Business Management

BUSINESS MANAGEMENT 2

BusinessManagement

Questionone

Question1

a).Apparently,business corporations are increasingly participating in socialactivities in a bid to create a good corporate image to the society.This participation is best elucidated using the term corporate socialresponsibility.

Corporatesocial responsibility is a practice in the business world thatentails engaging in community activities and initiatives that arebeneficial to the society (Kenneth, 2013).Kenneth observes thatapparently, corporate social responsibility has been embraced by mostglobal corporations as a major business practice. Entrepreneurs haverealized that businesses cannot thrive when the society is notdeveloping. Corporate social responsibility, therefore, aims atcreating a shared value between businesses and the society at large.Sustainability in society greatly promotes the growth of business.Evidently, the society is struggling to cope with predicaments suchas climate change, HIV/AIDS, Ebola and poverty. These are globalchallenges and if they are not well monitored then the society isdoomed to lag below the global economic scale. As a result,businesses will automatically lose customers and ultimately collapse.Corporate social responsibility can also be termed as a legal andethical anticipation that the society has on business organizations.Business organizations are at some point obliged to initiatedevelopment programs within the local community (carol, 2003).Ostensibly, when business organizations portray a reputable image bydemonstrating community development initiatives, their firms are morelikely to garner more profits. High performance in corporate socialresponsibility implies that firms will attain a competitive advantageby impressing the rapidly increasing number of community-orientedinvestors, consumers and employees.

b). Redbull is notable global company that has enhanced its marketingstrategies through an awfully high performance in corporate socialresponsibility. Investors, employees and customers of the Australiancompany view red bull as the best energy drink across the globe.Recent studies contend that in America, red bull is viewed as a localbrand. The most notable tactic for the appealing nature of thebusiness enterprise is its high performance in corporate socialresponsibility. The company has over the years come up with communitydevelopment programs meant to eliminate poverty, reduce life stylerelated diseases as well as reducing environmental degradation.Evidently, red bull hosts sports events across the globe. Some ofthese sporting activities are the red bull Indianapolis and the airrace which is held annually in the United Kingdom as well as the redbull soap box race held in Jordan yearly. It is worth noting that redbull does not actually appear as a traditional American drink butrather a global product. Stakeholders view the drink as the mostrefreshing and much of stakeholder’s perception and influence tothe company is indeed as a result of the company’s community basedinitiatives.

Tomany customers red bull is a non-alcoholic drink and as a result, ittends to be a smooth chaser of alcoholic drinks. Red Bull Company hasbeen a notable sponsoring company to social events across the globe.Moreover, the company gives scholarships to university studentsespecially students in West Indies University Campus. This hasgreatly enhanced the popularity of the company making it a globalmultinational company. The employees as well are highly motivated andtreated ethically in the work place. Red Bull Company providesquality services to its internal stakeholders as a form of enhancingjob satisfaction. Consequently, these stakeholders have become goodambassadors of the company thereby promoting the expansion anddevelopment of the company. The social integration mind-set has madethe company highly competitive across the world. Since the brand ismade of antioxidants, which occur naturally, stakeholders perceivethe drink as a natural product without any harmful chemicals. Thismakes red bull a suitable brand for all people regardless of theirreligious subscription, cultural beliefs or even dietary preferences.Red bull is also producing a sugar free brand for the diabetic aswell as the old. This depicts that the company is dynamic and isbecoming health conscious in all walks of life. A close scrutiny ofred bull company reveals that the company has an awfully highperformance in terms of corporate social responsibility, a virtuethat has greatly enhanced stakeholders’ perception of the company.

