STEEP Marketing Analysis - Social and Technological Tobacco Profitting

Social

Low socioeconomic status and differential health outcomes due to smoking. In the world's Tobacco Industry, their steady external environment allows the top companies such as British American Tobacco to pursue similar strategies and revenues remain steady for the top companies. Advertising and promotion is a vital part of the tobacco industry's business effort, ethical dilemmas not so much. The companies know that smoking satisfies an important psycho-social needs. Controls on smoking in public and work places also undermine tobacco's social acceptability which causes consumption to decrease among the “new smokers” and “old smokers.” 

Maintaining the social acceptability of smoking in Europe which is threatened by anti-smoking strategies designed to polarize smokers and non-smokers has not caused the social stigma that it has in the USA. The companies fight to “protect and support smokers in a reasonable, responsible and consistent way” (WHO). How soon will it be before the government starts to interfere  in other health areas of our lives with other “bad” foods like McDonalds or caffeine. The social environment has been found to be harsher also due to, what the industry refers to as “extremists” and referred to by others as the World Health Organization.

Despite social stigmatisms in USA, the industry swells in developing countries and other asian nations such as Japan and China. Despite regulation to not market addictive and lethal products to children, a moral compass followed globally, society cannot tell its government which companies they are allowed to have private meetings with and this forms the social code that governments allow their people to live by, In the UK, Imperial Tobacco, British American Tobacco Philip Morris International and Japan Tobacco International met with the UK government this year resisting package standardization and has proven effective for the time being (ASA).

Social activists, identify as a Tobacco Free Initiative (TFI), and the WHO focuses on smoking and the health effects of smoking among young people and also offers hotlines for old users who wish to quit. The information provided by the WHO's website is cloaked in pseudo-objectivity with multiple logical fallacies most notability that correlating information among smokers and “risky” behavior does not demonstate a causation despite listing a number of risky activities. Other countries are much unlike the USA socially- which is no surprise- but in a major factor despite the US's global social reputation is that society has been influenced by the big-budgeted “Turth” campaigns which have reduced usage in key states. Prohibiting their access to tobacco could potentially cause serious social unrest, and would certainly feed a black market (Barros).

Tobacco use as a risk factor for six of the eight leading causes of death in the world:

 Hatched areas indicate proportions of deaths related to tobacco use and are coloured according to the column of the respective cause of death.*Other tobacco-caused diseases: mouth and oropharyngeal cancers, oesophageal cancer, stomach cancer, liver cancer, other cancers, cardiovascular diseases other than ischaemic heart disease and cerebrovascular disease, diabetes mellitus, and digestive diseases.Source:World Health Organization (1)

Technological

Due to advancement in technology making cigarettes is now fully automated by robotic-machines, from processing the tobacco to cutting cigarette paper and filters. Packaging is also automated, cigarettes are filled into respective brand packs, wrap in protective film and placed in cartons. This has been a rare instance of technology helping the industry.

Advancement in medical science like the 1988 report of the US Surgeon General identified cigarette smoking as nicotine addiction (WHO). The itnernet and television offer access to information and incentives to users to not start smoking, help for those who wish to quit, and access to unbiased and unfiltered information. For example, online the ASA defines five forces of misleading advertising which they hope to fight in 2013: Free Trials, Misleading pricing, Daily deals, Misleading testimonials, Misleading health claims. It is clear the tobacco industry continues to fall into at least two.

Electronic cigarettes also known as 'E-cigarettes' also are a technological break-through that are causing more quitters but decreasing profits only marginally as the top 4 companies continue to report positive annual sales records and forecasts. The selling of counterfeit products- by using technology- has caused a “unique” look and higher-priced and more technologically advanced product branding strategies. 

British American Tobacco has also developed and promoted new cultivation methods that to replenish soil by using organic substance for better fertility structure as well as having environmental benefit. It is a risk factor for six of the eight leading causes of death, including heart disease and several cancers and lung diseases (WHO, 209). Despite the companies having advanced manufacturing and packaging technologies the simplicity of just producing tobacco has underdeveloped countries such as Malawi and countries like Bulgaria relying on tobacco farming as a main export crop.

