Student’s name Essay Example

  • Category:
    Business
  • Document type:
    Assignment
  • Level:
    Undergraduate
  • Page:
    4
  • Words:
    2291

FOUNDATIONS OF BUSINESS 11

Foundations of Business

    1. The external factors that have an influence in business include: political, Economic, Social and Technological factors.

Social factors-The population structures and lifestyle are the main elements that Wal-Mart should consider in its operations. For example, Wal-Mart needs to understand the population structure of their customers in order to satisfy their diverse needs adequately.

Economic factors- Currency devaluation and inflations affect the activities of the Wal-Mart company.

Political factors- Political environment involves the government laws that influence the running of business organizations. International investors face numerous political challenges. Among the major political challenges faced by international investors include government subsidies, quotas and political instability (Pride, 2011).

Technological factors- Technological innovation plays a crucial role with regards to production levels and barriers to entry. Technological factors that influence business performance include new discoveries, speed of technology adaptation, rate of obsolescence, R&D activities among others. Innovation has become an important and competitive resource for business organizations. Research shows that great organizations have overwhelmingly institutionalized the culture of innovation. For example, the Wal-Mart Company has employed the use of computer in its operations of the business, thus increasing the efficiency and effectiveness of their operations. Failing organizations, on the other hand, take a lazy, disinterested approach to innovative programs. They do not suspect that their lack of innovation contributes to their shrinking market share and continue to expect the customer to reward them by buying whatever they produce.

      1. Economics is the social science of meeting and satisfying unlimited wants using limited resources.

      2. The factors of production include labor, raw materials and technology.

      3. Economists ask the following questions: What product to produce?How to produce?Who are the consumers?Answers to these questions differ depending on the country of the producer. For example, in the United States, some foodstuffs are subsidized by the government; therefore, the demand supply will be affected. This may not be the case in Cuba.

    1. The major factor affecting supply of oil is prices. The current fluctuations in oil prices are as a result of many factors (Pride, 2011). These factors include the political instability of oil producing countries like Iraq and Venezuela, natural conditions like hurricanes which disrupt the supply of oil to the entire world among others.

      1. The discovery of more oil reserves will increase the quantity of oil supplied in the market, and therefore, it will lead to a reduction of oil prices.

      2. Most companies across the globe ensure that the consumer carries the burden of any increased cost of production. Therefore, an increase in the cost of production of oils will lead to increase in prices of the oil products.

      3. If the economy of China continues to expand rapidly then the demand for oil will increase and, as a result, the prices will also increase.

      4. If the US supports fuel-efficient cars over SUVs, the demand for gas will reduce, and also the prices will reduce.

      5. In my opinion, the oil producers will not meet the increasing demand of oil related products. This is because the rate of consumption of oil is higher than the production rate; therefore, though the prices rise the customers will still be willing to pay for it.

1.4 The four types of competitions are perfect competition, monopolistic competition, oligopolistic competition and monopoly. Perfect completion is a market where no single buyer or seller has influence on the products sold or supplied in the market. An example of perfect competition is the Agriculture sector. Monopolistic competition is a market in which many firms offer and provide the same products. Example of monopolistic competition is retail trade. Oligopolistic competition is where companies offering the same product compete by differentiating their products. There is no freedom of entry by sellers, unlike perfect competition and monopolistic competition. Example of oligopolistic competition is Security ratings of S&P and Moodys. Monopoly lacks competition in the market. It is a market with many buyers, but only one seller. Examples of monopolistic competitions are the public utilities such as electricity generation (Singh, 2002).

2.1 A student intentionally presents work done by other and claims that it was his original work. Falsifying data in support of field or laboratory work to fulfill a course requirement. Producing counterfeit signatures to certify or authorize a completion of coursework.

      1. When found with academic dishonesty a student is faced with penalties stipulated in the school’s policies. These penalties include a student getting an F grade on the assignment, suspension or expulsion from the school.

      1. I will advise the student doing the academic dishonesty to abandon the practice and follow the school rules and policies. If the student persists in doing the academic dishonesty, then I will report to the lecturer concerned who will take the necessary actions.

      1. Ethical Dilemma is a situation in which choosing one decision will lead to the violation of another ethical concern. Ethical decision is an action taken after considering the consequences in an ethical dilemma (MC Williams, 2001).

      1. Ethical laps are situations where a decision is to be taken that is not for the general good of all the people in the situation. Example of ethical is performing an abortion to save the life of a girl who cannot carry the pregnancy due to medical conditions. Abortion is a crime against humanity, but in such cases of lifesaving, the ethical lapse occurs.

      1. It is unethical for employees to use a company’s assets for personal use. The company’s assets are supposed to be used for good reasons and not for personal use. These assets include computer, software’s, office supplies, copy machines, business plans and other materials meant exclusively for business purpose (MC Williams, 2001).

      2. With the current trend of social networks like Facebook, Twitter, and other social media, employees spend most of the time attending to them instead of doing the expected work. Therefore, it is ethical to monitor the computer usage.

      3. Yes, the law of state bans employees from using the employer’s property for personal use. Based on the company’s policies, some penalties are provided against such actions by irresponsible employees.

      4. I will enact tough laws to curb the use of computer for personal use. An employee will not be allowed to use a computer outside the time framework. Any employee found downloading music or videos using the company’s computer will be terminated. All employees should not use personal emails while at work. The use of installed cameras in the office place, and regular supervision of employees’ work will be implemented.

    1. Dean of students in Canberra University is a person regarded as an ethical leader. He ensures the rights of every student and staff member are respected.

