...BUSINESS EFFECT ON THE ECONOMY Impact of a Strong Economy In a strong economy, nearly all businesses enjoy greater prosperity. Disposable income is high, unemployment is low and consumer confidence prompts people to pump their money back into the economy through the purchase of essential and nonessential goods and services. The impact of a strong economy on a small business is two-fold: as business increases, so too does the need for a small business to keep pace with demand by hiring additional employees, expanding retail space or adding new product lines. While this may be viewed as a positive, the downside is that if the economy starts to falter, many small businesses find themselves overextended, which can result in mass layoffs and business failures. Impact of a Slow Economy During an economic slowdown, many small businesses face a number of challenges. Consumers become concerned about their job stability and, in turn, are more likely to be cautious with expenditures, which leads to decreased revenue for small business owners. A slow profit stream can make it difficult for a small business to repay creditors, which can negatively impact its long-term viability. A business facing financial struggles is far less likely to qualify for loans for capital expenditures and operations, which limits growth opportunities. Many small businesses also are forced to downsize their workforce during a slow economy. This limits their ability to serve customers and contributes to...
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...BUSINESS IN THE INTERNATIONAL ECONOMY ASSIGNMENT – 1 PART – A 1. If demand price elasticity measures 5,this implies that consumers would: Ans: 2. Economic profit is: Ans: 3. In the long run, a monopolistic competitive firm will operate at a price that: Ans: 4. Which of the following would NOT be considered an example of foreign direct investment (FDI)? Ans: 5. In terms of international business, market globalization can be viewed as a ------------. Ans: 6. Which of the following statements is true about the firm-level consequence of market globalization? Ans: 7. Peter, a graduate student from Michigan, ordered a notebook from Opus Inc., an American MNC manufacturing and selling computers and related products. The notebook that Peter ordered from Michigan was assembled in Opus ‘factory in Taipei. This exemplifies the ----------- stage in the international value chain. Ans: 8. A born global firm is defined as -------------. Ans: 9. Which of the following is characteristic of collectivist societies? Ans: 10. Titania is a country characterized by a high-context culture. This implies that ---------. Ans: PART – B a. Discuss the impact of market globalization on consumer lifestyles and preferences around the world. Provide examples to illustrate your answer? Globalization/Internationalization of businesses has had an extreme and largely...
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...As First I am going to start by giving a small background review about myself. I don’t call my self a diplomatic person I can say that I have the attitude of a dictatorship everything for me is either black or white nothing kind of in the middle and I deal with people in my society in the same way, this is why I have lost so many friends for the past 15 years of my life but at the same time this kind of personality have helped me a lot in my work specially because I work with my father which he runs his own company so basically now I run it instead of him taking decision is the hardest thing that a General manager can do but I haven’t had any problem doing it since I can give orders and say what I want to say without being shy or afraid to hurt someone feelings. I am going to write my personal code of ethics to try to regulate my behavior and that the same time to inspire myself to a greater height. Personally when it comes to deal with family or friends I am someone very helpful, kind generous gentlemen and thoughtful and when it comes to work I am a hard working gentlemen and consistent if I want something I work very hard to reach it this is what people see in me. When it comes to my beliefs I believe that we all as human beings should work hard to reach our goals, we should care more about others then caring about ourselves, we can all make our own luck, we can change the odds to be in our favors. When it comes to dealing with other people as I said before I suck at...
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...Ibrahim Masmoum Business Development in Emerging Economies 11 April 2014 A) In your opinion – What is the future of Emerging Economies? It seems almost impossible to deny that the emerging economies have a big future. In the last two decades, many developing countries have experienced economic growth and have come over many challenges such as social, political and technological. The economic growth is changing the outlook of those emerging markets. The future of developing countries is very promising and likely to bring large-scale developments and improvements for those emerging economies. Emerging economies are growing at a high rate, which is giving them an economic importance as their share of the world total GDP is still growing (IMF, 2014). However, many factors are challenging the rapid growth of emerging markets. In fact, in some countries such as Turkey and Brazil, it’s proving difficult to achieve a sustainable growth due to political risks. In terms of opportunities, emerging markets are the most promising because they are very rich in human resources (China and India) and natural resources (oil in Middle east and energy in Russia). The financial crisis in 2008-2009 has given the emerging markets more confidence to take the lead on the international level. In my opinion, the opportunities for emerging economies are big because they are experiencing a lot of social and political developments and on the long-term nations like China, India, Russia and Brazil...
