Merger Of Kingfisher Plc Business Essay

Merger Of Kingfisher Plc Business Essay Kingfisher Plc is one of the major retailers in UK managing over 600 stores and handling over seventy-five thousand employees. At present, the company is the leading provider of womens wear and lingerie in the United Kingdom. In the area of other apparel, these have incurred a considerable amount of growth. The company also provides for food retail. The company sells a wide array of food products from groceries to ready-to-cook meals. Nowadays, there have been a considerable amount of changes in the overall strategy of the company. Nonetheless, it still holds true to the basic principles of the company. Such principles include the offering of the wide selection of high-quality products which are considered chic and classic with the most reasonable prices in the market. Merger of Kingfisher Plc with DIY Supermarket:- To competerivals and to respond to the changes in the external environment of the organizations the management of the KINGFISHER LTD and the DIY Supermarket are planning to merge into a signal entity. Under the plans, KINGFISHER LTD would be re branded Kings and DIY Supermarket plc. KingsDIY Supermarkets and consist of two operating subsidiaries, Kingfisher PlcandDIY Supermarkets. Sava Centre Limited will be owned by Kingfisher Ltd., and DIY Supermarkets Supermarkets Limited will be re branded KIngfisher Ltd, being owned by DIY Supermarkets (HIGHSON, 2008) The Combined Group will have 1,300 stores, although they should be prepared to sell 300 so as to not refer the deal to the Competition Commission. It will be the UKs second largest retailer (behind Tesco), the UKs largest clothing retailer, and the second largest supermarket chain, with a market share of over 20%.(HIGHSON, 2008) The report will analyse the merger process and the change management process and as a change manager I will develop the change strategy for the KINGFISHER LTD to manage the changes in the organization as a result of the merger between the both organisations. I will analyse different models of change to implement the changes effectively in the KINGFISHER LTD and also develop the strategy to involve stakeholders in the change process to make change more effective and access the causes of resistant to change and develop the processes which can be implemented to reduce resistant to change being implemented. Models of change management: There are various models of the change developed by the researchers to develop and implement effective changes in the organization to compete in the external environment of the organization. There are following models of the change which can be used to implement changes in the given case of KINGFISHER LTD. in the current economic environment the organisation is facing strong competition from the rivals. There are the following models which I will be using to implement the change in the KINGFISHER LTD. THE THREE-STEP MODEL OF CHANGE In developing this model, Lewin (1947a:p. 228-9) noted that: A change towards a higher level of group performance is frequently short lived; after a short in an arm group life soon return to the previous level. It indicates that it does not suffice to define the object of planned change in-group performance as the reaching of different levels. For Lewins therefore, successful change involves three steps: Unfreezing the present level; Moving to the new level; Refreezing the new level; Figure: 1.1 Kurt Lewis model of changeSource: Online (accessed on 11/08/2012). John P Kotters eight steps to successful change: American John P Kotter (b 1947) is a Harvard Business School professor and leading thinker and author on organizational change management. Kotters highly regarded books Leading Change (1995) and the follow-up The Heart Of Change (2002) describe a helpful model for understanding and managing change. Each stage acknowledges a key principle identified by Kotter relating to peoples response and approach to change, in which people see, feel and then change. Kotters eight step change model can be summarised as: Increase urgency inspire people to move, make objectives real and relevant. Build the guiding team get the right people in place with the right emotional commitment, and the right mix of skills and levels. Get the vision right get the team to establish a simple vision and strategy, focus on emotional and creative aspects necessary to drive service and efficiency. Communicate for buy-in Involve as many people as possible, communicate the essentials, simply, and to appeal and respond to peoples needs. De-clutter communications make technology work for you rather than against. Empower action Remove obstacles, enable constructive feedback and lots of support from leaders reward and recognise progress and achievements. Create short-term wins Set aims that are easy to achieve in bite-size chunks. Manageable numbers of initiatives. Finish current stages before starting new ones. Dont let up Foster and encourage determination and persistence on-going change encourage on-going progress reporting highlight achieved and future milestones. Make change stick- Reinforce the value of successful change via recruitment, promotion, and new change leaders. Weave change into culture. Relevance of the selected models of change to the Kingfisher Plc: The above given