Evaluating the effectiveness of the marketing to the social and technological aspects of the tobacco industry defies conventional approaches to evaluation. There is no possibility of a control group, especially because the tobacco industry operates globally. Normal tools to monitor consumer marketing, such as usage and attitude surveys, or “marketing communication awareness monitors” are of any help (Blass, Kurup). Stakeholder marketing is too subtle and covert to be effective as demonstrated in the meetings of the four large companies and the UK's parliament. In addition, for an industry who “deals in selling death” their ethical grey area has shown time and time again to be maliciously focused on profits alone. 

Recently, on April 17, 2013 a Cancer Research UK Press Release revealed Japan Tobacco International (JTI)  breached terms laid out in the Advertising Standards Authority (ASA) with regards to claims of a growing black market and packaging of their products. Under embargo from the ASA, JTI made multiple misleading and highly publicized claims of profit loss and increased tobacco smuggling despite still reporting profits and research very blatantly demonstrating otherwise (WSJ Online ). 

The Wall Street Journal Online article “Japan Tobacco Expects Record Full-Year Profit” published April 25 of this year, the ability to convert the yen into various currencies has helped give one of the three largest companies in this industry in terms of sales volume a big boost which has been technologically difficult to do on a global scale until now.

Marketing 300 Method Video Case

Why was the US household cleaning industry so appealing to the founders? That is, what did they do differently to compete in this industry? Be sure to answer this question, at least in part, using the concept of segmentation.

The market was static and because it had not changed much in a while Method segmented the market into homeowners and anyone in a kitchen, to anyone who didn’t want to have to hide their cleaning products.

How did Method differentiate itself in the marketplace?

Method positioned itself as more of an accessory not like the ugly same old. They connected it back to the household, and focused on safety.

What percent of businesses succeed according to the founders?

5 percent

How long did the founders engage in market research? Did they use qualitative research, quantitative research, or both?

A full year in research into the combined 20 billion dollar market category. They used both types of research to realize the premium segment within that market

In the minds of the founders, the brand = the ____________.

Promise, the consumer gets from the product, and the product delivers on that promise.

Methods #1 promotion vehicle, at the beginning continuing through today, was what?

Packing. Make it impressive and strand out

After founding the firm, the founders took what key management step?

They used the desire method, instead of consistency focused on an everyday moment of luxury, example of Starbucks Coffee. Method had an elastic brand Packing design communication, merchandising statement by bringing their brand together, test ran a store dedicated to subject of cleaning, advertising- emotional spark, entertaining, no celebrity endorsement, positioned to a healthy home

The four key elements identified in their Situation Analysis around which they built their “monster brand” was what?

Mass channel, grocery, club, and drug. So a design/positioning, environmental responsibility, house old safety, speed to market,

The key criterion/criteria that Method needed in a retail partner was what?

Price, but also to play with creative players. Sharing a vision and overlap of target guest and method target demographic and also positioned the design.

The four components of Method’s competitive advantage were what?

Green living, social responsibility (innovation), available to find and at a good price, design a positive agenda by channeling inequity creativity and drive

What is a “Media Provocateur”? What is a “Lead Green Chef”?

Lead Green Chef was an environmental science research foundation studying environmental impact- his name Anam Rowley,

Media Provocateur- separated Method from the normal cleaning design that companies had been approaching for 50 years, they stop educating people and started inspiring

Briefly, what was Method’s pricing strategy?

Cheaper than their competitors, used good design and creativity, also stay domestic no matter how it affects price, and make it safe.

What key environmental trends did Method take advantage of?

They took advantage of speed to market and especially the green trend that developed nations have. Everyone is green now,, unlike 20 years ago. Instead of educating, encourage the other business to engage and inspire rather than educate

Name one socially responsible act that Method completed/took part in.Planted trees by an airport to prove they are carbon natural and use all natural energy.

Did Method have a global vision? Give two examples of this vision. What mistake did they make going global?

Yes. One was asy entry into Canada who has the same importance of design and environmental responsibility. Second, Retail consolidation in UK, and can converse with many people easily, which helped in the market.

Their mistake was not realizing languages barriers, secure the brand name in certain places so they had to change the name and design.

How did Method make global expansion easier and cheaper?