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...Business plays a major role within our economy. There are different types of businesses such as retail, healthcare, banking, etc. Businesses are the major providers of jobs and economic growth in a capitalistic economy. For example, if the economy were to slow down, businesses would also slow down, which could impede growth and expansion. This would cause a domino effect in which businesses may begin to cut costs and people could lose their jobs. As a result, this would increase the economy’s unemployment rate, which means more people would be out of work and there would be less consumer spending to keep the economy growing. When the economy is growing, businesses are also growing. More funds are available to businesses, which would help them grow and expand their business. This would result in a low unemployment rate, which means people are working and the consumers would have money to spend to increase economic growth. There are many differences that for profit and nonprofit organizations have. For-Profit organizations have goals of starting a business solely for the purpose of making money. These businesses usually sell good or a service for profit. Nonprofit organizations usually have a mission that helps the community or general public and are not established to gain a profit.. An example of a non profit organization would be the Doug Flutie Jr. Foundation. This nonprofit organization requests donations to help children with autism, especially since it has become...
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...How Business Affects the Economy In most countries, business is the primary section of its economy. Businesses are what drive an economy up or down. A key component of how well businesses help the economy are the entrepreneurs. These brave risk takers put it all out on the line: time, money, and other resources in hopes to start a business and make a living. As they make money, they spend it helping other businesses blossom. This creates a prosperous cycle for all involved. Since these businesses flourish, this creates the needs to jobs for those who need them. All in all, the standard of living increases across a wide span area, as well as the quality of life due to many families now being able to provide for themselves. But businesses also contribute to social awareness by advocating for the well-being of its members. For-profit and nonprofit organizations are similar as they are different. It is true that they both can make a profit. But the key difference is how those profits are used. For-profit organizations are generally are out make a profit and distribute profits between owners, employees, shareholders and the business itself. But nonprofit organizations use all their profits for programs and services aimed at meeting peoples unmet or under-met needs, such as food, water, shelter and education. Nonprofit organizations are more concerned with providing a service or goods that help with environmental or human needs. Most nonprofit organizations are able...
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...| Business | The Back Bone of Economy | | Amy Lopez | 11/4/2012 | [Type the abstract of the document here. The abstract is typically a short summary of the contents of the document. Type the abstract of the document here. The abstract is typically a short summary of the contents of the document.] | Business is the back bone of any economy. It forms an economies foundation and without business your economy would be almost no existent and nothing more than a barter system really. Life would look much like a feudal system of our ancestors. In the US we have a capitalistic economy and business is the main component of it. Business is in every corner of every sector of what we do when we go to work. Most everything you can possible think of that relates to the economy is business. Retail, services, agriculture, manufacturing, health care, even the current campaign for president all involves business. Even when civilizations were based on an agricultural type of economy, business transactions occurred. For example, in an agricultural society based solely on farming, there would be different types of farming taking place. If one farmer grew coconuts, and his neighbor had cattle, they would probably trade coconuts and milk with each other. This is just a practical business transaction to make. If they did not barter in this way, one would be forced to go without milk and the other would be forced to go without coconuts. This is just an illustration to point out that...