models are very important for the implementation of the change in the organization as the KINGFISHER LTD and the DIY Supermarket are different organizations and while combining the both organizations will face several problems regarding the implementation of the changes in the organization.Like it or not, the changing economy will necessitate drastic reorganization possibly due to downturns in the economy. Lewins model could be used by managers of the Kingfisher Plc to more efficiently implement any organizational changes. For example, suppose that a firm is facing the prospect of downsizing due to a slow market. In the first step, unfreezing, senior management could inform all employees via the company intranet as well as through informal Townhall style meetings of the serious economic challenges facing the organization. Input gathered from employees as well as from internal audits would then be made available to all employees. The second step, change, would then be implemented, most likely in the form of reorganization involving the elimination of some positions. In the final step, refreezing, intra-organizational adjustments would be made to accommodate the new organizational work flow. Any employees who have been terminated could be offered post-employment retraining or vocational assistance. Most importantly, senior management ofKingfisher Plcwould need to demonstrate to the remai ning employees the efficiency  and necessity of the new reorganization.   Selection of Model to be used to implement change in KINGFISHER LTD: Lewins three step model of change involves developing a model for the driving change andlearning to either manipulate the process or enhance its effect.   According to Levin the first step in the process of changing behaviour is to unfreeze the existing situation or status quo.   The second stage is to move the target system to a new level of equilibrium.   Some assistance to this stage can be assisting stakeholders with seeing the benefit of interrupting the status quo.   In addition, the negative effects of remaining the same level can be driven by influential leaders.   The third step of Lewins model is to freeze thought after the change takes place at a new level. As a change manager of the Kingfisher PlcI can use this model in relation to the changing economy by melding their workforce to expect change and embrace its value.   There are few aspects of life that are totally negative and people must be educated to see this.   By looking at Lewins force field analysis I can use this information to help myself and my employees embrace change.   As for the aspect of coping with uncertainty, the anxiety a person experiences with the current economy hit people on many levels.   The goal is to fragment the anxiety into workable situations for people to deal with. Monitoring tools to monitor change: To monitor the effectiveness of the implementation of the change in the organization I will use different monitoring tools. I will develop the small targets and the goals to be achieved to monitor the performance by analysing the completion of these goals and compering the actual performance with the targets. The financial performance will also be analysed to access the effectiveness of the change process and it will be compared with the previous performance of the organization. Strategic intervention strategies in Kingfisher Plc: An intervention is a set of sequenced and planned actions or events and planned actions or events intended to help the organization intended to help the organization increase its effectiveness (Cummings, Christopher G. Worley, 2008)The strategic intervention is the set of the planned steps to be taken by the organization to develop effective strategies for the organization to be more competent and effective in the market. There are different types and levels of the strategic intervention being implemented in the organizations. There are various types of the interventions which can be implemented on the KINGFISHER LTD to make the organization more effective and competitive in the market. Theses interventions are as given below, Human process intervention Techno structural interventions Human resource management interventions Strategic interventions The human resource process intervention includes the developing processes for the coaching, training and development, team building process consultation, conflict resolution, intergroup relationships and large group interventions. The techno interventions include implementation of the technologies in the organization and these also include the downsizing, structural design development, reengineering, employee involvement, and developing effective work design. There are different steps which can be taken by the Kingfisher Plc for the growth and improvement of the human resources of the organization like setting goals, performance appraisal, rewards system development based on the performance appraisal, career planning and development, managing workforce diversity and employee welfare. The structural intervention include the following steps à ¢- ºIntegrated Strategic Change Integrated Strategic Change à ¢- ºMergers and Acquisitions Mergers and Acquisitions à ¢- ºAlliances and Networks Alliances and Networks à ¢- ºCulture Change Culture Change à ¢- ºSelf-designing Organizations Self-designing