    2. University staff and faculty : These are the lecturers and the supporting staff of the University of Canberra. The university has social responsibility to the faculty and staff. The university also has a social responsibility of ensuring the workers’ rights are respected, and promotions are done in a transparent manner.

Students: The University has a responsibility of ensuring that the safety and rights of students are adhered to. The University of Canberra therefore has the social responsibility of ensuring that the students are fully attended by the lecturers and given the quality services

2.6.1 Both John and Jennifer have got the absolute advantage.

2.6.2 If John writes the report and Jennifer prepare the presentation it will take them a total of 140 hours and if Jennifer writes and John prepares the presentation it will take them a total of 190 hrs, and therefore, Jennifer has a comparative advantage.

      1. Basing on the analysis, they will divide the work amongst themselves. John will write the report and Jennifer prepare the presentation because it takes fewer hours to complete.

      1. John has got comparative advantages in both writing and making presentations, and as such, he should specialize in both presentations and writing.

      1. Jennifer has got a comparative advantage in the presentation since she takes less hours as compared to writing so she may specialize in presentations.

2.7 Importing-this is the act of acquiring goods and service from outside the country

Exporting-goods and service manufactured in a country and outsourced /sold outside the country

Licensing-this is the use of a legal contract for authorizing a business to use confidential business practices.

Franchising-this is the practice of allowing another company to use a firm’s model in carrying out its business.

As the CEO of a company, I will use Franchising simply because: it provides an already established product or service which will enjoy widespread brand name recognition. The approach is appealing because it increases the chances of business success due to associating with already proven product and services.

    1. Outsourcing is the process of acquiring resources or services from another company or country. I would like to outsource my production to china simply because it will allow the company to focus on the important activities without sacrificing quality or service in production. By outsourcing, the operation of the business to China will reduce the tax benefit that the Australian government enjoys. Thus, it will hurt the employees working in the company since it will render them jobless. This outsourcing will help the company to reduce the costs of operations. It will be of benefit to the company to continue its operations in Australia in order to provide employment and revenues to the government.

    2. The Australian engineering firm will be disadvantaged because the bidding process for water treatment project in southern Africa will not be transparent due to bribes. However, section 70.2 should not be repealed because it will promote corruption in the procurement process.

4.1 The multinational corporations take part in preventing the spread of AIDS in their workforces in order to fulfill their corporate social responsibilities of safeguarding employees’ welfare (MC Williams, 2001).

4.2 Some multinational corporations have failed to reduce the spread of AIDS in their workforce because of lack of stipulated policies that help to control it. Inadequacy of skilled labor has forced some companies to retain employees, regardless of their HIV status.

4.3 From a humanitarian perspective, the company should assess the health of their employees in order to determine those employees with HIV/AIDS. This will, therefore, help in controlling the spread of the disease. From a business perspective, the company should continue retaining their experienced and skill employees, regardless of their HIV/AIDS status.

4.4 It will be advisable to implement HIV Clubs that will provide education to the people on the prevention and control of Aids. The company also should put in place policies that help control the spread of HIV within the organization.

5.1 The firms that outsource the manufacture of the apparel will be able to choose a variety of products. The firms will consider importing the products from countries that offer quality products at cheaper prices.

5.2 Textile manufacturers in China will benefit from the removal of the restriction because of their capability to produce a large variety of apparel which is cheap. Indonesia and Mexico will suffer because most of the USA companies will prefer China products because of their prices. The textile companies in the US will face stiff competition due to quality products from other countries. This may lead to their collapse.

6.1 NAFTA. North American Free Trade Agreement- It was created to strengthen the economies of US, Canada and Mexico. Following its formation, NAFTA has been able to accomplish much in promoting relations between the United States and other members such as Mexico and Canada with European Trade area.

6.2 European Union is a political and economic union of 28 members that are primarily located in Europe. It was established to foster Commercial Corporation in the countries that relates with one another and to avoid conflict. It has accomplished the delivery of half-century of peace, prosperity, and launched a single European currency. The main challenge the European Union has faced includes dealing with sovereign defaults that are examined by the case of Greece and the future of the Euro.

Entrepreneurs

It doesn’t sound like me

It sounds like me to a certain extent

It sounds a lot like me

They are creative people

They are risk takers

They are proud of what they do

They are flexible

7.2 Yes, because I have the ability to come up with new things. I do not fear taking risks, and I am flexible to any developments in the business.

8.1 The main reason why small businesses are found in service producing is because they require minimal investment in equipment, advertising and materials. The other reason is that the startup costs are relatively low as compared to the big industries.

9.1 The main advantage with a new business is that the owner of the idea enjoys the benefits of creativity and less competition from existing suppliers. By starting up a new business, I will enjoy low-startup costs, independence and site selection. The main disadvantage is the commitment it requires to start a new business. The profits are delayed for some time as I acquire new customers.

The main advantage of buying an already existing business is that the customers are already acquainted with the product. There is no much commitment as opposed to starting up a new business. The disadvantages include high capital to purchase a business. The main advantage of franchising is the association with an already established brand; enjoy the reputation of the product or service. A disadvantage of franchising is less decision making. In addition, there is no independence in the selection of sites (Singh, 2002).

References

MC Williams, A. s. (2001). Corporate Social Responsibility. A theory of the Firm Perspective
, 26, 117-127.

Pride, W. M. (2011). Foundations of Business (3 ed.). Natorp Boulevard, Mason, USA: Cengage Learning.

Singh, A. (2002). Competition and Competition Policy in Emerging Markets: International and Developmental Dimensions. Newyork: UNITED NATIONS PUBLICATION.