They focus on retail versus target market, building development on one retailer instead of whole country and can get into multiple countries they don’t need to be in every retailer, thus they can say they Differentiate from other products/ retailers

Was Method’s manufacturing strategy: to manufacturer locally or outsource?

Locally. They are made in America, 90% are manufactured domestically,

What foreign markets would Method not compete in well? Why?

Developing markets, lucrative- China/India, fundamental needs are developing still, but once they mature then they would be a good market for Method to compete in.

You should first open the file that has the questions, save it, and while watching the video type your answers into the file.  Next, save your answers and then submit your answers (WITH the question preceding each answer) electronically.  Do this by clicking on the link entitled "Turn In Your Method

Method Video Case Assignment

This includes Overview, Strategic Planning, Social Responsibility, and Global Marketing. 
You should first save this page and then, while watching the video, type your answers into it.  Be sure to type your answers AFTER each respective question. Do NOT delete the questions. A submission will not be accepted unless each answer is preceded by its question.

You should see a "Turn in Your Method Video Case" link to do this.  

Do the best you can -- some of the dialogue is difficult to hear but stay motivated  and focused. Thus, the student may need to hit the "rewind" arrow to replay a section.  Student will not rewind more than twice, though, to listen to something that is not clear.  
Because of the rapid pace of the video, your answers should show clear and convincing evidence that you watched and listened to the video closely, however.
Typical Submission Format:
1. Font: 12-point Arial (this is a business font you should consider using at all times)
2. Margins: one-inch margins: top, bottom, right, left
3. The QUESTION should precede EACH answer, that is, do NOT delete the questions.  Type in your answer after each question

Bond Yield and Bond Prices 17 Blackstock Econ 215

Bond Yields Questions:

These multiple choice questions willl determine the understanding you have on bond yields. I do not think any calculator is needed because it is all very simple addition and multiplication. Students who are economics majors should pay careful attention to each of the following sections.

Some of this Bond Yield Questions have been answered for you already. Professor Blackstock

