Transaction And International Law Essay Example for Free

Transaction And International Law Essay Question 1. Before the UCC and the UCITA, what was one of the first, and most significant, of the U.S. governments attempts to promote uniformity in commercial laws from state to state? (Hint: think of commerce and Constitution). The first, and most significant, of the U.S. governments attempts to promote uniformity in commercial laws from state to state is firstly, the relevant provisions of the US Constitution and also Section 118 of the General Business Law which predates that of Section 7-210. [1] Question 2. Based on the information presented above, what do you see as the major differences between Article 2 of the Uniform Commercial Code and UCITA? The UCITA, as a controversial model law promulgated by the National Conference of Commissioners on Uniform State Laws, covered transactions in computer and digital information, in place of Article 2 of the UCC. UCITA would codify the view that traditional software distributions are licenses, not sales. Section 102(43), (44) of the UCITA (1999 Official Text) recognized mass marketed binary software transactions as licenses.[2] UCC Article 2 covers only contracts for sale of goods, so computer software is not expressly covered by Article 2. Computer software is different considering that it is so easily copied, thus it needs special protection. It is one of a few commercial enterprises that entirely depend on a single traditional copyrighted work such as a book, musical recording, motion picture, or painting.[3] Licensing thus becomes very important. Licensing enables the developer to control software distribution, to price software to reflect its value to the user, and to ensure that users are subject to developers limitation of liability provisions. However, there is a legislative gap that has forced courts to apply the UCC to license transaction, which it was never meant to address. Hence, the UCITA. Question 3. What is the legal distinction between selling a product and licensing it? The overlap of terminology between sale and license has caused confusion within the courts and has led to some acceptance of a license as a sale in some jurisdictions. The courts have used several methods to establish that a sale of software is the sale of a good within the meaning of the UCC Article 2. The simplest method of establishing software as a sale is when the parties agree in their briefing that Article 2 applies to the licensing of their software. Court would thus only have to look at the contract to see what rules would apply. For other courts, the analysis is more in-depth. In Architectronics, Inc v. Control Systems, the court applied UCC Article 2 to a software development transaction for a license of the software. The court held that the applicability of Article 2 is not defeated by use of license in lieu of sales if license provides for transfer of some of incidents of goods ownership. In Microsoft Corp. v. DAK Industries, the court looked to the economic realities of the particular arrangement. Upon this analysis, the court found that DAK had a right to sell the software and thus the arrangement was similar to a purchase of goods thus indicating that it was a sale, not a license to use.[4] Question 4. Many of the provisions in the UCITA were first proposed as a modification to Article 2 of the UCC. Why do you think the drafters decided to propose it as a separate and distinct uniform act? To be effective, a provision must be approved both by the NCCUSL and the ALI. Since the final draft of Article 2B as proposed was rejected by the American Law Institute or ALI, the required approval of both bodies was thus lacking. As a consequence, the NCCUSL renamed it as the now UCITA.[5] Specifically, the UCITA, as a controversial model law promulgated by the National Conference of Commissioners on Uniform State Laws, covered transactions in computer and digital information, in place of Article 2 of the UCC. UCITA would codify the view that traditional software distributions are licenses, not sales. Section 102(43), (44) of the UCITA (1999 Official Text) recognized mass marketed binary software transactions as licenses .[6] UCC Article 2 covers only contracts for sale of goods, so computer software is not expressly covered by Article 2. Computer software is different considering that it is so easily copied, thus it needs special protection. It is one of a few commercial enterprises that entirely depend on a single traditional copyrighted work such as a book, musical recording, motion picture, or painting.