Organizations à ¢- ºOrganization Learning and Knowledge Organization Learning and Knowledge Management Which change interventions to use is an important consideration. Change ultimately entails the deployment of a range of levers covering all the organisational subsystems shown in the above change models appropriate for managing change in Kingfisher Plc. Given the interdependency of these subsystems, it is difficult to change one part in isolation. Transformational change initiatives in particular, which require a change in the shared assumptions and beliefs of an organisation, are more likely to fail if those leading change focus on changing just structures and systems, paying little attention to softer levers and mechanisms such as symbols, rituals and routines. The strategic intervention can be used to identify which change levers to use. Interventions need to be designed to remove the barriers to change in the existing state of the organization, and to create the new structures, systems, routines, rituals, symbols, and stories to effectively implement change in the organization. Communication, education, training and personal development initiatives will also be required to help individuals undertake the changes required of them. The greater the extent of change, the more such initiatives will be required. Realignments may still require a change in the nature of the work that people do and the outcomes they achieve, such as levels of productivity and sales or customer response of the Kingfisher Plc. THE TRIGGERS TO ORGANIZATIONAL CHANGE Mainly organizations have learned to make minor, day-by-day changes to adjust to unplanned or anticipated events and it is changes of some magnitudes, particularly where they are undertaken quickly, that trend to be the most problematic. These are also called as the factors leading to the change implementation in the organization. These factors determine the need for changeq. These can be internal and external triggers or factors of change management to implement the change. There are following factors affecting the strategy of the Kingfisher Plc leading to the change management in the organization. EXTERNAL TRIGGERS TO CHANGE It is important to stress that environment is not just everything out there. to distinguished between those parts that are usually considered more important by organizations and those that are not, the terms task environment and wide environment are borrowed from a classic study by Dill (1958). Wide environment is one step removed from the organization, whereas task environment is that Part of the total environmental that is most relevant to organization in terms of achieving its goals or objectives. Because its impact is experienced as direct and pressing, this is where firms tend to concentrate most of their attention (Dill 1958). There are different types of the factors which affected the Kingfisher Plc and leads the organization towards implementation of the change in the origination, like the macro-economic factors such as political, legal, environmental and social factors and the competitive environmental factors as described by Porters five forces, competitors, threat from su bstitute, supplier or customers and the competition environment of the Kingfisher Plc. INTERNAL TRIGGERS FOR CHANGE Change to process factor often occurs because of the impact of triggers in the task environment. Some however can arise internally and act as spur for change in their own right. Example of those can require internal change are innovations that improve the way that something is manufactured, or allow a service to be delivered at a low cost, or the development of new products that enable the firm to diversity. There are following internal factors which are deriving the Kingfisher Plc for implementing change in the organization, Profitability Development of new products or processes Job redesign These all above determined Internal and external factors causes the Kingfisher Plc to implement change in the organization to achieve the goals and objectives of the firm in the long run. Resource implication: There are different resources which are required by the Kingfisher Plc to develop and implement effective change strategy in the organization. These factors include the Human resources like the workforce and the managers required to effectively manage the changed structure and business processes of the Kingfisher Plc. This also includes the hiring, training and development, rewarding, motivating and retaining the human resources of the organization. Other resources required to effectively implement change are physical resources e.g. equipment, vehicles, buildings; financial resources e.g. costs of training, redundancy costs, relocation costs; new building, refurbishment of existing buildings. The Kingfisher Plc has to consider the effectiveness and availability of these all above given factors to effectively and efficiently implement change in the organization. The inability of the management to effectively manage the resource implication while managing change can lead the organisation towards the failure instead of success. Because the resources play a vital role in the development of the organization for example without the effective human resources the organization will not be able to carry on the organizational functions or