Econ 215

How can duration and convexity assist the portfolio manager in assessing the interest-rate risk inherent in a bond portfolio? This can happen because the greater the duration and convexity, the greater the interest-rate risk. Since interest-rate risk is a major source of systematic risk, this makes the portfolio manager's job easier.
One percentage point of a bond yield represents:100 basis points
If a bond is callable, this means:the issuer may redeem the bond early.
Subtracting the inflation rate from the market interest rate results in an approximate real risk-free rate of interest
For risk-free securities, the nominal interest rate is a function of real rate of interest and expected inflation rate
Under the Fisher hypothesis, if a one point increase in the inflation rate is anticipated nominal rates on short-term securities would rise by one pointWhich of the following regarding the current yield on a bond is not true?
The current yield shows the bond’s expected rate of return if held to maturity.
In order to have a yield to maturity greater than the coupon rate, the bond must be:
selling at a discount.
Typically, a yield to call calculation will use the end of the deferred call period rather than remaining years on the term.
When interest rates rise, bond prices fall.
The yield to maturity consists solely of interest income if the bond was purchased at par.
The YTM calculation assumes reinvestment of interest is at YTM rate.
When calculating the yield-to-call on a bond, the stream of interest payments is __________ and the par value is replaced by the __________.shortened to the call period . . . call price.
The face value of most bonds is $1000
The Fisher hypothesis is an approximation of the risk-free interest rate.
Bonds with deferred call features can only be retired after a specified period following the date of issue.
The real rate of interest is almost always the opportunity cost of foregoing consumption.
An increase in reinvestment rate risk results from a decline in interest rates.
The yield-to-call is like the yield-to-maturity except for the coupon rate and coupon payments.
The yield to maturity is 8 percent. If the yield increases by 50 basis points, the new yield is :
8.500 percent.
A bond is selling at a discount if the:yield-to-maturity is greater than the coupon rate.
The __________ equates the present value of the total future dollars expected to be available at the end of a specific time period, given certain assumptions, to the price of the bond. > horizon return
If bond investors do not reinvest the coupons received during the life of the bond, then the
RCY will exceed the YTM.
Find the price of a 10 percent coupon bond with three years to maturity if the yield to maturity is now 12 percent. Use semiannual discounting. $950.85 Price = 50(4.917) + 1000(0.705)
The YTM for a zero-coupon bond with 10 years to maturity and selling for $450 is
8.15 percent. = [1000/450]1/20 – 1
Reinvestment rate risk increases with a ________ coupon rate and a ________ term to maturity.
high . . . long
Which of the following statements regarding the realized compound yield (RCY) is true?
The RYC does not assume coupons are reinvested at the YTM.
Bond Prices
Which of the following statements regarding changes in bond prices relative to changes in market yields is true? Short-term bond prices will increase less than long-term bond prices if market yields decrease.
Which of the following bonds would you expect to have the greatest price volatility? 5%, 10 year bond
Which of the following statements about the risk premium affecting market interest rates is FALSE? The risk premium is not associated with the issuer's own particular situation.
Bond Price Changes – understand inverse relationships
All other factors constant, the -------------- of a bond, the shorter the duration. higher the coupon rate
DURATION
Duration can be used minimize interest rate risk.
Duration tells weighted average maturity of a bond.
For all bonds paying coupons, duration is less than maturity.
The duration of a zero coupon bond is equal to its term.
Duration is based upon present value concepts.
Which of the following statements about bond prices is FALSE? Bond price fluctuations and bond coupons are directly related.
The term used to describe the degree to which duration changes as the yield to maturity changes is linearity. Not True
Maturity constant, increases in interest rates ___ bond prices by proportionately __ amounts than decreases in rates ___ bond prices. decrease . . . smaller . . . increase
Convexity is important in bond analysis because the relationship between bond price changes and duration is an approximation.
Convexity is largest for bonds with _________ coupons, ________ maturities, and ________ yields to maturity. low . . . long . . . low
Why is the yield to call a more appropriate measure to use for callable bonds with high coupons rather than the yield to maturity?
High coupon bonds face a greater chance of being called than low coupon bonds so investors will more likely to receive the yield to call than the yield to maturity.
Which of the following bond relationships is NOT inverse? Duration and maturity
Coupon and duration, Interest rate changes and bond prices, Duration and yield to maturity are INVERSE relationships
A current yield = coupon______
current market price
= 100/850 = 11.76 percent
B = 2 pmts per year, 1000 FV, -850 PV, 20 N, 50 pmt, solve for interest rate = 12.69 percent
Two 10 percent coupon bonds are selling at par. Bond A has a 15 year maturity and Bond B has a 25 year maturity. If the appropriate required rate of return for these two bonds drops to 8 percent, calculate the percentage change in the price of each bond, using a financial calculator. Assume interest is paid semi-annually.
With regard to duration, choose the INCORRECT statement. Yield to maturity is directly related to duration.

Stocks

 

۞ = TRUE

X = FALSE

۞X

Treasury bonds are typically used a proxy for the short-term riskless rate.X
The real risk-free rate of interest is the rate that must be offered to persuade individuals to invest rather than save.X
If the current yield is above the coupon rate, the bond is selling at a premium.X
If two bonds have the same coupon rate and the same term, they will have the same intrinsic value.X
The horizon return is the bond return to be earned based on assumptions about reinvestment rates.۞



Bond Prices


In bond valuation, the appropriate discount rate is the required yield.۞
The higher the discount rate used in bond valuation, the lower the bond’s intrinsic value.۞
Bond Price Changes
Duration measures the weighted average maturity of a noncallable bond’s cash flows on a present value basis is True
Duration expands with time to maturity at an increasing rate is Not True
Bond Yields
What is the reinvestment rate assumption in regard to the yield to maturity?
That all receipts of coupon payments are reinvested at the yield to maturity.


Bond Price Changes
What weakness of modified duration does convexity correct? Modified duration predictions are linear approximations. Convexity corrects the answer for the curvature of the price function.



Why does the coupon rate affect the volatility of bond price? The higher the coupon rate and payment, other things the same, the more of the bond’s value comes from the coupon payments and the less from the maturity value. The coupon payments are received sooner than the maturity value, and, therefore, are affected less by compounding.



For each of the following variables, state whether duration has a direct or inverse relationship: term to maturity, size of coupon payment, yield to maturity.


Term to maturity – direct; size of coupon payment - inverse; yield to maturity – inverse.


