004) found that nearly all deposit structure variables had no significant relationship with the profitability ratios. Deposits in current account, was the only variable which had a significant relationship with Banks portion of income as a percentage of total assets and Net profit before tax as a percentage of total assets. Each 1% increase in the current account holdings increased the banks income by 0.034% and profit before tax by 0.036%. This end result was in line with the findings reported by Smirlock (1985). Since a current account service is considered a cost-free facility, it is anticipated that the more funds deposited into this account, the more Islamic banks would stand to profit. Interestingly, no significant relationship was found between current account deposits and Total income as a percentage of total assets, which implied that an increase in current accounts does not generate more proceeds to the bank as a whole but only functions as a cost saving measure. That is, no returns are paid to these depositors. In the case of savings and investment accounts, even though their relationships with all profitability ratios were at an insignificant level, the signs of their regression coefficients warranted further clarification. No contradiction with the findings of conventional banking literature with regard to savings accounts was apparent. A negative relationship was found between Savings account deposits and the profitability measures. This result suggests that any increase in savings accounts will reduce profits and it corresponds to the findings in the current banking literature (see for example Hester and Zoellner, 1966; and Heggested, 1977). The results on Investment account deposits in Harons (2004) study are not similar to those findings reported in earlier researches. Hester and Zoellner (1966) and Heggested (1977), for example, found that fixed deposit facilities had an inverse relationship with profitability. Since some of the characteristics of investment deposits at Islamic banks are similar to the fixed deposit facilities of conventional banks, it is expected that more funds deposited into these accounts would result in less profit to the bank. In contrast, Smirlock (1985) believed that an increasing amount in fixed deposits would have a positive relationship with a banks profitability. Harons (2004) study found that Investment account deposits had a positive relationship with all profitability measures and thus, confirmed Smirlocks hypothesis. Haron and Azmi (2004) attempted to investigate the strength of influence between both internal and external variables and profitability of Islamic banks in selected countries using timeseries techniques of cointegration and error-correction mechanism. They found a significant long-run relationship between profitability measures of Islamic banks and determining variables such as liquidity, deposit items, assets structure, inflation and money supply. They also found that Investment account deposits was the only variable which had a significant relationship with all three profitability ratios. For Current account deposits, a positive relationship was found with Banks portion of income as a percentage of total assets. The result indicated that a 1% increase in current account holdings increased the banks portion of income by 0.064%. Given that current account facility is a cost-free service, the more funds deposited into this account, the higher profits will be made available to Islamic banks. Interestingly, current account deposits had no significant relationship with Total income as a percentage of total assets implying that an increase in current accounts does not generate more income to the bank, but only functions as a cost saving measure. On other words, Islamic banks do not pay any rewards to their depositors. These results were in line with the findings of Haron (1996a, 2004). Savings deposits variable was found to have a significant positive relationship with Total income as a percentage of total assets. For every 1% rise in savings account, total income increased by 0.26%. This was in line with normal banking practices whereby Islamic bank could use the funds deposited in this account for productive purposes and thus, generating additional revenue for the bank. Increases in deposits size has a positive impact on Earnings per share (EPS), as a portion of depositors profits is minused as a fee for the benefit of the bank and its shareholders. (Shubber and Alzafri, 2008). Returns on Islamic deposits are though flexible in nature since returns are based on performance rather than contracted upfront as evident in all interest bearing deposits. Although the mudarabah rates (investment deposit rates) are quoted using the rates given in the previous months, they are not fixed beforehand and serve as an indicative rate of return on Mudarabah deposits (ROMD). The Mudarabah (investment deposits) contract works along profitâ€Å"loss sharing principles while fixed deposits of conventional banks are based on the contract of debt. As an equity product, a Mudarabah deposit offers no principal protection and legal claims against any form of returns. To make up for the risk exposure of the product, Mudarabah depositors are expected to be given higher retur ns relative to that of commercial banks fixed depositors who avoided risk. (Rosly and Zaini, 2008). Haron and Shanmugam (1995) in their study try to link the profit rates to Islamic banks deposits. Using Pearsons Correlation and First Order Autoregressive model, they found strong negative relationship between the two variables. Likewise, their finding showed a positive linear relationship between conventional and Islamic bank deposits. Haron and Ahmed (2000) argue that people who placed their deposits at saving and investment account facilities were guided by the profit motive. The utility maximization theory amongst the Muslim customers was further confirmed by the negative relationship between the rate of interest in conventional banks and the sum deposited in interest-free deposit facilities. Muslims should be guided by Islamic doctrines