[7] Licensing thus becomes very important. Licensing enables the developer to control software distribution, to price software to reflect its value to the user, and to ensure that users are subject to developers limitation of liability provisions. However, there is a legislative gap that has forced courts to apply the UCC to license transaction, which it was never meant to address. Hence, the UCITA. References: Adobe Systems Inc., 84 F. Supp. 2d; SoftMan Products, 171 F. Supp. 2d. August, R. International Business Law (3rd Edition), New Jersey: 2000 Ayyappan, UCITA: Uniformity at the Price of Fairness?, 69 Fordham L. Rev. 2471, 2471-72 (2001) Brownlie, I. Principles of Public International Law (6th edition), OUP, 2003. Davidson Assocs., Inc. v. Internet Gateway, Inc., 334 F. Supp. 2d 1164, 1177 (E.D. Mo. 2004) Lake v Dye, 232 NY 209 [1921] Maritime World Corp. v Grefe Steel Warehouse Corp., 154 NYS 2d684 Nadan, Software Licensing in the 21st Century: Are Software â€Å"Licenses† Really Sales, and How Will the Software Industry Respond?, 32 AIPLA Q.J. 555, 558 (2001). [1] August, R. International Business Law (3rd Edition), New Jersey: 2000; Lake v Dye, 232 NY 209 [1921]; Maritime World Corp. v Grefe Steel Warehouse Corp., 154 NYS 2d684 [Sup Ct, Trial Term, NY County 1956]) [2] Davidson Assocs., Inc. v. Internet Gateway, Inc., 334 F. Supp. 2d 1164, 1177 (E.D. Mo. 2004) where the court finds first sale doctrine does not apply because defendants did not buy the software, they bought a license to the software. [3] Nadan, Software Licensing in the 21st Century: Are Software â€Å"Licenses† Really Sales, and How Will the Software Industry Respond?, 32 AIPLA Q.J. 555, 558 (2001). [4] Adobe Systems Inc., 84 F. Supp. 2d; SoftMan Products, 171 F. Supp. 2d. [5] Ayyappan, UCITA: Uniformity at the Price of Fairness?, 69 Fordham L. Rev. 2471, 2471-72 (2001) [6] Davidson Assocs., Inc. v. Internet Gateway, Inc., 334 F. Supp. 2d 1164, 1177 (E.D. Mo. 2004) where the court finds first sale doctrine does not apply because defendants did not buy the software, they bought a license to the software. [7] Nadan, Software Licensing in the 21st Century: Are Software â€Å"Licenses† Really Sales, and How Will the Software Industry Respond?, 32 AIPLA Q.J. 555, 558 (2001).

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In her novel The Stone Angel, Margaret Laurence uses the stone angel monument to embody the qualities of Hagar . Over the course of the novel, Hagar reflects back on the memories that have made up her life. Hagar’s loneliness and depression are self induced and brought on by her pride, lack of emotion, stubbornness and the ignorance which she has towards anyone’s opinion but her own. The qualities of Hagar are identical with those possessed by the stone angel monument and paralleled by Laurence many times throughout the novel. The angel was certainly not a suitable statue to mark the death of Mrs. Currie as it was uncharacteristic of her. The statue of the angel is a more fitting representation of Hagar’s father Jason Currie and hence suits Hagar because her personality was undoubtedly inherited from her father. The pride inherited from her father causes her much trouble throughout life as it seems to be the main root of her problems. Hagar’s lack of emot ion is also consistent with the characteristics of the stone angel. Her inability to show true emotion effects her a lot later in life and is the main reason she is unable to keep a relationship. Hagar’s stubbornness can also be connected to the stone angel monument in the sense that the Angel never moves and is also very set in its ways. The Stone Angel monument was created without eyes. Hagar is also blind in the sense that she is ignorant to the opinions and thoughts of others. The above qualities are shared by Hagar and the Stone angel, and are in essence the reason behind Hagar’s never-ending escape from family and her problems. One of the most dominant emotions shown in The Stone Angel is pride. Pride is a sense of one's own proper dignity or value. Most of Hager’s loneliness comes from her belief that she is socially above everyone else, regardless of what happens to her. This pride is inherited from her father who is very proud of his social standing and openly flaunts it. The Stone angel monument is a symbol of pride itself as it was brought from Italy to show the wealth and power of Jason Currie but purposely to mark the grave of his dead wife. â€Å"She was not the only angel in the Manawaka cemetery, but she was the first, the largest, and certainly the costliest.