the quality of these actions will be very poor leading to the failure of the process. Similarly the financial resources are also very important for implementation of the change in the organisation because the finance is the soul of the organisation and organization can survive without profitability but it cannot survive without effective finances. Systems and strategies to involve stakeholders: The Kingfisher Plc must develop appropriate systems and the strategies to involve the shareholders of the organization in the process of implementation of change in the organization. These systems have different processes through which the management can effectively involve the stakeholders of the organization in the process of the change to make the implementation more successful. There are following stakeholders of the Kingfisher Plc who can influence the strategies of the organization and have important effect on the performance of the origination, Shareholders Customers Suppliers Employees Community Government Competitors I will analyse the importance and the power of all the stakeholders and these will be prioritised based on their influencing power to affect the change management process of the organization. As a change manager I will use the sic steps model to involve the stakeholders in the change process of the Kingfisher Plc. These steps include the identification of the stakeholders, prioritising stakeholders, mapping the profile of the stakeholders, develop communication and engagement strategy to involve stakeholders in the process of change, optimising their support by effective leadership skills and the last one is the monitoring change. Change Management Strategy: To effectively implement the changes and to make the change management more productive, I have developed the change strategy which consists of different steps or systems to involve the stakeholders effectively in the change process to make the change process quick, efficient and productive. These steps include, Preparation of change: the first step is the preparation for the change to be implemented and this will include the analysis of the internal and external forces effecting the change and then using the effective communication to communicate the need for change with the stakeholders of the organization. Building vision for change: the next step is the development of the vision to motivate the stakeholders of the organization towards the change process. The clear vision can develop the change more effectively and easily because it motivates the involved individuals towards achievement of the stated goals. Path of change: the change strategy will be developed and all the stakeholders will be involved in the decision making criteria so that they can understand the importance of change and they can play their role as participants in the change process. RESISTANCE TO CHANGE Woodrow Wilson If you want to make enemies, try to change something, advised. When seeking to Change an organization, it is strategy or processes, leaders run into Newtons law that a body at rest tends to stay at rest, advocates for change is greeted with suspicion, anger, resistance, and even sabotage.4 (www.1000ventures.com). But, Richard Branson has been exceptionally competent in handling corporate transformation and change (Manfred, 1998). He is able to achieve this because he envisions, empowers and energizes his employees. Secondly, the structure and design of his companies helps him to institute effective control and reward systems. An organization is able to create an effective environment, both internally and throughout its supply chain, which encourages an opportunistic position to be adapted. On the other hand, despite how friendly an organization is to change it will still face a degree of employee, supplier, distributor, stakeholder and consumer resistance to change it may manage to reduce the frequency and potency of such resistance but it will never eradicate the fear of unknown. There are different reasons due to which the employees and the customers of the Kingfisher Plc resisted to the change being implemented by the management of the Kingfisher Plc in all the levels of the organization these factors which causes the resistance to change. These factors can be summarised as follows, Lack of confidence Lack of trust Lack of the competencies Fear of loss of something of value Ineffective communication by the management Lack of clarity of the change being implemented by the organization Strategies to reduce resistance to change:- The Kingfisher Plc must develop effective communication strategies and the processes to implement the change and reduce resistance regarding the change being implemented in the organization. These strategies include the involvement of the different stakeholders in the process of the change management to make them motivated and focused towards the change being implemented. There are different steps which Kingfisher Plc should take while developing change strategies in the organization, Development of the effective mission and Vision regarding change Development of the communication strategies to communicate mission and vision of the organization Involve all the stakeholders through the six steps defined above Reducing the concerns of the staff and people by providing them training and effective skills to tackle with the change and making them more competent