when making their economic decisions. Therefore, role of educating people regarding Islamic banking system should be played globally. It is indeed a challenging task. (Haron and Ahmed, 2000). Shubber and Alzafri, (2008) say that EPS (Earnings per share) improves as the level of deposits increases, as depositors were viewed as sharers in the profit and loss, rather than being entitled to a fixed interest rate. This supports that increasing deposits have a positive impact on EPS (Earnings per share). Increasing deposits, therefore, do not direct any increment in the cost of equity. In fact, equity holders benefited from larger deposits, as owners of the latter pay out management fees, which is deducted from the depositors share of the profits. Also, the market value of Islamic banks is independent of WACC. (Shubber and Alzafri,2008). Haron and Azmi (2004a) demonstrated that with the exception of fixed and investment deposits, any increase in rates of interest, deposits at conventional system will increase and deposits at Islamic system will decrease, and vice-versa. As for the fixed and investment deposits, ambiguous results were found. One possible explanation for this is that rates of profit for deposits at Islamic system are known at the end of the deposit period and not at the beginning as opposed to the conventional system. Any upward changes in interest rate of conventional system will have an adverse impact to the deposit levels in the Islamic system. Therefore, rates of profit of Islamic system must at any time be similar to those of the conventional system. Finally, religious dimension can be considered as an important element to attract more people to deposit their funds in the Islamic system. This could also be the reason why more and more conventional banks are starting to offer Islamic banking facili ties to their customers not only in Malaysia but also to other parts of the world. (Haron and Azmi, 2004a). Hasan and Bashir (2003) argue that the rising contest and continuous innovation to provide financial services, all contribute to a increasing interest in a detailed evaluation of Islamic banks. Depositors are interested in evaluating the performance of their banks since they are not given fixed returns and the nominal values of their deposits are not assured. In trying to make best use of the value of shareholders investment, Islamic banks are exposed to risks. Hence, analyzing the Islamic banks performance is important from economic and public policy perspectives. (Hasan and Bashir, 2003). Methodology This study uses univariate regression analysis to examine the relationship between deposits and profitability of Islamic banking industry in Pakistan. Univariate regression is a method of regression analysis that uses one explanatory variable to predict values of a single dependent variable. SPSS software is applied to obtain the univariate regression. In this study, three independent variables titled Fixed deposits, Savings Deposits and Current account deposits have been used. The dependent variable of profitability is measured by ROE which is the ratio of a banks net after-tax income divided by its total equity capital. The return on equity (ROE) is considered to be one of the profitability performance ratios (Tarawneh, 2006). It indicates how effectively the management of the bank is able to turn shareholders funds (i.e. equity) into net profit. ROE (Return on Equity) has been tested separately for the three independent deposit variables to avoid the issue of multicollinearity sin ce all the deposit variables are highly correlated to each other. This paper attempts to test three hypotheses. According to Becker (1995), hypothesis testing is the process of judging which of two contradictory statements is correct. Hypothesis 1: Investment Deposits increase the profitability of Islamic banks. Hypothesis 2: Saving Deposits increase the profitability of Islamic banks. Hypothesis 3: Current Account Deposits increase the profitability of Islamic banks. The data for this study is time series data taken from the quarterly editions of the Islamic banking bulletin? published by the State Bank of Pakistan. These bulletins publish the consolidated financial statement variables representing the entire Islamic banking industry of Pakistan including all the full fledge Islamic banks (Al Baraka Islamic bank, Bank Islami Pakistan limited, Dawood Islamic bank Limited, Dubai Islamic bank limited, Emirates Global Islamic bank Ltd and Meezan Bank Ltd.) as well as the Islamic branches of conventional banks (Askari Bank Limited, Bank Al Falah Ltd., Bank Al Habib, Faysal Bank, Habib Metropolitan bank, MCB Bank Ltd, National bank of Pakistan, Soneri Bank Ltd, Standard Chartered Bank, The Bank of Khyber, Royal bank of Scotland, United Bank Ltd). The sample period for this study is limited from 2007 to 2009 as most of the Islamic banks started operations from 2007 in Pakistan. Hence, the consolidated data of the eleven consecutive quarters has been use d in this study. The general equations of the three models are: Profitability = b0 + b1(ID)(1) Profitability = b0 + b1(SD)(2) Profitability = b0 + b1(CD)(3) Where, b0 = intercept (constant) Dependent variable: Profitability = ROE (Return on Equity) Independent variables: ID = Investment Deposits SD = Savings Deposits CD = Current Account Deposits Results The results of the regression analysis for model.1, 2 and 3 are shown in Tables 1, 2 and 3 respectively. All the three models were significant at the 5% level of significance. The value of the adjusted coefficient of determination (adjusted R2) for ROE in model.1 is 0.4 which demonstrates that 40% of the variability in total is explained by its linear association with Fixed deposits variable. As for model 2 and 3, the corresponding values of adjusted R2 are 0.399 and 0.377 respectively. A relatively small value of adjusted R2 does not necessarily mean that the model is in appropriate to measure the relationship between independent and dependent variables. (Haron, 2004). The value of adjusted R2 is usually influenced by a number of predictive variables relative