Imaging System Division Essay

3 of them were: * Imaging System Division (ISD) sold ultrasound and magnetic imaging system * Heidelberg Division (Heidelberg) sold high resolution monitors, graphics controllers and display subsystems 50% served ISD, 50% outside customer * Electronic Component Division (ECD) sold application specific integrated circuits and subassemblies. It was established as a captive supplier to other Zumwald divisions but now served outsider also * Total revenue â‚ ¬ 3 billion * Highly decentralized basis management * Division performance indicators were achievement of budgeted target Return on Invested Capital (ROIC) and sales growth * Partially vertical integrated * Each division allowed to outsource the component Imaging System Division (ISD) is going to launch new product namely X73 The characteristic of X73 was as follow: * It was a new ultrasound Imaging system * The product was faster, cheaper and more compact * Design was supported by Heidelberd division’s engineers at full cost of time compensation. To get a best price for its component, ISD did a bidding which involved Heidelberg. Unfortunately Heidelberg bidding price was much higher than outsider company, therefore ISD decided to buy from Display Technology Plc Here is the bidding: Supplier | Cost per X73 System (â‚ ¬) | Heidelberg Division | 140,000 | Bogardus NV | 120,000 | Display Technologies Plc | 100,500 | The decision triggered a dispute since Heidleberg felt that ISD did not show a team work in this case. 1. What sourcing decision for the X73 materials is in the best interest of a. The Imaging Systems Division? Base on the pricing structure X73 below are the calculation of Contribution Margin base on each suppliers’ bidding price: Item| Bidding Supplier| | Heidelberd| Bogardus| Display Tech| Price X 73| 340,000 | 340,000 | 340,000 | | | | | Direct Material| 140,000 | 120,000 | 100,500 | Other Component| 72,000 | 72,000 | 72,000 | Conversion cost| | | | Variable overhead| 27,000 | 27,000 | 27,000 | Fixed cost| 117,000 | 117,000 | 117,000 | | | | | Total cost| 356,000 | 336,000 | 316,500 | | | | | Profit Margin| (16,000)| 4,000 | 23,500 | In this case Display Tech is the best sourcing for ISD since by pricing at 340,000 per unit of X73, ISD would get highest profit compared to other offers. Heidelberg offered its standard price to ISD which would give ISD negative profit. b. The Heidelberg Division? In bidding, Heidelberg has to estimate how its competitors bid prices would be before determining its price. Hiedelber has to put only relevant cost plus a certain markup for profit to win. Bidding is a close price offer and the ethic is clear that there should be no more negotiation after the price opened. The proper price bidding for X 73 Heidelberg offers should be as follow: Item| Heidelberg| | Current Bid| Competitive Bid| Direct Material| 21,600 | 21,600 | | | | Conversion cost| | | Variable overhead| 28,400 | 28,400 | Fixed cost| 55,000 | | | | | Total cost| 105,000 | 50,000 | | | | Markup (33%)| 35,000 | 16,500 | | | | Price to Offer| 140,000 | 66,500 | Fixed cost which consisted of labor cost was not relevant cost for the bidding price since even Heidelberg awarded for X73 or not, Heidelberg should pay it anyway. As its capacity currently was 70%, there was no opportunity cost to be added. Therefore the actual lower bound Heidelberg could offer was â‚ ¬ 50,000. However that price would give zero profit to Heidelberg. To make the profit positive, Heidelberd could do some markup (eg. 33%). This profit was beneficial for Heidelberg to cover some fixed cost. c. The Electronic Components Division? ECD has been set as internal supplier whose pricing has been standardized to that purpose. with 20% marked up from Absorption cost. This was actually the proper transfer pricing for the company in supplying to other division. Item| ECD Current| | | Manufacturing cost | 18,000 | | | Profit Margin (20%) | 3,600 | | | Price Component for X 73 | 21,600 | | | d. Zumwald AG? Since Display Tech was the one who win bidding, from the launching of X73, Zumwald would get profit only from ISD Division amounting of â‚ ¬ 23,500, as describe on the Calculation below Item| Supplier | | Display Tech| Price X 73| 340,000 | | | Direct Material| 100,500 | Other Component| 72,000 | Conversion cost| | Variable overhead| 27,000 | Fixed cost| 117,000 | | | Total cost| 316,500 | | | Profit Margin| 23,500 | There are 2 more calculation scenario we could add if Heidelberg win the bid: 1. Heidelberg and ECD with current price offer Item| ISD| Heidelberg| ECD| Total| | | | | | Price X 73 & component| 340,000| 140,000| 21,600| | | | | | | Direct Material| 140,000| 21,600| | 161,600| Other Component| 72,000| | | 72,000| Conversion cost| | | 18,000| 18,000| Variable overhead| 27,000| 28,400| | 55,400| Fixed cost| 117,000| | | 117,000| | | | | | Total cost| 356,000| 50,000| 18,000| 424,000| | | | | | Profit Margin| (16,000)| 90,000| 3,600| 77,600| 2. Heidelberg & EDC with Transfer price, Price X73 = â‚ ¬ 340,000 Item| ISD| Heidelberg| ECD| Total| | | | | | Price X 73 & component| 340,000 | 66,500 | 21,600 | | | | | | | Direct Material| 66,500 | 21,600 | | 88,100 | Other Component| 72,000 | | | 72,000 | Conversion cost| | | | – | Variable overhead| 27,000 | 28,400 | | 55,400 | Fixed cost| 117,000 | | | 117,000 | | | | | | Total cost| 282,500 | 50,000 | 18,000 | 350,500 | | | | | | Profit Margin| 57,500 | 16,500 | 3,600 | 77,600 | Analysis: 1. For Zumwald AG it was important for Hedielberg to win the bidding, since it would generate more profit either Heidelberg offered current price or transfer price, 2. With first scenario ISD division would suffer for a â‚ ¬16,000 lost 3. If Display Tech win, Zumwald would lost â‚ ¬ 54,100 (â‚ ¬77,600 – 23,500) profit 4. The first scenario it looked ISD would be the loser but in second scenario ISD would generate biger profit (assuming X73 would be priced at â‚ ¬ 340,000) 5. With the second scenario, ISD actually could review the X73’s price it’s, since the transfer cost allowed ISD to lower the price so that X73 could better compete in the market 6. Vertical integration rules should be set up and applied in Zumwald AG 2. What should Mr. Fettinger do regarding the X73 sourcing issue? Considering some factors as mentioned below: a. ICD has announced Display Tech as the winner. b. There was a decentralized policy among the division that Fettinger has to be respect for c. Credibility issue of the company in the eyes of outside suppliers if Fettinger intervene in this case by changing the decision and winning Heidelberg Mr Fettinger should let ICD to source its X73 component to Display Tech as the winner. It could become a learning for him and management. However this consideration should not base on the amount of the business which was estimated to be small, because in my opinion for a competitive product such as X73, pricing was one of important part to success. If ICD could get any better price from other division, ICD may consider a lower price to the market X73 and the revenue may be double or triple. Then Mr Fettinger has to gather his division heads with a standard policy on transfer price among the divisions. 3. Can a system be designed to motivate each of Zumwald’s division managing directors to take actions that are not only in the interest of their division but also in the best interest of Zumwald? Explain. It can. The Top Management should set a TRANSFER PRICES for internally transferred goods. However in decentralized organization such as Zumwald AG, the managing directors and his teams often have considerable autonomy in deciding whether to accept or reject orders or whether to buy inputs from inside the organization or from outside. Therefore the transfer pricing rule should promote a GOAL CONGRUENCE among the managing directors involved in the transfer Please refer to the schematic below: Top Management Zumwald AG ECD Heidelberg ISD Components transferred at a transfer price Components transferred at a transfer price Assuming the transfer price is made, the transfer price will not affect the company’s overall profit, however it does affect the profit associated with each division. As a consequence, the trasnfer pricing policy can affect the decisions of autonomous managing directors who are deciding whether to make the transfer Purchase of productive inputs from vendors outside the organization Sales of finished goods to customers outside the organization Top Management Zumwald AG ECD Heidelberg ISD Components transferred at a transfer price Components transferred at a transfer price Assuming the transfer price is made, the transfer price will not affect the company’s overall profit, however it does affect the profit associated with each division. As a consequence, the trasnfer pricing policy can affect the decisions of autonomous managing directors who are deciding whether to make the transfer Purchase of productive inputs from vendors outside the organization Sales of finished goods to customers outside the organization There are general rules that will promote Goal congruence which are divided into scenario: 1. No excess capacity The transfer price = Outlay cost + Opportunity cost Outlay cost : standard variable production cost Opportunity cost : forgone contribution margin from the lost sales Goal congruence maintain because the selling company transfer its product to another division at equal price as if it sells to external customers. The buyer division just needs to pay for the above relevant costs. While Zumwald AG as the holding company would get benefit from both. 2. With Excess Capacity Transfer price= Outlay costs (no opportunity cost to add) Outlay cost : standard variable production cost General congruence: * The seller will get zero contribution since it sells the product at its outlay cost, to make it goal congruence it is advisable to allow the seller to add a markup to this lower bound in order to provide a positive contribution margin * The buyer will get price at outlay costs which allow it to price lower to compete the market * The Holding company off course would get more beneficial since the both division could get profit. In this case if the transfer price policy applied among Zumwald AG’s divisions, actually the bidding is only away to compare or there is no need to do bidding at all. Heidelberg should use the above formula plus a reasonable markup to get a positive contribution margin, therefore ISD will launch X73 on its price with sufficient profit which then beneficial to Zumwald AD as the holding company. General Transfer Pricing rule provide a good conceptual model for the managerial accountant to use in setting transfer prices and in most cases it is implementab le. However when the general rule cannot be implemented, it is advisable to use a transfer price based on market price, costs or negotiation.