Calculate the duration of a bond with a 7 percent coupon and a 3-year maturity currently priced at $1,000. Interest is paid annually.
Year Cashflow Present Value PV of CF PV/ Price Year X PV/Price
$70 .9346 $65.42 .065 .065
$70 .8734 $61.14 .061 .122
$1070 .8163 $873.44 .873 2.619
$1000 2.806 years

How does value of a bond change as it nears its maturity? Bond prices will change so that the bond will be worth its face value on the maturity date.


The next section tests the students general understanding of the entire chapter. I hope you enjoy this blog entry and find it helpful.


3 reasons that duration is important in bond analysis and management {
i It measures effective lives of alternative bonds.
ii It is used in bond management strategies.
iii It measures bond price sensitivity to interest rate changes.
.
The following are mathmatical problems. I reccommend using your iPhone or calculator or computer determine the following answers:
A 10-year, $1000 corporate bond with a 10 percent coupon rate (interest is paid semi-annually) is currently selling for $850:



(a) Calculate its current yield.
(b) Calculate its yield to maturity (using a financial calculator)

Bond A = original price = $1,000; new price = 1000 FV, 8 interest rate, 50 pmt, 30 N, solve for PV = $1,172.92
Percentage change in price = 1172.92 - 1000
1000 = .1179 = 11.79%


Bond B = original price = $1,000; new price = 1000 FV, 8 interest rate, 50 pmt, 50 N, solve for PV = $1,214.82
Percentage change = 1214.82 - 1000
1000 = .2148 = 21.48%

Business Personality Profile

I usually see myself as organized, resourceful, and future oriented. My day to day activities are focused on graduating. My lifestyle appreciates learning, hard work, and monetary success. Developing computer software and creating websites are personal areas of interest. I like the intellectual challenge and creative possibilities of computer languages such as Python. I run various Linux operating systems and fully support open-source projects.
 I believe software needs to be shared along with various information and knowledge that should be free and easily accessible to the public. Apple, as a corporation, lies to the consumer, manufactures overseas, and profits off stolen software; regardless, I use their iPhone.
I’m an honest and trustworthy person, like Abraham Lincoln. The QR code was custom made and reflects my involvement in various aspects of the internet and technology.
 Some marketers blatantly target a desperate-to-believe audience through advertisements that include offers to earn one million dollars in a month. I always appreciated the manipulative efforts that went into cheesy advertisements like paid-programming shows. Creative arts play a huge role in my life, I like the talent and timeless nature of Ludwig van Beethoven’s music.

I grew up in New Orleans as a fan of the cities football team and have childhood memories of watching football with my family. The cup of coffee represents a vital part of my morning ritual which is never complete without java. Working at a coffee shop has only strengthened this routine. This collage demonstrates how I see my personality. The various images represent areas of personal interest and come together to create a single image that reflects my individual lifestyle.

Cause Analysis of Social Networking Popularity

What are the causes behind social networking’s mass popularity?

Why does everyone use Twitter now?

What makes Facebook better than MySpace?

Social networking sites appear to want everyone in the world to use their site. The site’s popularity in modern culture and today’s society is undeniable. Even though the popularity of specific social network sites peaks and falls, as a whole, social networking has gained and sustained massive popularity. These sites have engraved their name on the walls of modern popular culture. This trend emerged and continues to prosper because of social, cultural, and economic conditions.

Societal factors affected the growth and popularity of this trend. With the invention of the internet, society had opened up a door that would allow for certain web creators to make a fortune. As society made tremendous technological advancements, creative web developers came up with ideas that would form a phenomenon. Society’s ability to continue to make technological advances and changes allows for these networking sites to take off. Social networking sites take advantage of text messages, emails, and instant messaging and use those resources to create extremely popular sites.

The social conditions of these sites allow friends and family to stay in touch. Society as a whole has become incredibly reliable on communication through social networking sites. For some, keeping in contact with someone who doesn't have a social networking site is very difficult, even with a telephone number. Another contributor is that parents like to feel they are a part of the times while still keeping an eye on their child. Social networking sites have become an altogether new way to communicate across the world, especially as their availability on phones and pagers allows for instant access at any time of the day. As the ease of access to these sites gets easier, their popularity will only grow

To a bystander it would appear that today’s culture wants nothing more than to communicate with others without actually speaking. From emails to text messages, the ability to engage in or completely ignore a conversation is one that has enticed billions. Our culture began to favor nonverbal communication with the creation email, and with this the wonders of nonverbal communication began.