to the sample size and it becomes smaller as we have fewer observations per predictor variable (Hair et al., 1995). To provide a rationale for the variance in R2 and adjusted R2 values, the Dublin-Walter test was conducted. The Dublin-Walter statistics values for all the three values were less than two which proves that the variance was due to negative autocorrelation in the sample observations. Also, the adequacy of a model for predicting is validated by the F-test. (Haron, 2004). As presented in Table 1, 2 and 3, all F-ratio values are statistically significant at 5% significance level for all profitability models. Hence, these results confirmed that the models applied were useful for measuring the relationship between deposits variable items and the profitability variable. Discussion The results supported all the three hypotheses that Investment, Savings and Current account deposits increase the profitability of Islamic banks. This result is in line with Haron (1996a, 2004) who founded evidence to suggest that all three sources of funds (current, savings and investment accounts) for Islamic banks are positively related to profitability. Hypothesis 1 of this study suggested that investment deposits increase the profitability of Islamic banks. The results show that the value of the adjusted coefficient of determination (adjusted R2) for ROE in model.1 is 0.4 which demonstrates that 40% of the variability in total is explained by its linear association with investment deposits variable. Hence, results support Hypothesis 1. Similarly, hypothesis 2 stated that savings deposits increase the profitability of Islamic banks. The results show that the value of the adjusted R2 for ROE in model.2 is 0.399 at 5% significance which shows that 39.9% of the variability in total is explained by its linear association with savings deposit variable. Hence, results also support Hypothesis 2. Finally, hypothesis 3 proposed that savings deposits increase the profitability of Islamic banks. The results show that the value of the adjusted R2 for ROE in model.3 is 0.377 which shows that 37.7% of the variability in total is explained by its linear association with savings deposit variable at 5% level of significance. Hence, results support Hypothesis 3 also. All these results were significant at a 5% level of significance. Referring to previous literature, the results are mixed. In the literature, most studies found that savings and investment deposits have an inverse relationship with profitability, while a positive relationship has been found for current account deposits. In this study, the current account deposit variable had significant positive relationship with profitability. This result is in line with the findings reported by Smirlock (1985), Haron (1996a, 2004) and Haron Azmi (2004). Since a current account service is considered a cost-free facility, it is expected that the more funds deposited into this account (current), the more Islamic banks will stand to profit. In the case of savings deposits, a positive relationship was found between these deposits and profitability. This result suggests that any increase in savings accounts will increase profits and this is in line with Haron (1996a) and Haron Azmi (2004) as Islamic banks can use these savings funds deposited in this account for productive purposes and therefore, generating additional revenue for the Islamic banks. The results on investment deposits in this study are not similar to most of the findings reported in commercial banking literature. For example, Hester and Zoellner (1966) and Heggested (1977) found that fixed deposit facilities had an inverse relationship with profitability. In contrast, Smirlock (1985), Haron (1996a, 2004), Haron and Azmi (2004) believed that an increasing amount in fixed deposits would have a positive relationship with a banks profitability. This study found that investment deposits had a positive relationship with all profitability measures and thus, confirmed Smirlocks, Harons and Azmis hypothesis. In light of the above findings, Islamic banking provides a better and ethical alternative that is not only Riba-free according to the rules of Shariah but also profitable to depositors and investors since all the deposit accounts are positively correlated to profitability. Since, Islamic banking provides three different interest-free deposit facilities to its depositors and investors to facilitate them according to their financial needs, people should invest in these deposit accounts in order to patronize the Islamic banking industry and to receive good returns in the form of hiba from these Islamic banks. In addition, Ghazali (2008) suggests that Islamic banking is indeed relevant to the current economic crisis. The global financial meltdown stemming from the US actually poses an opportunity for the Islamic banking system to demonstrate its distinctiveness. The financial meltdown revealed the desperate need for a system like Islamic finance, based on the principle of profit-sharing where both parties are subjected to probable losses and returns. It is a fair and just system. This is contrasting to the conventional system, where Islamic banks do not acquire or trade debt; rather they manage substantial assets which are tied to real economic activities.. This is really an opportunity for the Islamic financial community to reveal to the global market that the Islamic financial system is actually a robust and feasible alternative to the conventional interest-based system. Hence, people should support the Islamic banking industry worldwide since deposits are positively related to the profitability of Islamic banks. Hence, increased deposits would result in higher profitability of Islamic banks which in return would provide higher returns to its depositors. This would finally lead to implement a justified and ethical economic system which encourages a fair distribution of wealth and resources throughout the society. This study can be extended to include more time series and cross-sectional data of Islamic banks of other countries. The study may also be extended to cover