John Locke Research Paper Essay

Throughout history there have been many philosophers that impacted the world. Philosophers such as John Locke have shaped today’s society in a number of ways. John Locke was extremely influential and has had some of the most lasting impacts on the ideas still to this day. John Locke has inspired a many of people throughout his lifetime and shaped the way for philosophers and great minds of the generations to come. John Locke was an English philosopher, born on August 29 1632, in Somerset, England. He was born into a Protestant family (Faiella 24). Locke’s mother died when he was an infant and he was raised by his father John, who is said to have had an influence on Locke’s views (24). In 1652, Locke attended Christ Church College to study medicine (25). However, Locke found the ideals and theories of modern philosophers of his time more interesting than the material he studied while at Christ Church, which led to Locke never pursuing a career as a doctor (25). Lord Anthony Ashley Cooper sought out Locke’s assistance to treat a liver cyst; Cooper soon became impressed with Locke and appointed Locke to be his advisor (28). Locke then joined the Royal. Society where he met individuals with whom he discussed mortality and religion, which resulted in the creation of An Essay Concerning Human Understanding (Powell, Jim Locke: Natural Right to Life, Liberty, and Property). Locke wanted to learn more and pursued a position in which he could examine toleration, education and trade, leading to Locke and Anthony Ashley Cooper working closely together (Powell, Jim John Locke: Natural Right to Life, Liberty, and Property). Anthony Cooper was the 1st Earl of Shaftesbury, and it was in the Shaftesbury household where some of Locke’s most influential ideas came alive. Cooper assisted in forming Locke’s ideas; it was within the Shaftesbury household during 1671 that the meeting, which resulted in the making of An Essay Concerning Human Understanding, took place (25). Locke’s friendship with Cooper became complicated, causing Locke to move to Holland where he became connected with the English Rebels (Faiella 29). Eventually, Locke was placed on a list of 85 traitors who were wanted by the English government as a result of his works (29). During 1683, Locke used an alias, Dr. Van Der Linden, to sign letters being sent to his peers (Powell, Jim John Locke Natural Right to Life, Liberty and Property). Locke was offered a pardon offered by William Penn but, Locke wouldn’t accept the pardon because he believed he didn’t do anything to deserve his criminal status and he stood by his beliefs (Faiella 30). In 1686 while in Holland Locke was meeting with peers to discuss philosophical ideals and plot to overthrow King James II. Locke was later removed from the list of traitors (31). After the Glorious Revolution Locke returned to England and helped draft the Toleration Act of 1689 (31). Locke believed in many things as a philosopher, one of Locke’s most known ideals was Natural Law. Locke strongly believed in Natural Law, which stated men have natural rights which cannot be given to you by rulers (Stephens, George M. John Locke: His American and Carolinian Legacy). Locke also believed in the Social Contract, which stated that, a persons moral or political obligations should rely on an agreement in order to form a society (John Locke: His American Carolinian Legacy). Locke strongly believed that people lived in a certain State of Nature before there was society. Locke stated that the State of Nature was when people lived with no judge, no laws and no punishment for their crimes (Treatises on Government). Locke thought that laws of society existed for the common good of the population as a whole (Treatises on Government). People could not break the social contract because it would result in chaos (Treatises on Government). Locke also believed that the government existed to assist the needs of the people and if it should not fulfill its job to the people, people had the right to overthrow the government (John Locke: Natural Right to Life, Liberty and Property). Locke believed that without a majority rule the social contract wouldn’t work (John Locke: His American and Carolinian Legacy). Therefore, Locke wrote An Essay Concerning Human Understanding which was based on his beliefs and experiences (Powell, Jim. John Locke: Natural Right to Life, Liberty and Property). Locke also wrote a Letter Concerning Toleration, which discussed an idea of religious toleration for everyone except Atheists and Catholics. (John Locke: Natural Right to Life, Liberty and Property). Locke believed education is for liberty and that people learn by examples and that this is the way society should learn (John Locke: Natural Right to Life, Liberty and Property). Locke also fought for freedom of the press and opposed the renewal of the act for regulation of printing (John Locke: Natural Right to Life, Liberty and Property). Clearly, John Locke had a very big impact throughout the world, even though during his time he was viewed as a criminal for some of his ideas. Locke provoked revolutions in Europe, Latin America, and in Asia (Powell, Jim. John Locke: Natural Right to Life, Liberty and Property). John Locke influenced the Declaration