Business Environment: Government Vs. Federal Reserve
Running head: BUSINESS ENVIRONMENT
Business Environment
Kary Ptak
Professor Michael Mancini
Strayer University
Business 100
May2, 2013
Business Environment
Business is all around us nationally and internationally, they are what made our economy grow. Some business are growing fast as technology advance, however some business are weakening in the slow economy.
Roles of Business in the Economy
The economy relies on business to provide goods or services within the nation. If there were no businesses, consumers would have to create, sell and produce products on their own. Many people would struggle with obtaining their need and wants in their everyday lives. Many different types of business create jobs which keep money flowing …show more content…
The fiscal policy is referred to the government decision on adjusting the spending levels, imposing taxes, and curbing inflation rates and boosting employment rate in the nation’s economy (‘ What is Fiscal Policy,” 2013). The monetary policy is controlled by the Federal Reserve System; the feds lower interest rates and increase the money supply (Kelly M. , 2012). The main goals of these policies are to control and promote growth in the economy. Every year the government meets to create a budget from the revenue received from taxes and fees to outline spending by the government. The government controls spending and increase taxes to get money out of the economy. The current fiscal policy could have negative affect that are not the same for everyone and may only affect the middle class, meaning they must pay higher taxes than the wealthier class of people(”Effect of Monetary …show more content…
Consumers are going to most likely use or purchase a product from a company that social ties in the communities or globally. Ben and Jerry’s Ice Cream, Inc. is an example of a company with social responsibility. Ben and Jerry’s company, social mission benefits many of their stakeholders like their employees, and community not just their shareholders. Ben and Jerry’s company belief in “linked prosperity” that as the company grows the owners are going to share the wealth with not only their share holder but the community and employees (“Who are We”, 2013). Ben and Jerry’s was the first company to publicly issue, an annual social performance report (“The Journal of Applied Business Research”2013).In the mid 80’s, the company started a public stock to support the growth of the company, Ben and Jerry’s created a Ben and Jerry’s Foundation which Ben donated 50,000 shares and board of director commits about 7.5% of the pretax profit from the company annual profit to the foundation(“Who are We”,2013). The main goal of the foundation was to give away the profit that Ben and Jerry’s ice cream company generated. Later on the Ben and Jerry’s had major change in the ownership structure and now is owned by Unilver. However, even with new ownership the foundation still gains support from Unilver to continue to foundation fund the grants. The Ben and Jerry’s foundation receive about 2 million dollars in 2009 from Unviler. Ben and
Business Environment
Kary Ptak
Professor Michael Mancini
Strayer University
Business 100
May2, 2013
Business Environment
Business is all around us nationally and internationally, they are what made our economy grow. Some business are growing fast as technology advance, however some business are weakening in the slow economy.
Roles of Business in the Economy
The economy relies on business to provide goods or services within the nation. If there were no businesses, consumers would have to create, sell and produce products on their own. Many people would struggle with obtaining their need and wants in their everyday lives. Many different types of business create jobs which keep money flowing …show more content…
The fiscal policy is referred to the government decision on adjusting the spending levels, imposing taxes, and curbing inflation rates and boosting employment rate in the nation’s economy (‘ What is Fiscal Policy,” 2013). The monetary policy is controlled by the Federal Reserve System; the feds lower interest rates and increase the money supply (Kelly M. , 2012). The main goals of these policies are to control and promote growth in the economy. Every year the government meets to create a budget from the revenue received from taxes and fees to outline spending by the government. The government controls spending and increase taxes to get money out of the economy. The current fiscal policy could have negative affect that are not the same for everyone and may only affect the middle class, meaning they must pay higher taxes than the wealthier class of people(”Effect of Monetary …show more content…
Consumers are going to most likely use or purchase a product from a company that social ties in the communities or globally. Ben and Jerry’s Ice Cream, Inc. is an example of a company with social responsibility. Ben and Jerry’s company, social mission benefits many of their stakeholders like their employees, and community not just their shareholders. Ben and Jerry’s company belief in “linked prosperity” that as the company grows the owners are going to share the wealth with not only their share holder but the community and employees (“Who are We”, 2013). Ben and Jerry’s was the first company to publicly issue, an annual social performance report (“The Journal of Applied Business Research”2013).In the mid 80’s, the company started a public stock to support the growth of the company, Ben and Jerry’s created a Ben and Jerry’s Foundation which Ben donated 50,000 shares and board of director commits about 7.5% of the pretax profit from the company annual profit to the foundation(“Who are We”,2013). The main goal of the foundation was to give away the profit that Ben and Jerry’s ice cream company generated. Later on the Ben and Jerry’s had major change in the ownership structure and now is owned by Unilver. However, even with new ownership the foundation still gains support from Unilver to continue to foundation fund the grants. The Ben and Jerry’s foundation receive about 2 million dollars in 2009 from Unviler. Ben and