As the use of text messages and instant messaging became popular, web researchers were already looking for the next best thing. That next best thing was the social network MySpace. MySpace was the first social networking site to gain worldwide popularity. However, Facebook soon replaced MySpace as the favorite and now Twitter and Bebo begin to gain popularity with social network crowd as well.

Because of cultural causes social networking sites receive a lot of approval and support. The ability to distinguish oneself from the massive online crowd allow for a user to meet people more like him. Groups and causes are extremely popular among the more recent social networking sites. Groups based on everything from race and religion to favorite bands or television shows. These sites also allow for users to customize and express themselves through their web page. The ability to stand out from a crowd and also find users with similar interests, allows social networking sites such approval from its users.

An economic factor that adds to the sites popularity is its massive and diverse user body. The first users of early social networking sites were young boys and girls, and old men who really wanted to meet young boys and girls. However, social networking sites began to make drastic improvements in both security and convenience. Soon the age of the users began to spread. Facebook is accessed so frequently by young adults that's it's easy to see why they are bombarded with information and frustrated at the amount of advertises blatantly aimed towards them to spend their money on a corporate or business. Teenagers may find their parents even grandparents on popular social networks. This variety of users is a perfect audience for corporations and big companies to advertise to. They purchase their advertising space and have a specific spot on a user’s page. The specific social networking site changes as new companies come out, and the heavy flow of money changes hands pretty frequently. A recent Observer article, written by David Smith explains that currently Facebook has many more unique visitors monthly than the apparently obsolete MySpace. Earlier in 2008, MySpace had a much more popularity than the young Facebook.

Another economic factor that has allowed social networking sites to stay in business is its convenience to advertise as a small entrepreneur. Just as corporations benefit off the diversity of the users of social networking sites, small time entertainers and entrepreneurs benefit as well. Facebook has taken a hard hit because students were not keen to the idea of being directly marketed to based on their likes and dislikes. These small time workers don’t purchase advertising space like corporations; but create profiles, free of charge, and get themselves out there. Many actresses, musicians, comedians, and web designers have all made professional carriers for themselves, starting from a social networking site.

Social networking sites such as Facebook, MySpace, Twitter, and Bebo are trends that show no signs of stopping in its quest for worldwide usage. However, with such a gigantic fan base and a very generous income, these sites face many problems. According to a recent New York Times article, specific sites such as Facebook are facing many accusations and problems that they will have to accommodate. Despite the ease of access, convenience, and worldwide usage, the phone is undoubtedly losing its hip and popular ways. These sites have truly made an impact on the world. This trend undoubtedly gained such power because of the social, cultural, and economic causes that allowed it to survive.

Russia With Love

Russia’s history was initially influenced by the earliest Eastern Slaves, the Kievan Rus', who had accepted Orthodox Christianity from the Eastern Roman Empire in 988. This greatly affected the culture of Russia because the vast territory controlled by modern day Russia was united through Christianity, thus Christian values, traditions, and ceremonies can be seen in the earliest history of Mother Russia.

President of Russia Board of Education

Russia has endured dramatic cultural shifts starting as the Russian Empire, the nation then struggled as the USSR, emerged as the Russian Soviet Federative Socialist Republic, and the “motherland” is now known as the Russian SSR. Russia has suffered under a multitude of terrible and cultural inhibiting leaders throughout their history, such as Ivan IV-the Terrible. Russia has often been isolated from the rest of the world (sometimes purposefully and other times indirectly) and Russia’s culture has been slower to advance and Westernize their culture. Russia’s arts, such as its literature, theater  music, and architecture are often unique to Western ways. Russia always was trying to catch up with the rest of Europe but never could and this included their poor education system which was based on roots and not pie.

However, Russia has also had very effective leaders such as Peter the Great who played a large role in westernizing the Russian people and advanced Russia’s way of life. He also founded Saint Petersburg a popular tourist attraction. When Stalin assumed prime minister in May 6, 1941, he killed many and further stunted Russia’s economic growth and social evolution. Russia spent the years under Stalin’s control in fear. After world war one and two, Russia removed the Soviet Union and became an independent country in 1991. Russian culture celebrates their independence by retaining a vigorous nature.