of the Rights of Men, in 1789 while in France, which recognized property rights. (Stephens, George M. John Locke: His American and Carolinian Legacy). Locke also influenced Montesquieu’s beliefs regarding the separation of powers (Powell, Jim. John Locke: Natural Right to Life, Liberty and Property). Also one of Locke’s greatest influences was his assistance in inspiring the French Revolution (John Locke: Natural Right to Life, Liberty and Property). John Locke influenced the United States in a number of different ways. For example, Locke’s Second Treatise Concerning Civil Government inspired the American Revolution (Powell, Jim. John Locke: Natural Right to Life, Liberty, and Property). Also, In the Declaration of Independence it states how King George violated his contract with the colonist, which was influenced by Locke’s ideas (Stephens, George M. John Locke: His American and Carolinian Legacy). The Fifth Amendment of the United States Constitution discusses property rights, which was also inspired by John Locke (John Locke: His American and Carolinian Legacy). In the constitution the legislative branch has more power than a single official but has no veto power, another ideal of Locke (John Locke: His American and Carolinian Legacy). In conclusion, John Locke inspired many people throughout history with his strong beliefs and ideals. Locke was criminalized and wanted for his beliefs. Locke’s ideas have influenced not only England or the United States of America, but have resulted in a change in the world. Locke inspired people of his time, and implemented lasting ideas and changes in the government, and Locke inspired other philosophers. Philosophers similar to Locke have used Locke’s ideas as a foundation to further mold the world we live in, and shape societies. John Locke has made a lasting impact and his ideas will continue to impact the world. Works Cited Faiella, Graham. †John Locke: His Life† John Locke:Champion of Modern Democracy New York: Rosen Group, 2005. 24-31. Print. Locke, John. Two Treatises on Government. 1690. Print. Powell,Jim â€Å"Jim Locke: Natural Right to Life, Liberty, and Property† The Freeman. Foundation for Economic Education. 1 August 1996. Web. 6 October 2014. Stephens, George M. â€Å"John Locke: His American and Carolinian legacy. † John Locke Foundation. N. D. Web. 2 October 2014.

Noli Me Tangere and El Filibusterismo

I was in my fourth year high school since I last watch a play. It was about El Filibusterismo, the second novel of Dr. Jose Rizal. I somewhat forgot the story of the two popular novels of Rizal that is why I was so excited to watch the play of the Dulaang UP, Noli me Tangere: The Opera. It was not a usual play compared to the plays I had watched during my high school days. It was not a normal act that the actors/ actresses must play the role assigned to them and say their lines followed in the script. In an opera they needed to execute a dramatic work combining text (libretto) and musical score. It is really difficult to perform in a musical play and also the fact that performing in front of many people is uneasy. But as I watch the play, the characters were comfortable and love what they are doing which I really liked about them. Many years have passed so my knowledge about the novel is very little. But the play gave a better way of telling and understanding the story. So as it came along I have remembered the novel scene by scene and chapters by chapters. The play inspired me in a better appreciation of Rizal’s Noli me Tangere because I truly felt the emotions showcased by the performers. It was full of passion. You will really feel the nationalism being portrayed by the actors in the play. It made me realized the importance and the role of the two novels, Noli me Tangere and El Filibusterismo, in helping the Filipino people to become conscious that the doings of the colonizers were inhumane. It is no doubt that these novels were one of the reasons that boosted and led our heroes to revolt against the Spaniards. It was my first time to watch an opera and it was splendid. Since it was my first, I really watched the play very well. I was truly amazed with the voices of the actors and actresses especially the one who were playing as Maria Clara. I was hook with her voice throughout the play because of its wide range and it was so extreme. The accompaniment made the production complete. It gave the wonderful voices of the young and talented artists to be more powerful and pleasant to hear. It also gave the story more life and made the audience to feel the emotions of the actors. The setting was full of Philippine indigenous materials and the costumes of the performers were made of inabel cloth which created a good connection to the audience. It helped them to sense the past and to think about the cultures, beautiful places, clean surroundings, traditions, customs and beliefs that we have before. The choreography, special props, lightings and sound effects made the production enjoyable to watch, livelier and more intense. Sum it all up, the presentation was truly great. But I know they are still lot of rooms for improvement. They can still make the play to be more interesting and more enjoyable to watch. So if I were to rate the production, five (5) being the highest and one (1) being the lowest, I would give them a four (4).