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...The Business Environment in Today’s Economy Lisa K. St. Clair Strayer University BUS 100 February 7, 2013 Professor Jerome Newman The Business Environment in Today’s Economy Our economy is made up of financial and social systems which depend on the flow of goods and services that businesses provide. The vast majority of enterprises in the United States are made up of individuals, businesses, and nonprofit organizations. Various departments of the government own a number of major enterprises including the military, universities, postal services and national parks. The mix of both free enterprise and government owned enterprises is known as mixed economics. The quality of life in our society is impacted by value that these businesses bring to our economy. This can be measured in monetary value and also by assessing the standards of living in our economic system. (Kelly/McGowan, 2012) The Role of Business The actions of businesses or organizations can positively influence our economy or can cause devastating effects. The direct result from businesses that practice greed and unethical choices contributed to the U.S. economic collapse in the fall of 2008 (Permanent Subcommittee on Investigations , 2011). In the wake of this economic crisis many business and organizations were forced to rethink their strategies and invest in technological advances as a way to improve standards of living and continue to earn a profit. Businesses must not only continue to focus on...
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...Empirical Evidence From Emerging Economy Kamal Naser* Hamed Abdullhameed** & Rana Nuseibeh*** Abstract This study investigates the structure of audit fees in an emerging economy, Jordan. Data were collected from a sample of companies listed on the Amman Stock Exchange that forms 90% of the total population and fairly presents all industrial sectors within the economy. Consistent with previous research, the results of the analysis revealed that corporate size, status of the audit firm, industry type, degree of corporate complexity and risk are the main determinants of audit fees in the Jordanian environment. Unlike previous studies, however, variables such as corporate profitability, corporate accounting year-end and time lag between year-end and the audit report date appeared to be insignificant determinants of audit fees in the sampled companies. Key Words: * Audit fees, Emerging Economy, Jordan. S S cientific Journal of Administrative Development Vol.5 I.A.D. 2007 Dean College of Business Administration, Al-Ain University of Science and Technology, UAE. ** Freelance Financial Analyst, Jordan. *** Link Officer, National Health Service (NHS), UK. 84 Determinants Of Audit Fees: Empirical Evidence From Emerging Economy Introduction Although a number of studies have provided empirical evidence on the relationship between audit fees and the attributes of audited companies, most have tended to focus on developed economies (see for example: Australia: Francis...
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...| Company Write-up: Xbox 360 | Built for Fun | | Michele Herriman | Principles of MarketingDr. Dennis Pedrick | 4/18/2011 | | Company History The Microsoft Corporation, as many people know, is one of the world’s leading computer software manufacturers. Headquartered in Redmond, Washington, the company is known for developing, manufacturing, licensing, and supporting a range of software products and services for various computing devices worldwide. Established in 1975 by Paul Allen and Bill Gates, Microsoft began developing interpreters for microcomputers. By 1980, Microsoft entered the operating system business after signing a contract with IBM, which resulted in the branding and ownership rights of MS-DOS. By 1984 Microsoft had developed its first version of the operating system Microsoft Windows, and by March of 1986, the company had gone public with its stock. Today Microsoft has expanded to much more than just the familiar Windows Operating Systems, such as Windows 7 and Windows Vista. The company also provides enterprise consulting and product support services, training and certification to developers and information technology professionals. The company offers online information products, such as Bing and MSN, and an online advertising platform for publishers and advertisers. More recent products include the Windows Phone and the Zune digital music and entertainment platform, and application software for Apple’s Macintosh computers...
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...44 CLASH OF GENERATIONS- ECONOMY OF FUTURE Clash of Generations- Economy of Future Titans vs Olympians Mythology, History and Folklores have innumerable tales about the revolutionary clashes in ideologies, tumultuous transitioning of control, usurping power, tectonic economic shifts and a period of unrest and clamor during the cusp. The wax of Digital Native and wane of Generation X/ Baby Boomers heralds for another “Clash of Titans”. The Titans are finding a desperate way out of the byzantine financial models, spiraling debts, vagaries of stock markets and socio- economic crisis so that the posterity gets a better world to dwell in. And, at the same time there is an uneasy stir amongst the Olympians about the world that will be soon bequeathed to them. A view into the Crystal ball The future looks bleak if not dark for the future generation. Some of the jittery statistics are: 1) The average debt on every individual/ Country will go down to further abysmal levels because of financial imbalance (OECD Economic outlook 2012, pp.191) 2) Energy prices will soar up because of the drying oil pool and ever increasing demand from developing nations. (Barkindo. M 2006) 3) Housing Prices will double by 2025 because of urbanization and inflation ( CEBR 2005) 4) Economic model for Government and welfare structures might crumble due to a dwindling beneficiary/contributor ratio (DeVoe. J.E. et al 2005) Definitely these numbers don’t augur well for the Marshall’s “Demand –Supply”...