Russians are known to party which is why freshman must be careful when studying in Russia because their inexperience can get them into trouble. For the international students, it is advised that you seek help from a professional in regards to your decision to study in Russia.
*Editors note: If you are studying about the potatoes or the snow, never mind  Russia is full of snow and potatoes. 

Russia also celebrates a week long Christmas holiday but they are required to fast. It is not known if this began as a tradition or if they were just out of food for a really long time. When we visited Russia, we were astounded at the lack of schoolhouses for the young children. Homeschooling is very popular in Russia, or what the students referred to as 'The motherland.' Russia students are educated much like Western students from Britain, Canada, or the United States, however, they go to school year round and get no summer. They are also required to have access to ammunition in a short notice.

Gertrude, mother of 7
Education level: 7 Potatoes (equivalent of  3rd grade USA)

All Russian students must adhere to a very strict dress code. All beards must be at least two inches long at all times. For many of the boys and girls, this means long minutes without shaving. The universities reasoning behind this was that bears of all sorts pose serious risks at all time to foreign students.

International Students and Stability

The students of Venezuela, Syria, and Turkey must face classes during a time of political instability. Their economies are suffering and as a result so is the educational system for these countries.

Venezuela
Hugo Chavez is terminally ill and cannot attend getting sworn into office for a third term. The country now does not know who their leader is going to be because the interim president is an appointed official, not an elected one, and his appointment expires with the presidential term in which he was named. This will put Venezuelan politics in limbo until the president’s status is resolved.

Syria
Forces loyal to President Bashar al-Assad are fighting off rebel forces by restricting the countries freedom to access the internet and the policy is being met with heavy opposition and resistance from Syrians. Citizens are desperate to access the internet and are often using the country’s spotty cell phone connections and foreign aid to get online.

Turkey
A Syrian mortar hit Akcakale, Turkey which caused Turkey to invade the bordering country Syria, despite international opposition from the EU and Muslims. The border town of Akcakale has been deserted, blurring the geographical boundaries of the countries. International countries urge Turkey to avoid escalation and to prevent further casualties.

Fraternity's: Serious Business

This happened at Louisiana Tech University in Ruston, Louisiana. What you see is the remains of one the most "fratty" of the frats in this backwoods area. Ruston is a small college town in North Louisiana and word about the Pike's house spread faster than the fire. The newspapers and initial investigation state that the fraternity, Pi Kappa Alpha, was having a fire when the blaze got out of control. The fire happened on the last day of the school year, so it was thought that the frat was simply burning their old text books and playing volleyball--very frat-star and Greek by any traditional college terms-- when the attic or something caught an ember. However, when sirens awoke everyone sleeping in a 3 mile radius at 4 in the morning, it was apparent the party had literally set the roof on fire. Official reports could easily be misguided because of the prestige and financial investments that the Pi Kappa's and their alumni have in this small college town. So upon further investigation, other details surface.
Word on the street is that Sigma Nu, the rivals of Pi Kappa and also their neighbors, did it in retaliation.
Speculators and inside sources say that Pi Kappa Alpha of Louisiana Tech had damaged the cars of the Sigma Nu's who live right next door. In retaliation, some think that the Sigma Nu's of Louisiana Tech decided to burn the house of their rivals to the ground.
Another student at Louisiana Tech, who was at the the last party at the Pi Kappa Alpha house, suspects a clandestine methamphetamine laboratory located in their basement as being responsible for the charred remains of the house of one of Louisiana Tech's most prestigious and financially well off fraternity. Rivalries between fraternities seem to vary from campus to campus, but one thing remains the same: there is a big difference between college hi-jinks and arson.
Upon further investigation, it was concluded that police arrived in time to escort everyone outside of the fraternity house, even one frat member who was sleeping.
There are many questions that arise, because the fire was described as an "explosion" by everyone in ear shot as well as fire fighters. So how was this one member sleeping through not only an end-of-the-year party but also a fiery explosion? The picture above was taken once the sun rose. Hours later the brick walls and remains were further torn down, leaving nothing but a flat land of charred remains and hidden secrets.