The Atlantis Rubber Company - Free Essay Example

Sample details Pages: 7 Words: 2023 Downloads: 3 Date added: 2017/06/26 Category Business Essay Type Analytical essay Did you like this example? John smith, the founder of Atlantis Rubber Company, started his business of tire-mounting patent in 1900, with total assets of $2000. At its initials he earned $110,000 by selling the tires of another company but later he purchased a building in 1902 to start manufacturing its own tires, by hiring twelve employees at this place. In 1960s the company has been voted as one of the best among the ten team-managed companies of the United States. Don’t waste time! Our writers will create an original "The Atlantis Rubber Company" essay for you Create order The company was organizationally very strong because of its good management which is very important for the success of the organization and there able to survive at the time 1930 when there was a disastrous economic crises for many American firms. The company is now the world leading manufacturer of tires, by having market of 3000 different sizes of tires and more than 10,000 other products of plastic and rubber and many more. There are more than 75,000 employees including men and women working in almost 24 countries of the world. Along with this, the company owned a network of more than 750 stores in the United States. This case revolves around the young man of twenty seven years, Ken Bonner, who worked as an accountant at the home office of the company. The company had its own college for training the engineers, accountants, chemists and many more. The purpose of this training was to make the employees get aware of the history and business of the company in the morning ses sions and to make them more practical in the work they have to do by dividing them in groups. The training session was about of eight weeks and devotion to achieve the goals of the organization was stressed on every employee. The company had great expectations from the individuals who once became the member of the college training. The college training session made every member to realize that they are elite members and their future with the company is bright. When Ken received his first assignment, he gets really disappointed and he started thinking whether his future is bright or he just became a part of the small business of his town, but later on with the passage of time, he desired to be a part of the company. Problem statement: The company was more task-oriented and very restrict to his rules and regulations. They follow the conservative behavior approach to avoid any loss in the business. This was the reason that even when the manager of the Accounts Payable felt the need of more staff in the department, he didnt go for it. Promotions were given only to the employees who were the members of the college training program and the rest of the people had nothing to do with this benefit. There was the lack of coordination among the departments as the employees of one department dont know the employees of other department. There was no concept of employee relationship and employees were made only to achieve the goal of the organization. Although conservative management has its benefits but its not preferable in the organizations at its growing stage. The management of the company was not up to date with the technological changes in the environment. The company was at its best in management in early 1960s but it didnt make changes in its management with the passage of time. The employees were not allowed to talk with each other or to visit to doctor during the working hours. Through this company can achieve its goals but never be able to retain its employees. The case revolves around one man Ken Barron, who moved to different departments, during his job in Atlantis Rubber Company. Ken experience in one department was totally different than in the other department. Issues, Discussion Recommendations Issues Discussion and Recommendation In the first ten to fifteen years of the job, there were some set patterns for job promotions and job titles through which every manager and executive has to pass. Promotion was only given to the employees who were the member of the training college. The competent employees need to be encouraged in promotion whether they are or not the member of the training colleges. This will make them to give more benefit to their organization in achieving their short and long term goals. If the company gives promotions on the basis of their membership it will discourage others employees working in the company and they definitely leave the organization. The management needs to better understand the best promotion practices in order to improve the level satisfaction of the employees (Hooi, 2012). Conservative Management approach was used in achieving the targeted goals. The company was not innovative and no changes were made by the management in its strict rules and regulations with the passage of the time. The company needs to be more relationship oriented. In this way it doesnt only achieve its targeted goals but can make its employees more satisfy with their job. Relationship oriented management practices n the organization results in better outcomes (Toles Anderson, 2011). They need to revise their strict rules of working only so that employee will not even thin about to leave the organization. No extra pay was given to employees for the extra work they used to do in Saturday. If the employee had to work on Saturday because of workload, the company never paid him for the extra work. This only discourages the employee and de-motivates them from doing further work for the company. The company should need to give some incentives to their employees in order to retain them. The management trust and rewards are found to be the predictors of employee satisfaction, which in turn influence the extra role behavior of employees (Reychav Sharkie, 2010). Staff wa s insufficient for the required work. The manager of the company seems to be reluctant in hiring the new staff because he doesnt want to endure his own record of the single job, by the poor performance of the employee. Every employee was given