other determinants of Islamic banking profitability. Islamic Banking Deposits and Profitability Relationship Islamic Banking Deposits and Profitability Relationship The purpose of this research study is to analyze the impact of Islamic Banking Deposits (Investment, Savings and Current accounts) on the profitability measure ROE of the Islamic banking industry in Paksitan. For this purpose, time series data of eleven quarters covering the period 2007 to 2009 is taken for the required variables from State Bank of Pakistans quarterly editions of the Islamic banking bulletin. The results showed that all the deposit variables had a significant positive relation with the profitability of Islamic banks. The aim is to contribute to the literature on deposit-profitability relationship of Islamic banks. Islamic banking is a banking activity based on Islamic principles, which do not allow the paying and receiving of interest (riba) and promotes profit sharing in the conduct of banking business. (Ghazali, 2008). According to the latest quarterly edition of State Bank of Pakistans Islamic Banking Bulletin?, the total Shariah-compliant assets worldwide have grown to about US$ 700 billion â€Å" with annual growth exceeding 10.0 percent during the past decade and are projected to grow to US$ 1.6 trillion by 2012. State Bank of Pakistans strategic plan for Islamic banking industry launched in 2008, aims to increase the size of the Islamic banking industry to 12.0 percent (of total banking assets) by 2012. Islamic financial institutions do not only play a vital role in resource mobilization, resource allocation and employment but are also actively involved in the course of implementing government monetary policy. Apart from offering nearly all traditional banking facilities, Islamic banks also assist domestic and international trades. Seeing the potential of the Islamic market, western conventional-based financial institutions such as Citibank, JP Morgan, Deutsche Bank, ABN Amro and American Express have introduced interest-free products to customers. Similarly, multinational corporations such as General Motors, IBM and Dewoo Corporation have already begun to use interest-free services.(Haron and Azmi, 2003). Studies that assess the influence of various factors that determine Islamic banks profitability are still at initial stage. Few attempts have up till now been made to empirically analyze the Islamic banks performance. In the Islamic banking literature, the work of Haron (1996a) was the first attempt to examine factors that contributed towards Islamic banks profitability. Most of the research used multiple regression analysis technique in measuring the relationship among the determining factors and profitability ratios. Extending the previous work in Islamic banks performance, this paper examines the strength of relationship between deposit variables and profitability of Islamic banks using univariate regression methodology. By studying the association between Islamic banksÃ… ¸ performance and the deposit variables, this paper contributes to the on-going discussion on the deposits and profitability relationship of Islamic banks. The paper is divided into seven sections. The literature review on determinants of Islamic bank performance is highlighted in Section 2. Section 3 examines the methodology used in analyzing the relationship between the deposits variables used in this study and the performance of Islamic banks. Section 4 presents the discussion and implication. The references are listed in section 5. The tables are listed in section 6 and figures in section 7. Literature Review The whole foundation of Islamic Finance is that the two sides of the equation (i.e. the fund-providers and the fund-users) work in agreement as partners, without depositors being assured of any return from those who use their money. In practice, Islamic banks draw approximately three-quarters of the capital from their depositors, and do not guarantee any precise level of return to these fund-providers. (Shubber and Alzafri,2008). Ghafoor (1995) states that all Islamic banks have three kinds of deposit accounts: current, savings and investment. Current or demand deposit accounts are almost the same as in all conventional banks. Deposit is assured. Savings deposit accounts function in different ways. In some banks, the depositors permit the banks to make use of their money but they attain a guarantee of being paid the complete amount back from the bank. Banks adopt a number of methods of inducing their customers to deposit with them, but profit is not promised. In others, savings accounts are treated as investment accounts but with less strict conditions as to withdrawals and minimum balance. Capital is not assured but the banks take care to invest capital from such accounts in fairly risk-free short-term projects. Therefore, lower profit rates are expected and that too only on a section of the average minimum balance on the ground that a high level of reserve funds need to be kept at all times to meet up withd rawal demands. Contrastingly, Investment deposits are accepted for a predetermined or indefinite period of time and the investors consent in advance to share the profit (or loss) in an agreed proportion with the bank. Capital is not assured. (Ghafoor, 1995). Some IFIs (Islamic Financial Institutions) classify deposits in terms of wadiah or amanah. Current accounts of IFIs are regarded as qard hasan or qard (alternatively, as wadiah/amanah). (Farooq, 2008). Qard al-Hasana is defined as deposits whose full repayment on demand is guaranteed by bank. (Ahmad, 1994). The deposits in the current account are regarded as if they are loans from the customers to the bank and therefore, bear no yield to the account holders.? (Al-Jarhi and Iqbal. 