An area that ties into decision making in business ethics is whether that decision will be beneficial to all those who have a vested substantial interest in the outcome. Courage also plays a significant role here because individuals at times attribute success to doing everything on their own or being self-sufficient. Sometimes the lack of courage to ask for help or even a second opinion causes business people to make poor choices which in turn negatively affects those with an interest in the
What mean by a competitive advantage is an sustainable advantage over the competition, it is not just a short term advantage. The ability of a business to position itself in the market and also make sure that its operations, that is supporting activities are geared towards offering value to customer that can not be beaten by competition, that value might be through low prices supported by low costs or it could be that value is perceived to be really high because the products and services differentiate. Low cost business level strategy objective is to try to become the lowest-cost operator in the market. The low cost business level strategy of Ryanair Holdings is a sustainable competitive advantage for the present environment but not a sustaining one for the future endeavours. This can be supported and discussed through the four criteria of a sustainable competitive advantage which are valuable, rare, difficult to imitate and difficult to subsitute.
Therefore, the employers should study the pros and cons of adopting FWA, and how is it going to affect the productivity of the employees in the business. As we discussed the pros of READ adopting FWA earlier, we come to discuss the cons of it. - To begin with, business owners and managers need to recognize that flexible work arrangements are not always appropriate for all people, jobs, or industries. In some jobs or industries FWA can turn out to be catastrophic while it decreases productivity immensely. - Another challenge that could be faced by employers adopting FWA is if the employees weren’t willing to adapt to such changes or weren’t able to resist any non-work temptations.
The last of the five competitive forces are the rivalry that takes place between existing competitors. Like any of the five competitive forces, rivalry among existing competitors will cause profitability of each company to go down. When companies compete for customers they tend to reduce prices, increase product marketability, and even improve quality of their services. There are two factors that contribute to the degrees of rivalry; the intensity and the basis of the competition. The intensity of competition can vary in many ways.
A small business working or producing in a single industry must develop a competitive advantage if it is to be profitable you can gain competitive advantage by outperforming your competition in some aspect of business to produce your goods or services at a lower cost. Owners also can show you the advantage of their products to sell them to you at a premium. I will show
Stakeholders affected Bribery has negative effects on various stakeholders. It can be said that consequences arising from bribery are destructive for businesses and economy as a whole. It affects the company itself. Unlawful activities can severely damage the company’s reputation. Other firms that care about ethics do not want to do business with firm perceived as corrupted and unethical.
The problem TPMT face is that employees effectively use the company as a foot into the industry. As there is no effective training procedures in place employees will simply struggle to meet their job requirements and will face no vision to excel within TPMT. Therefore, this will lead to low moral levels among employees, and results into employee turnover. This will affect TPMT 's market position and reputation
The five forces affect factors such as the price, cost and the investment and influence the firm’s profitability (Porter, M. E., 1985). The industry structure determines the power of the five forces and the structure of an industry is affected by industry trends. However, even if industry trends are important and affect the structure of an industry, firms can also alter the 5 forces. If a firm can change the structure of an industry, the overall industry’s attractiveness can also be changed either positively or negatively. The 5 forces are however not equally important and differs in every industry.
It might include dealing with a financial disaster or measures to avoid the highly likely occurrence of such a disaster. When firms are doing so badly that failure seems imminent then turnaround management can restore performance and profitability. The increasing competition, rapid advances in technology and rising complexity of the business conditions accompanied by blend of customers and employees, the challenges for any corporate have been rising. Only a timely response to this situation can save organizations. But, due to management inefficiency, most of the corporate fail to identify the problems and therefore delay in taking precautionary measures affecting the owners, employees, customers, suppliers and the economy.
This is evident when Air Asia decides to empower their employees with multiple roles in the company. As much as it is cost effective, it also reduces the overall productivity and efficiency of their employees because of an overly wide job scope and not enough specialised, technical professionals to handle certain tasks. The workforce, if fully occupied could result in slow decision-making that will impact the overall productivity of Air Asia. Heavy utilisation on the internet could easily be translated into over-reliance on internet as any sort of system interruption will stop the business operation in its track, which is not ideal when the heavy online sales of Air Asia is taken into account. When an LCC such as Air Asia with such great emphasis on online sales is hit with service disruption, this could drive away the customers and diminish the profitability as the airline is unable to function at its fullest.