The evolution of gift cards in secondary markets and money services

This paper reviews gift cards and the regulations associated with these instruments in financial transactions. One important consideration of gift cards involves secondary markets and money services business. While the accounting of gift cards by retailers is easy when they are redeemed, gift cards become problematic when breakage (non-redemption) occurs. In addition to large organized exchanges for gift cards, many prospective sellers and buyers have turned to non-mainstream dealers to handle situations relating to the non-redemption of the gift card. This has caused gift cards to become an increasingly important player in the secondary market. Another important observation with these instruments involves the true cost to buyers. Most consumers fail to consider opportunity costs and alternatives. Since gift cards are perceived differently than cash, opportunity cost consideration should be viewed differently to determine the effective price value

Forensic Disciplines for Objective Global Strategic Analysis

The global nature of investing requires a thorough analysis of the firm to determine the strategic viability of the firm for investment purposes. In addition, businesses are being held more accountable for the statements they make and the actions they take concerning their business. Several forensic disciplines have recently emerged that may supply subjective and objective data that can assist investors in making their final investment decisions and determining if ongoing businesses are truly doing what is in the best interest of their shareholders. Another factor influencing the increase forensic analyses of national and multinational corporations is the increase in criminal activity within these corporations. Laws have recently been passed to better protect the individual and corporate investor, but other precautions such as a more thorough pre-investment analysis may be necessary. In the past, forensic methodologies have been used to reveal criminal activities after they have occurred. These same methods may be able to provide investment firms with knowledge regarding possible criminal activities before they occur and, just as importantly, before the individual or firm invests in the questionable organization. Because of the relative newness of forensic methodologies in business, it would be valuable to have a model that illustrates the tools used in these relatively new fields of study. This paper will discuss the emerging fields of forensic accounting, forensic economics, forensic finance, forensic marketing, forensic psychology, and other concepts, and their relationships in analyzing business cases

Reducing dependence on big brother: Higher education looks for innovative funding opportunities

This paper presents innovative programs that business schools can utilize to reduce dependence on public funds. A review of the literature shows the theoretical and empirical foundation of higher education funding dilemmas. While higher education is moving towards a global ambition, scarcity hinders governments to fully support programs long-term; thus, cost-sharing and cost-shifting measures must occur for higher education to support current programs. In this study, we examine two universities (one U.S. and one UK.) and provide practical summaries of programs that have provided additional funds. We show that diversity of funding sources is essential for survival of higher education institutions. Market forces require competition to reduce higher education operational costs while providing students and corporate clients an a la carte educational experience

Self-Inflicted Injuries: Designation for Risk Assessment or Cost Avoidance

This paper considers the denial of health insurance benefits based on a participant\u27s high-risk behaviors such as self-inflicted injuries. In many instances, healthcare benefits can be denied if patients are injured while engaging in criminal activities, from a self-infliction, and from injuries relating to the consumption of alcohol. With increases in healthcare expenditures and government regulation, the necessity for benefit reductions is directed at individuals engaging in high-risk behaviors. The belief is that high-risk behaviors can be modified by individuals. Unfortunately, modification of behaviors may not be available to everyone

Purchasing power of credit, social mobility, and economic mobility

Because barriers to wealth and limitations on purchasing power have a negative effect on career mobility, individuals planning their careers need to understand the factors that may influence their long term job prospects and attainable career goals. This paper takes a qualitative approach to examine how purchasing power can limit social and economic mobility. While occupational choice provides a primary path to wealth accumulation and access to social networks, financial decisions and other influences can limit career, social, and wealth building opportunities

The Evolution of Financial Instruments and the Legal Protection Against Counterfeiting: A Look at Coin, Paper, and Virtual Currencies

This essay discusses the requirements for the long-term acceptance of virtual currency as a financial medium of exchange by examination of fundamental criteria associated with the historical development of common tender and selected virtual currencies. The relatively recent appearance of Internet-based transactions have necessitated developing virtual forms of payment such as virtual currencies. According to the Financial Crimes Enforcement Network (“FinCEN”) of the United States Treasury,5 virtual currencies are subject to regulation if that virtual currency has a substitutive purpose for facilitating the exchange of goods and services. Although governments can place stipulations on currencies, users of common tender, including virtual currencies, expect at least three basic privileges for a virtual currency to evolve from conception to realization. First, a virtual currency must be considered intangible personal property similar to trademarks, copyrights, and patents. Second, ownership disputes must be subject to a system such as a judicial proceeding or binding arbitration to resolve property as well as interest conflicts. Finally, a virtual currency must be subject to similar regulation as other financial instruments (e.g., legal tender, scrip, and credit cards) used in facilitating transactions. One of the most common and critical aspects of safeguarding currency is protection against illegitimate representations of assets—that is, primarily against counterfeiting. We discuss the regulatory authority and/or lack of authority, of the sovereign States of the United States to regulate the counterfeiting of financial instruments used as currency, including virtual currency. Moreover, federal and foreign (non-U.S.) currencies are explicitly examined, but some virtual currencies are not regulated or authorized specifically by any government. Can a currency without formal codification from a government be regulated by a sovereign State? As financial transactions have shifted historically from various governments’ legal tender to combinations of government and private issuances and from the hard currency of coins and paper to electronic transactions, many States’ counterfeiting statutes are unclear or fail to consider that technological changes can impact legal and common tender. The rise of transactions facilitated by virtual currencies and regulations protecting states from virtual counterfeiting is examined and discussed

Digital Counterfeiting: States Regulation of Federal, Foreign & Digital

The relatively recent appearance of Internet-based transactions necessitated the develop of digital forms of payment. These payments have evolved into various forms, including digital currency. This paper discusses the regulatory authority and/or lack of authority, of the sovereign States of the United States to regulate the counterfeiting of financial instruments used as currency, including digital currency. Federal and Foreign (non-U.S.) currencies are explicitly examined. Some digital currencies are not regulated or authorized specifically by a government. Can a currency without formal codification from a government be regulated by a State? As financial transactions have shifted historically from various governments\u27 legal tender to combinations of government and private issuances and from the hard currency of coins and paper to electronic transactions, many States\u27 counterfeiting statutes are unclear or fail to consider that technological changes can impact legal and common tender. The rise in transactions being facilitated in digital currencies and regulations protecting states from digital counterfeiting is examined and discussed