2001). Deposit accounts are neither a liability nor equity capital. They are a hybrid? source of capital, and must be acknowledged as such. Depositors are partners with the bank, but enjoy no ownership rights. (Shubber and Alzafri,2008). Sudin Haron (1996) mentions that the law allows the banks to accept two types of deposits, i.e., qard al-hasanah deposits and term investment deposits. The qard al-hasanah deposits includes current as well as savings accounts which vary in their operational rules. (Ahmad, 1994). If it is allowed that the borrower can pay extra money voluntarily, then treating deposits as qard-hasan allows the banks as the borrowers to pay extra money to the depositors (lenders). Unlike savings account services at conventional banks, where depositors are automatically rewarded upon appointment of their funds, returns to savings account holders are reliant on the Shariah (Islamic laws) principles which are practiced by Islamic banks when offering this service. When wadiah (trusteeship) or qard hassan (benevolent loan) are used, the returns are entirely at the discretion of the banks. (Sudin Haron, 1996). Nienhaus, (2004) argues that if the customers of Islamic banks desire a return on their funds, they should pay into investment accounts (also called participation accounts or PLS, profit and loss sharing accounts). Whereas, credit balances on these accounts are not considered deposits in the conventional sense. The returns on Islamic banks investment accounts are not fixed in advance; the customers participate by a certain proportion in the financial outcome of the utilization of their investment funds by the bank. These results could also result in a loss. In case of loss, the clients will have to bear a portion of the loss which would reduce the nominal value of the credit balances of their respective investment accounts. In such a situation, the clients cannot claim a full reimbursement of the money paid in. The full reimbursement, however, is constituent for a deposit in the strict sense. (Nienhaus, 2004). Rosly and Zaini, (2008) say that the public in general put their money in banks for either fulfilling transactional needs or for investment needs. To suffice the transactional objective, Islamic banks offer services such as wadiah yad dhamanah deposit, which facilitates safekeeping of their deposit money with guarantee services. In this product, depositors no longer deposit funds to receive a fixed income. Instead, they place their deposits for protection.`Wadiah yad dhamanah means safekeeping with guarantee. Wadiah yad dhamanah depositors permit the Islamic bank to invest their money in return for deposit safety that they got for free. Since the caretaker service is given without a fee, the Islamic bank holds no legal compulsion to pay depositors a predetermined return and may do so only on voluntary basis. In this way, the bank holds choice on profit distribution policy in the form of gift (hibah). The same is not correct for Islamic fixed deposits, frequently known as mudarabah in vestment deposits. In this partnership composition, no guarantee is given to capital protection and fixed income, as it runs under equity principle. It is a precarious product as the underlying contract is based on profitâ€Å"loss sharing system. Profits are shared only in case of performing investments, while capital may depreciate or even shrink if the investment ends in losses. (Rosly and Zaini, 2008). Haron and Azmi, (2004) discuss that similar to conventional banks, Islamic banks also rely on depositors money as a key source of fund. Bank Muamalat Malaysia Berhad for example, had total deposits amounting to 94 percent of total liabilities and shareholders equity at the end of December 2003. While in the case of Jordan Islamic Bank, Islamic Bank of Bangladesh, Bank Muamalat of Indonesia, and Bank Shariah Mandiri of Indonesia, the corresponding amounts were 94%, 86%, 76%, and 79%, respectively. These figures reveal the vast high total of the depositors money as a supply of finance for Islamic banks. Hence, it becomes indispensable for the management of Islamic banks to identify the factors that are most likely to convince customers decision making in depositing their capital with Islamic banks. (Haron and Azmi, 2004). With the exception of a study done by Metawa and Almossawi (1998) where religion was seen as a reason influencing customers choice to support Islamic banks in Bahrain, other studies have proven counter wise. The evidence from studies done in Sudan and Turkey, for example, revealed that religion was not the main motive for customers choosing Islamic banks (Erol and El-Bdour, 1989). Likewise, studies conducted in Malaysia and Singapore revealed both religion and profit as the explanation for people maintaining their association with Islamic banks (Haron et al., 1994; Gerrad and Cunningham, 1997). Since depositors are attracted by profits, it is vital for Islamic banks management to be aware of the fact that return rates on deposits persuade their customers decision to deposit. (Haron and Azmi, 2004). Relating to commercial banks deposit composition, Hester and Zoellner (1966) and Heggested (1977) found that time and savings deposits had a significant inverse correlation with profitability. Smirlocks (1985) findings demonstrated a significant positive relationship amid demand deposits and profits. In contrast, Fraser and Rose (1971) found that loan rate; time deposit rate and loan-to-deposit ratio had no outcome on profitability. Haron (1996a) found evidence to suggest that current, savings and investment accounts of Islamic banks are positively related to profitability. Fraser et al (1974) considered operating costs, deposit and loan structures as factors within the control of management and found that the factor which had the biggest control on bank performance was bank cost followed by banks deposit and loan composition. Heggested (1977) proved that banks heavily devoted to time and savings deposits earned considerably lower returns than banks which have higher reliance on demand deposits. Smirlock (1985) confirmed that demand deposits were a cheaper source of funds and had a positive impact on bank profits. In the literature, the majority of studies found that savings and time deposits have a negative relationship with profitability, while a positive relationship has been found for current account deposits. Haron (2004) found that nearly all deposit structure variables