the independent task and he has to complete it. This cause stress in the employees and quality of work is also disturbed. The work should be divided among the individual employees so that they perform their task in an efficient way. Break was insufficient and talking to each other was not tolerated during the work. The working environment of one department differs from the other department of the company. When Ken was in Accounts Payable department, he was not allowed to talk to other employees and the break time also was insufficient for relaxation. But when he moved to the other department, he found the environment bit different. The company needs to provide equal working environment for all the departments. By giving priority to on e department can only de-motivate the employees of the other departments. The working environment or strict rules of the organization are the source of stress in the employees (Jung Yoon, 2013). If someone gets ill he was not allowed to visit the doctor. This seems to be really awkward that someone is ill and he wasnt allowed to see a doctor during work. The company should need to have flexible rules regarding health issues. Even though the company should appoint his own medical officer within the company so that it provide immediate health treatment, if someone is ill during the work. The clerk employee had to come for extra work on Saturday without giving extra pay, and he didnt even told that what he had to do actually. The employees at lower level were not even told that what they need to do actually. They just had to do all work by their selves. If there were any load of work in the department, the clerk had to come on the Saturday and he was not given the extra pa y for that work. This results in the dissatisfaction of the employee from their seniors. The company needs to give incentives and benefits to the employees for the extra work they do. Although they dont leave the organization but the quality of work will be affected. The study has shown that extra work on weekdays or more working hours only lead to dissatisfaction of the employees which in turn increase the intention to leave the organization (Nabe-Nielsen, et al., 2010). There was a Communication gap between the departments of the company. The employee of one department was unaware of the other employees of the other department. Secondly, the employees were not provided with the sufficient information for the work they had to do. The company needs to communicate all the tasks; this will motivate the employees to do the work effectively and efficiently. The employees need to be well communicated about the tasks, this will not only enhance their motivation but the productivity can also be increase (Tohidi, 2011). The working environment was not friendly and few of the departments were equipped with the working facilities. The cost accounting department had only the facility of telephone. The employees were giving the opportunity to have friendly working environment. The rules were not so strictly followed there. But the rest of the departments dont have any friendly environment or direct connection with their managers or supervisors. Ken worked in different departments and he was very satisfied in the department, where the environment was friendly and cooperative. This increases his motivation satisfaction towards his job. Manger support and cooperation is very important for the employees, this will keep them motivated and can reduce the turnover rate. The studies has shown that supervisor support can reduce the turnover rate if he fully understand the needs of the employees, and provide them equal opportunities for career (Yang, et al., 2012). T here was no concept of training, workshops for the new work and it was up to the employee to perform and did his task. The employees were not provided with the training facility, if they assigned a new work by the supervisor. It was totally up to the employees that how they had to do the work because the seniors were only concerned with the outcomes. The company should need to give training to the employees in order t improve the productivity and quality of the work. Training will simply add more profit to the company. There was no concept of job analysis. The employees were not told about their responsibilities at the workplace. They had to figure it out by their selves that what they need to do to achieve the targeted goals of the organization. Job analysis is very important because through job specifications, employees get to know about their duties for a certain position. Conclusion The Herzberg motivation theory reveals that there are certain factors which make employees satisfy or dissatisfy at the workplace (Herzberg, 1959). The company policy, rule or regulations, working conditions, relationships with the seniors are some of the dissatisfaction factor for the employees, which make them to leave the company. Lack of support and trust, stress from overwork can also be the reasons of dissatisfaction. Although Fred was happy with the company but he left the organization when he got attractive job offer from the other company. The research has shown that motivation at work place and retention both are linked to each other, if the employee is motivated he will be satisfied to his job and career advancement which leads to his retention (Maka Sockelb, 2008). Good culture, organizational environment and the most important is recognition all play an important role in retaining the employees. If the company wants to retain its employees he has to make a proper plan or retention strategies. Training, mentoring, incentives are some of the very good retention strategies at workplace. The employees will be more satisfy and retain with the organization if they have provided with the opportunity of training for new skills (Costena Salazarb, 2011). Communicating the things effectively at the workplace will encourage the employees to perform their effectively and efficiently. The only thing now the company has to do is to be employee oriented rather than business oriented. If the needs of the employees are fulfilled they will remain satisfied and will give more benefit to the company.