c). In the recent past, Nike Company has been criticised by bothinternal and external stakeholders for having poor working conditionsfor the workers as well as portraying inadequacy and discriminationin the provision of sporting activities across the 140 countries itoperates in. Recent report by the global alliance report ascertainedthat at least 30 % of the workers in Nike Company have receivedphysical if not sexual abuse. Sexual trade cases during recruitmenthave been reported as well. Moreover, critics say that the companyhas abandoned its inception initiative to promote sporting activitiesamong the youths in the world. As the critics posit, the company hasinstead become increasingly profit oriented without having concernfor employees and other stakeholders. Based in Canada, Cole &ampParker Company is a leading manufacturer and supplier of footwear.The company has been a key player in enhancing corporate socialresponsibility worldwide. Apart from selling footwear, the companyhas come up with lending services where it provides loans to smallscale entrepreneurs especially in the developing countries. At thesame time, Cole &amp Parker Company provides scholarships to needystudents.

Question2

a).Scientificmanagement theory by Taylor aims at analysing and synthesizing theflow of work in order to increase efficiency in terms of labour andeconomies of scale. Though scientific management theory has undergonenumerous criticisms, the theory postulates a number of tenets suchwork ethics, fairness, accountability and standardization, which aresuitable and can be applied to many manufacturing companies. Thistheory is suitable in Subaru Company, which is currently undergoingeconomic difficulties. Studies reveal that the Japanese based companyis experiencing losses and its vehicles are losing demand due toproduction of poor quality automobiles. This theory can therefore beapplied to Subaru Company to increase labour efficiency andstandardization, which will eventually increase quality.

b). Inhis human relations school theory, Elton mayo asserts that if abusiness organization does not recognize the essence of human naturein the work place, then the business is doomed to lag below theglobal economy. Elton further observes that business enterprisesshould not exploit their employees since they are the key players inthe development and thriving of the business. Apparently, NikeCompany is being criticized bitterly for abusing its employees. Thetheory can therefore be practically applied in this company as asolution towards solving the menace of employee exploitation.

c). Fredrick Herzberg in his two factor theory posits that theproductivity of employees is highly influenced by motivation. Ifworkers are well motivated they develop passion for work and willalways ensure quality productivity. Some of the key motivatingfactors are job satisfaction and promotion. According to Herzberg,employees should be treated ethically and with due respect. Thistheory is most applicable in Wal mart companies where the company hasbeen reportedly criticized for imposing unethical standards to itsemployees. Wal mart is profit oriented and does not remunerate itsemployees well. The company does not promote its workers as well.

d). Theoryx and y by Douglas McGregor offers a basic distinction betweenmanagement structures. Theory x is a dictatorial management stylethat emphasizes on the fact that workers have to be ordered andclosely supervised in the work place. Theory y on the other side is aparticipatory management style where employees are expected to beself-motivated and self-driven. Theory y is best applicable in W.LGores and associates company, which uses the flat latticeorganizational structure where workers are not supervised since thereare no job ranks such as managers.

e). According to Maslow’s hierarchy of needs theory, human needs arehierarchical and therefore business organization should use theseneeds to ascertain the best ways to motivate the employees, consumersas well, as their clients. Mangers can for instance satisfyphysiological needs of their employees by increasing their wages.This theory can be practically applied in a global company such ascoca cola which in most cases entails sales marketing. Notably, iffor example the physiological needs of sales people are not met thentheir esteem is lowered. The ultimate impact is that the businesswill register loses since the employees will not be in a position tomarket the products efficiently.

Bibliography

Kenneth,A. &amp Paul, N.(2013) .Corporatesocial responsibility,entereprenueship and innovation.Rout ledge publishers.

Carroll,A.B., and A.K. Buchholtz (2003). Businessand Society: Ethics and 5thed. Australia: Thomson South-Western.

Doh,J. &amp Quigley, N. (2014). Responsible leaders and stakeholdermanagement: Infleunce pathways and organizational outcomes. AcademicManagement Perspective, 28(30,255-274.

Stankeviciute,E., Grunda, R. &amp Bartkus, E. (2012). Pursuing leadershipstrategies and business sustainability objectives: Wal-Martcase study. Economics and Management,17(3), 1200-1207

Sogunro,O.(1997).Workforce education forum.Penn state university press.