had no significant relationship with the profitability ratios. Deposits in current account, was the only variable which had a significant relationship with Banks portion of income as a percentage of total assets and Net profit before tax as a percentage of total assets. Each 1% increase in the current account holdings increased the banks income by 0.034% and profit before tax by 0.036%. This end result was in line with the findings reported by Smirlock (1985). Since a current account service is considered a cost-free facility, it is anticipated that the more funds deposited into this account, the more Islamic banks would stand to profit. Interestingly, no significant relationship was found between current account deposits and Total income as a percentage of total assets, which implied that an increase in current accounts does not generate more proceeds to the bank as a whole but only functions as a cost saving measure. That is, no returns are paid to these depositors. In the case of savings and investment accounts, even though their relationships with all profitability ratios were at an insignificant level, the signs of their regression coefficients warranted further clarification. No contradiction with the findings of conventional banking literature with regard to savings accounts was apparent. A negative relationship was found between Savings account deposits and the profitability measures. This result suggests that any increase in savings accounts will reduce profits and it corresponds to the findings in the current banking literature (see for example Hester and Zoellner, 1966; and Heggested, 1977). The results on Investment account deposits in Harons (2004) study are not similar to those findings reported in earlier researches. Hester and Zoellner (1966) and Heggested (1977), for example, found that fixed deposit facilities had an inverse relationship with profitability. Since some of the characteristics of investment deposits at Islamic banks are similar to the fixed deposit facilities of conventional banks, it is expected that more funds deposited into these accounts would result in less profit to the bank. In contrast, Smirlock (1985) believed that an increasing amount in fixed deposits would have a positive relationship with a banks profitability. Harons (2004) study found that Investment account deposits had a positive relationship with all profitability measures and thus, confirmed Smirlocks hypothesis. Haron and Azmi (2004) attempted to investigate the strength of influence between both internal and external variables and profitability of Islamic banks in selected countries using timeseries techniques of cointegration and error-correction mechanism. They found a significant long-run relationship between profitability measures of Islamic banks and determining variables such as liquidity, deposit items, assets structure, inflation and money supply. They also found that Investment account deposits was the only variable which had a significant relationship with all three profitability ratios. For Current account deposits, a positive relationship was found with Banks portion of income as a percentage of total assets. The result indicated that a 1% increase in current account holdings increased the banks portion of income by 0.064%. Given that current account facility is a cost-free service, the more funds deposited into this account, the higher profits will be made available to Islamic banks. Interestingly, current account deposits had no significant relationship with Total income as a percentage of total assets implying that an increase in current accounts does not generate more income to the bank, but only functions as a cost saving measure. On other words, Islamic banks do not pay any rewards to their depositors. These results were in line with the findings of Haron (1996a, 2004). Savings deposits variable was found to have a significant positive relationship with Total income as a percentage of total assets. For every 1% rise in savings account, total income increased by 0.26%. This was in line with normal banking practices whereby Islamic bank could use the funds deposited in this account for productive purposes and thus, generating additional revenue for the bank. Increases in deposits size has a positive impact on Earnings per share (EPS), as a portion of depositors profits is minused as a fee for the benefit of the bank and its shareholders. (Shubber and Alzafri, 2008). Returns on Islamic deposits are though flexible in nature since returns are based on performance rather than contracted upfront as evident in all interest bearing deposits. Although the mudarabah rates (investment deposit rates) are quoted using the rates given in the previous months, they are not fixed beforehand and serve as an indicative rate of return on Mudarabah deposits (ROMD). The Mudarabah (investment deposits) contract works along profitâ€Å"loss sharing principles while fixed deposits of conventional banks are based on the contract of debt. As an equity product, a Mudarabah deposit offers no principal protection and legal claims against any form of returns. To make up for the risk exposure of the product, Mudarabah depositors are expected to be given higher retur ns relative to that of commercial banks fixed depositors who avoided risk. (Rosly and Zaini, 2008). Haron and Shanmugam (1995) in their study try to link the profit rates to Islamic banks deposits. Using Pearsons Correlation and First Order Autoregressive model, they found strong negative relationship between the two variables. Likewise, their finding showed a positive linear relationship between conventional and Islamic bank deposits. Haron and Ahmed (2000) argue that people who placed their deposits at saving and investment account facilities were guided by the profit motive. The utility maximization theory amongst the Muslim customers was further confirmed by the negative relationship between the rate of interest in conventional banks and the sum deposited in interest-free deposit facilities. Muslims should be guided by Islamic doctrines when making their economic decisions. Therefore, role