High Tech Technology Products Business Essay - Free Essay Example

Sample details Pages: 5 Words: 1425 Downloads: 4 Date added: 2017/06/26 Category Business Essay Type Analytical essay Did you like this example? High-tech technology has to do with an industry that generates industry (Dovleac, 2011a). More specifically, high-tech industry is defined as the industry involved in creating, developing and introducing new products and/or innovative manufacturing processes through the systematic application of scientific and technical knowledge (Wasinghton, 1982). Some examples of industries that belong to high-tech industry are information technology, hardware components, software communications, internet infrastructure and consumer electronic products such as video games, video products, audio products and entertainment products (Mohr et al., 2010; available at: https://en.wikipedia.org/wiki/High_tech). Don’t waste time! Our writers will create an original "High Tech Technology Products Business Essay" essay for you Create order Besides these, according to (OECD (2005) and Wikipedia (2012), aerospace, office machinery and pharmaceuticals sectors are also included in the high-tech industry. Based on the types, it can be assumed that this type of industry is mainly innovative, and the main concept towards the creation of high-tech products is to identify, determine and develop appropriate value elements from the perspective of customers (Moller, 2006). The creation of high-tech products, demand considerable material, human and time resources and a great amount of study and deep research (Florescu et al., 2003, cited in Dovleac, 2011b). Apart from the difficulty in the creation, the reaction also of the market towards a product is unpredictable. Nevertheless, whether it will succeed or not is going to be determined by the consumer. Therefore mew products, in order to succeed they should emit value, include quality and be perceived as necessary which means they should be tested, approved and purchased over an d over (Florescu et al., 2003, cited in Dovleac, 2011b). Even all of these occur still the establishment of a new innovative product may be difficult as the customers may be reluctant towards the adoption of a new product (Chakravorti, 2004). The products that come from this industry are called high-tech products, but it is difficult to distinguish which products are high-tech and which are not, as there are many definitions concerning this (Munnukka and Jarvi, 2011). In order to do so, high-tech products should abide to the next criteria OECD, (2005): Be developed in a highly technological environment Incorporate a new or advanced technology Be associated with technologically based uncertainty Not currently accepted as natural solutions for the problems they have been designed to address Do not yet have an associated external infrastructure Based on these criteria and according to Eurostat (2012) we can assume that Mobile phone, Laptop computer, Personal com puter (PC) and or its accessories, Car navigator (GPS), DVD player and Digital camera are high-tech products although not all of the above criteria are satisfied (Munnukka and Jarvi, 2011). 2.4 Purchase intention (online) In many studies, purchase intention is being analyzed as a dependent variable and moving a step further, in some occasions it has been treated as a vital determinant factor of online behavior (Chen et al., 2002). For the aim of this study, once again the main variable will be purchase intention and specifically online purchase intention. What purchase intention represents in reality is what we think we will buy (Blackwell et al., 2001 p. 283 cited in Park and Stoel, 2005). According to (Thammawimutti and Chaipoopirutana, 2005, p.6), purchase intention can be defined by the tendency or likelihood to buy a product. Other researchers have used the word possibility, so as to refer to the purchase intention of customers to buy a product (Wu et al., 2011) and according to Dodds et al., (1991) an incline in the purchase intention results to an incline in the possibility of purchasing. For the aim of this study, online purchase intention will be analyzed adopting the same theories that have been used for purchase intention in conventional retail shopping (Eroglu et al., 2001). To begin with, there are plenty of theories regarding purchase intention, among which the theory of reasoned action and the planned behavior theory stating that, purchase intention is related to attitude, subjective norms and perceived control (Cheung et al., 2005 cited in Erragcha and Zid, 2012). Based on this, the consumer is willing to buy the product or not (Erragcha and Zid, 2012). Theory of reasoned action It was first introduced by (Ajzen and Fishbein, 1975 cited in Kim et al., 2008) and it was created so as to predict a behavioral