Business environment of the Maldives
Abstract
Any business involves people and resources either to produce items or goods to be sold, or provide services to be sold (BPP, 2010). Through learning, researches and activities, it is clear that different organizations response to their business environment in a unique different way. The competitive market leads to structure such as oligopoly where many buyers and sellers involve in trade of similar products making average profit. The non-competitive market structures leads to monopoly with high barriers controlling new entrants, and with equilibrium profit or higher monopoly profit.
Market forces affect organizational responses to supply and demand, where those responses and behavior are shaped via cultural environment such as economics, socio-culture, technology, etc. In this regard if business is successful or finds it slow in expansion, it may consider globalization via international trade.
In this report, the consequences of globalization and impact of EU policies are studied and analyzed in arriving conclusion.
Contents
Abstract ii
Introduction iv
Organizational behavior in their market environment 1
Market structure 1
The Maldivian market structure 2
How market structure limits the pricing and output decisions of organizations 2
Market forces and organizational responses 3
Market forces in the Maldives and how it shapes the responses of organizations 4
How the business and cultural environments shape the behavior of MWSC 6
Political environment: 6
Economic environment: 6
Socio-cultural environment: 7
Significance of the global factors that shape national business activities 9
International Trade: 9
Significance of international trade to UK business organizations 10
Market Opportunities: 10
Global Growth: 10
Impact of the European Union policies on business organizations 10
Competition policy 11
EU Growth Program 11
Conclusion 13
References 14
Introduction
The combination of internal and external factors such as: competition; clients and
Any business involves people and resources either to produce items or goods to be sold, or provide services to be sold (BPP, 2010). Through learning, researches and activities, it is clear that different organizations response to their business environment in a unique different way. The competitive market leads to structure such as oligopoly where many buyers and sellers involve in trade of similar products making average profit. The non-competitive market structures leads to monopoly with high barriers controlling new entrants, and with equilibrium profit or higher monopoly profit.
Market forces affect organizational responses to supply and demand, where those responses and behavior are shaped via cultural environment such as economics, socio-culture, technology, etc. In this regard if business is successful or finds it slow in expansion, it may consider globalization via international trade.
In this report, the consequences of globalization and impact of EU policies are studied and analyzed in arriving conclusion.
Contents
Abstract ii
Introduction iv
Organizational behavior in their market environment 1
Market structure 1
The Maldivian market structure 2
How market structure limits the pricing and output decisions of organizations 2
Market forces and organizational responses 3
Market forces in the Maldives and how it shapes the responses of organizations 4
How the business and cultural environments shape the behavior of MWSC 6
Political environment: 6
Economic environment: 6
Socio-cultural environment: 7
Significance of the global factors that shape national business activities 9
International Trade: 9
Significance of international trade to UK business organizations 10
Market Opportunities: 10
Global Growth: 10
Impact of the European Union policies on business organizations 10
Competition policy 11
EU Growth Program 11
Conclusion 13
References 14
Introduction
The combination of internal and external factors such as: competition; clients and
References: Worthington, I. and Britton, C. 2006. The Business Environment. 5th edition. London: Prentice Hall. BPP. 2010. Business essentials – Business environment. London: BPP Learning Media Ltd. Pejovich, S. (ed.) 1976. Governmental controls and the free market: the U.S. economy in the 1970’s. [Online] College Station, TX: Texas A &M University Press. Available through: < http://www.questiaschool.com/library/6323649/governmental-controls-and-the-free-market-the-u-s> [Accessed: 17 September 2014]. MWSC. 2012. MWSC develops capacity to produce its own range of pipe fittings. Press release. [Online]. Available at: <https://www.mwsc.com.mv/news.php?p=mm3&newsid=50> [Accessed: 08th September 2014]. Investorwords. 2014. Market opportunity. [Online]. Available at: < http://www.investorwords.com/19306/market_opportunity.html> [Accessed: 12th September 2014]. Sloman, J. 2008. Economics and the business environment. 2nd Edition. UK: Pearson Education Limited. Whalley, A. 2010. Strategic marketing. 1st Edition. [Pdf]. Available to download on <www.bookboon.com>. Ahlersten, K. 2008. Essentials of microeconomics. 1st Edition. [Pdf]. Available to download on <www.bookboon.com>. European Commission. 2012. Competition. [Online]. Available at: <http://ec.europa.eu/competition/consumers/> [Accessed: 17 September 2014]. Balcerowicz, L., Rzonca, A., Kalina, L. and Łaszek, A. 2013. Economic Growth in the European Union. Lisbon council e-book. [Pdf]. Available to download on < http://www.lisboncouncil.net/growth/documents/LISBON_COUNCIL_Economic_Growth_in_the_EU%20(1).pdf> [Accessed: 18 September 2014].