of educating people regarding Islamic banking system should be played globally. It is indeed a challenging task. (Haron and Ahmed, 2000). Shubber and Alzafri, (2008) say that EPS (Earnings per share) improves as the level of deposits increases, as depositors were viewed as sharers in the profit and loss, rather than being entitled to a fixed interest rate. This supports that increasing deposits have a positive impact on EPS (Earnings per share). Increasing deposits, therefore, do not direct any increment in the cost of equity. In fact, equity holders benefited from larger deposits, as owners of the latter pay out management fees, which is deducted from the depositors share of the profits. Also, the market value of Islamic banks is independent of WACC. (Shubber and Alzafri,2008). Haron and Azmi (2004a) demonstrated that with the exception of fixed and investment deposits, any increase in rates of interest, deposits at conventional system will increase and deposits at Islamic system will decrease, and vice-versa. As for the fixed and investment deposits, ambiguous results were found. One possible explanation for this is that rates of profit for deposits at Islamic system are known at the end of the deposit period and not at the beginning as opposed to the conventional system. Any upward changes in interest rate of conventional system will have an adverse impact to the deposit levels in the Islamic system. Therefore, rates of profit of Islamic system must at any time be similar to those of the conventional system. Finally, religious dimension can be considered as an important element to attract more people to deposit their funds in the Islamic system. This could also be the reason why more and more conventional banks are starting to offer Islamic banking facili ties to their customers not only in Malaysia but also to other parts of the world. (Haron and Azmi, 2004a). Hasan and Bashir (2003) argue that the rising contest and continuous innovation to provide financial services, all contribute to a increasing interest in a detailed evaluation of Islamic banks. Depositors are interested in evaluating the performance of their banks since they are not given fixed returns and the nominal values of their deposits are not assured. In trying to make best use of the value of shareholders investment, Islamic banks are exposed to risks. Hence, analyzing the Islamic banks performance is important from economic and public policy perspectives. (Hasan and Bashir, 2003). Methodology This study uses univariate regression analysis to examine the relationship between deposits and profitability of Islamic banking industry in Pakistan. Univariate regression is a method of regression analysis that uses one explanatory variable to predict values of a single dependent variable. SPSS software is applied to obtain the univariate regression. In this study, three independent variables titled Fixed deposits, Savings Deposits and Current account deposits have been used. The dependent variable of profitability is measured by ROE which is the ratio of a banks net after-tax income divided by its total equity capital. The return on equity (ROE) is considered to be one of the profitability performance ratios (Tarawneh, 2006). It indicates how effectively the management of the bank is able to turn shareholders funds (i.e. equity) into net profit. ROE (Return on Equity) has been tested separately for the three independent deposit variables to avoid the issue of multicollinearity sin ce all the deposit variables are highly correlated to each other. This paper attempts to test three hypotheses. According to Becker (1995), hypothesis testing is the process of judging which of two contradictory statements is correct. Hypothesis 1: Investment Deposits increase the profitability of Islamic banks. Hypothesis 2: Saving Deposits increase the profitability of Islamic banks. Hypothesis 3: Current Account Deposits increase the profitability of Islamic banks. The data for this study is time series data taken from the quarterly editions of the Islamic banking bulletin? published by the State Bank of Pakistan. These bulletins publish the consolidated financial statement variables representing the entire Islamic banking industry of Pakistan including all the full fledge Islamic banks (Al Baraka Islamic bank, Bank Islami Pakistan limited, Dawood Islamic bank Limited, Dubai Islamic bank limited, Emirates Global Islamic bank Ltd and Meezan Bank Ltd.) as well as the Islamic branches of conventional banks (Askari Bank Limited, Bank Al Falah Ltd., Bank Al Habib, Faysal Bank, Habib Metropolitan bank, MCB Bank Ltd, National bank of Pakistan, Soneri Bank Ltd, Standard Chartered Bank, The Bank of Khyber, Royal bank of Scotland, United Bank Ltd). The sample period for this study is limited from 2007 to 2009 as most of the Islamic banks started operations from 2007 in Pakistan. Hence, the consolidated data of the eleven consecutive quarters has been use d in this study. The general equations of the three models are: Profitability = b0 + b1(ID)(1) Profitability = b0 + b1(SD)(2) Profitability = b0 + b1(CD)(3) Where, b0 = intercept (constant) Dependent variable: Profitability = ROE (Return on Equity) Independent variables: ID = Investment Deposits SD = Savings Deposits CD = Current Account Deposits Results The results of the regression analysis for model.1, 2 and 3 are shown in Tables 1, 2 and 3 respectively. All the three models were significant at the 5% level of significance. The value of the adjusted coefficient of determination (adjusted R2) for ROE in model.1 is 0.4 which demonstrates that 40% of the variability in total is explained by its linear association with Fixed deposits variable. As for model 2 and 3, the corresponding values of adjusted R2 are 0.399 and 0.377 respectively. A relatively small value of adjusted R2 does not necessarily mean that the model is in appropriate to measure the relationship between independent and dependent variables. (Haron, 2004). The value of adjusted R2 is usually influenced by a number of predictive variables relative to the sample size and it becomes smaller as