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...PAPER. COURSE: BUS: 1010: INTORDUCTION OF BUSINESS ORGANIZATIONS. SEMESTER: SPRING 2015 INSTRUCTOR: NAMADA JULIANA ADM NO: 644067 NAME: BRIAN KIPRUTO CHELIMO Table of Contents Abstract 3 2.0 Forms of Entrepreneurship 4 1.0 Introduction 4 1CREATION OF EMPLOYMENT 4 2Poverty reduction 5 3Socio-economic and political solutions 6 4Economic growth and Development 7 2.1 Entrepreneurial Effects in the Growth of Economy 8 Conclusion 9 REFERENCES 10 Abstract According to Chell & Ozkan, (2010), an entrepreneur is someone who is willing to bear the riskofa businessventure where there is a significant chance for making profit. Entrepreneurship is basically the practice of starting a business in order to earn profit on new found opportunities. Entrepreneurship is a challenging task as many businesses which start fail to take off. Entrepreneurship has many uncertainties especially when new products are created for which there is no existing market.Entrepreneurship affects economic growth in various ways. It is through entrepreneurship thatimportant innovations enter the market leading to new products or production process whicheventually increases efficiency through bringing competition in the market. This paper discourses the impact of entrepreneurship on economies. Ideas and concepts that emerge from entrepreneurs increase...
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...In the rapidly changing business environments of the developed economies organisations must learn to adapt or die. Are the challenges of organisational change best approached from the perspective of the scientific model of management or that of the human relations model of management? Introduction The environment of all businesses is rapidly changing at an extraordinary rate (Griffin & Moorhead, 2012). In industries, such as entertainment, fashion, social media and retail, there are many modern business challenges: increased competition, mass production, increased information flow, internet, ICT systems and mobility of workers. However, nowadays one of the most significant sources of change that has serious impact on many organisations and managers in the early 21st century is increasing globalisation (Mullins, 2010; Griffin & Moorhead, 2012). Globalisation appeals to organisations assimilating, functioning and competing in a global economy (Mullins, 2010). Additionally, technology-driven change is increasing and businesses have to adapt to survive and thrive. Changing business environment brings opportunities to enterprises to grow, be more creative and innovation. Nevertheless, this unclear and swiftly moving environment not only gives many new ideas and opportunities for organisations, but it also poses challenges (Hinde, 2013). Hence, managers have to understand how to address and adapt to the changing environment of a business (Griffin & Moorhead, 2012). There...
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...The Business Environment BUS 100 – Introduction to Business Professor Denel Pierre In order to understand business and the economy one need to know the meaning of business and its purpose within society. Business can be viewed as a legal entity to sell goods, make goods or provide a service to individuals. It’s an economic system where a for-profit and a non-profit company can exist in providing goods and services. Businesses operate within a network of distributors and producers of goods, consumers’ who purchase goods, within a demographic area based on their needs and wants. Within this network how a business is structured and form can affect the profitability of that business; also, how businesses perform can affect the overall performance of a country’s economy. Describe the role of business in the economy Being part of a capitalistic economy businesses are the main and most important component of it. Businesses play a role in every section of an economy, such as; manufacturing, healthcare, retail and service are examples of what involves businesses. Without a network of producers and distributors there will be no economy, if businesses do not exist then consumers will have to produce, create, store, and sell items themselves, basically everyone would be fending for themselves for every need and want. (Kelly, M., & McGowen, J. (2012) In today’s global businesses environment the economic impact can be felt internationally. As businesses go through cycles of...
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