intention. According to this, a persons voluntary behavior is predicted by his/her attitude toward that behavior and his perception of others beliefs whether he or she should or should not perform that behavior. In other words it is defined as an intermediary cognitive between attitude and behavior (Ajzen and Fishbein, 1980 cited in Erragcha and Gharb i, 2012). This basically means that there are two variables responsible for the purchase intention and they are, a personal factor that refers to the attitude towards the behavior and the social norm (Erragcha and Gharbi, 2012), which is, social pressures that influence the decision whether to perform or not a behavior (Belleau et al., 2007). The relationship between intention and behavior exists under the assumption that consumers are considered rational and as a result, they are going to make a choice based on the information given to them (Ajzen and Fishbein, 1975 cited in Kim et al., 2010). In order to do so though, there is another assumption, that consumers are capable of taking control of their behavior (Kim et al., 2010). To conclude, attitude is a predictor of behavioral intention (Prendergast et al., 2010) and an individuals behavioral intention to perform or not a behavior is the immediate determinant of that individuals actual behavior (Ajzen and Fishbein, 1980 cited in Kim et al., 2008). Apart from the supporters of this theory, there were some that identify some limitations on this theory, such as that the behavior is tracked by the individual and that intention is the sole factor that determines behavior (Cao and Zhang, 2004 cited in Erragcha and Gharbi, 2012). Moreover, Zeithaml et al., (1996) also said that purchase intention is only one among others dimensions of behavior intention. Theory of planned behavior Compared to the previous theory, the theory of planned behavior tries to solve the limitations of the theory of reasoned action (Ajzen, 1991). The theory of planned behavior, adds the perceived behavioral control, as one another determinant of behavioral intention (Hansen et al., 2004) and finally behavior (Belleau et al., 2007), which basically means that it is an extension of the theory of reasoned action. Perceived behavioral control refers to the perception of internal and external resource constraints on performing the behavio r (Ramayah et al., 2009 p. 1224). This is of prime importance especially in occasions when no restrictions exist (Belleau et al., 2007). This theory incorporates the concept of perceived behavioral control as the perception of ease or difficulty on performing or not a conduct (Shin et al., 2001). The perception of ease or difficulty though has to do with the perception of whether someone has the requisite resources and chances so as to perform a questionable behavior (Ajzen, 1991). Having mentioned all these concepts, it is possible to create a misinterpretation as far as they are concerned. Attitude is different from intention and intention is different from behavior (Spears and Singh, 2004). Attitudes are summary evaluations whereas intentions represent the persons motivation in the sense of his or her conscious plan to exert effort to carry out a behavior (Eagly and Chaiken, 1993 p.168 cited in Spears and Singh, 2004). Moreover, intention is a variable more easily measured, co mpared to behavior because the first one refers to the consumers mind whereas the latter one subjects to restrictions and the customer does not behave as he/she prefers (Day, 1969 cited in Bai et al., 2008). Apart from these two theories, Engel et al., (1995) cited in Chi et al., (2009) proposed a model that tries to divide the consumers purchase intention process. So it is divided into 5 stages: Problem recognition Information search Alternative evaluation Purchase decision Post-purchase behavior Moreover, Engel et al., (1995) cited in Chi et al., (2009) separated purchase intention into, unplanned buying, partially planned buying and fully planned behavior. Unplanned behavior is considered when a consumer makes the decision to buy a product in a store or in this case when he/she is on the site. Partially planned behavior refers to the willingness of a consumer to buy a specific product without having decided the brand of the product. Fully planned behavior is when consumer knows the exact product and brand of the product he/she is ready to buy (Engel et al., 1995 cited in Chi et al., 2009). Other researchers (Kotler, 2003) stated that, the reasons that affect purchase intention are individual attitudes and unpredictable situations. Individual attitudes refer to private preferences to others and unpredictable situations have to do with changes in purchase intention because of the appearance of a new situation such as, the price of the product being higher compared to the expected one (Dodds et al., 1991).