we have fewer observations per predictor variable (Hair et al., 1995). To provide a rationale for the variance in R2 and adjusted R2 values, the Dublin-Walter test was conducted. The Dublin-Walter statistics values for all the three values were less than two which proves that the variance was due to negative autocorrelation in the sample observations. Also, the adequacy of a model for predicting is validated by the F-test. (Haron, 2004). As presented in Table 1, 2 and 3, all F-ratio values are statistically significant at 5% significance level for all profitability models. Hence, these results confirmed that the models applied were useful for measuring the relationship between deposits variable items and the profitability variable. Discussion The results supported all the three hypotheses that Investment, Savings and Current account deposits increase the profitability of Islamic banks. This result is in line with Haron (1996a, 2004) who founded evidence to suggest that all three sources of funds (current, savings and investment accounts) for Islamic banks are positively related to profitability. Hypothesis 1 of this study suggested that investment deposits increase the profitability of Islamic banks. The results show that the value of the adjusted coefficient of determination (adjusted R2) for ROE in model.1 is 0.4 which demonstrates that 40% of the variability in total is explained by its linear association with investment deposits variable. Hence, results support Hypothesis 1. Similarly, hypothesis 2 stated that savings deposits increase the profitability of Islamic banks. The results show that the value of the adjusted R2 for ROE in model.2 is 0.399 at 5% significance which shows that 39.9% of the variability in total is explained by its linear association with savings deposit variable. Hence, results also support Hypothesis 2. Finally, hypothesis 3 proposed that savings deposits increase the profitability of Islamic banks. The results show that the value of the adjusted R2 for ROE in model.3 is 0.377 which shows that 37.7% of the variability in total is explained by its linear association with savings deposit variable at 5% level of significance. Hence, results support Hypothesis 3 also. All these results were significant at a 5% level of significance. Referring to previous literature, the results are mixed. In the literature, most studies found that savings and investment deposits have an inverse relationship with profitability, while a positive relationship has been found for current account deposits. In this study, the current account deposit variable had significant positive relationship with profitability. This result is in line with the findings reported by Smirlock (1985), Haron (1996a, 2004) and Haron Azmi (2004). Since a current account service is considered a cost-free facility, it is expected that the more funds deposited into this account (current), the more Islamic banks will stand to profit. In the case of savings deposits, a positive relationship was found between these deposits and profitability. This result suggests that any increase in savings accounts will increase profits and this is in line with Haron (1996a) and Haron Azmi (2004) as Islamic banks can use these savings funds deposited in this account for productive purposes and therefore, generating additional revenue for the Islamic banks. The results on investment deposits in this study are not similar to most of the findings reported in commercial banking literature. For example, Hester and Zoellner (1966) and Heggested (1977) found that fixed deposit facilities had an inverse relationship with profitability. In contrast, Smirlock (1985), Haron (1996a, 2004), Haron and Azmi (2004) believed that an increasing amount in fixed deposits would have a positive relationship with a banks profitability. This study found that investment deposits had a positive relationship with all profitability measures and thus, confirmed Smirlocks, Harons and Azmis hypothesis. In light of the above findings, Islamic banking provides a better and ethical alternative that is not only Riba-free according to the rules of Shariah but also profitable to depositors and investors since all the deposit accounts are positively correlated to profitability. Since, Islamic banking provides three different interest-free deposit facilities to its depositors and investors to facilitate them according to their financial needs, people should invest in these deposit accounts in order to patronize the Islamic banking industry and to receive good returns in the form of hiba from these Islamic banks. In addition, Ghazali (2008) suggests that Islamic banking is indeed relevant to the current economic crisis. The global financial meltdown stemming from the US actually poses an opportunity for the Islamic banking system to demonstrate its distinctiveness. The financial meltdown revealed the desperate need for a system like Islamic finance, based on the principle of profit-sharing where both parties are subjected to probable losses and returns. It is a fair and just system. This is contrasting to the conventional system, where Islamic banks do not acquire or trade debt; rather they manage substantial assets which are tied to real economic activities.. This is really an opportunity for the Islamic financial community to reveal to the global market that the Islamic financial system is actually a robust and feasible alternative to the conventional interest-based system. Hence, people should support the Islamic banking industry worldwide since deposits are positively related to the profitability of Islamic banks. Hence, increased deposits would result in higher profitability of Islamic banks which in return would provide higher returns to its depositors. This would finally lead to implement a justified and ethical economic system which encourages a fair distribution of wealth and resources throughout the society. This study can be extended to include more time series and cross-sectional data of Islamic banks of other countries. The study may also be extended to cover other determinants of Islamic banking profitability.