Without the full disclosure principle important negative financial information on company standings would likely be withheld from investors. The full disclosure principle requires that all circumstances relevant to financial statement users be disclosed. This means that all transactions must be available to the readers of a company’s financial statements. The important of full disclosure is to protect the people involved in an organization by requiring companies to provide all necessary
Credit crunch and recession are great examples of external factors influencing the business. If the people are suffering from recession, they will not have money to spend money and this is how it affects the businesses. The current instability in Iraq is a good example of what may happen to businesses. In business it’s very important to understand, monitor and adapt to the political environment, because it crucially affects every business. Some of the very important factors are: Government stability effects businesses in a great range by competing with businesses to lower their costs, transparency is another important factor where anything the business does is revealed to the government and the government know exactly what they are up to.
Employment assurance wavered due to the negligence of the organization failing to adhere to policy and procedures which resulted in employees and volunteers practicing deceitful and unethical things. Investor loyalty was severely damaged by inside personnel stealing donated funds and financial misconduct of company records. Customer fulfillment was depleted based on the untimely actions of the American Red Cross along with the consumer fraud, and the organization attempting to deceive the donor’s for their own personal gain. Today’s business world needs leaders who can make ethical decision while making sure the action can have a lasting effect on the organization as a
Suggest why some people and not others benefit from the growth of Transnational Corporations (TNCs) Some people benefit from the growth of Transnational Corporations than others. MEDC’s benefit from the growth of transnational corporation because of cheaper imports from LEDC’s which benefit the consumers in MEDC’s as the prices will be cheaper, resulting in high produce, cheap price and ability to appeal to its market and compete with other companies. Another benefit of TNCS is that the loss of industry to LEDC’s can improve the environmental quality in MEDC’s, therefore reducing their CO2 emission and helping combat climate change. LEDC’s do to some extent benefit, as the workers has access to employment and the development of new skills. This will mean the population will have more money which will go into the economy, this will mean more income for improving infrastructure and services.
This could be approached by making sure that their retail outlets in other countries are attractive and have good working conditions for their workers. In addition, they may choose to include things such as Fairtrade for their suppliers so that there is no conflict with pressure groups; this would also enable Greggs to establish good relationships with suppliers which could eventually lead to perks such as cost savings, e.g. economies of scale. This would result in satisfied suppliers and employees. A second reason that managers should not only be responsible for shareholders alone is because their goal may be to maximise sales.
Pastin and hooker (1980) stated “The Foreign Corrupt Practices Act, while attempting to uphold morality by prohibiting bribery of foreign officials, may itself be an immoral law when examined from an ethical perspective” (p. 43). This law came about in the wake of the Watergate Scandal to curb bribery and enforce the morality of U.S. corporations. Instead of politicians, acting with higher ethics and morality it was passed to the business sector and enforced on their actions. Looking at the Foreign Corrupt Practices Act from a moral standpoint reveals there is little moral standing for the act. One reason for this assessment is many of the payments prohibited by the act do not meet the criteria to be defined as a bribe.
This will improve and impact the businesses activities as businesses will have more skilled and efficient workers than can maybe help with more activities and aims to help them achieve their purpose. Providing organisations to support other businesses is a way to support and increase recognition of the businesses. Most businesses having follow-on businesses or businesses they may have been in business together as they both have the same aim or support the same kind of thing. The government do a lot to support businesses for example if businesses want to start up, or a very well-known and profitable business wants to move around and open up a new store; the government will lend out a grant to pay for the store. However, the government generally hand out grants to businesses that
It uses Public money unnecessarily and is unfair to taxpayers. It makes financial reform going forward much more difficult. Protecting the markets for derivative products like CDOs and CDSs allows for a repeat of the risky practices that got us into the current crisis. And finally, by guaranteeing the corporate existence of large banks, we are maintaining their power and priorities and thus are not likely to see gains on predatory lending, foreclosure abuse, and other areas where reform is sorely needed. If we want to help the people who are suffering in this crisis and recession, then we should make financial policies with them directly in mind.
This ensures that the customers are loyal to the company and more interested in other services provided which automatically increases the profits. To achieve the best level of customer satisfaction, the retailers need to be more customer focused by providing products and services which focuses on the customers and offer high value for money since it attracts the customers. Furthermore, they need to pay attention to the wants of individual customers as this increases the quality of customer service; the customer will be pleased which leads to them being loyal to the company. Being customer focus does not only mean meeting the requirements of customer while the business is open; it also means to providing the best and efficient after-sales service. This could lead to the customers sharing their experience to their family and friends which means the reputation of the company grows which automatically increases the profits.
This is accomplished through more effective products, processes, services, technologies, or ideas that are readily available to markets, governments and society. Roberts (1988), defines innovation as the successful implementations and exploitation of a new idea or invention . Innovation is the main idea in shaping corporate life and helping companies to adopt various strategic options. It helps to reduce total cost of production, increase income avenues, and maintain efficient operating systems. Innovative businesses also benefit the economy: delivering added value; high quality jobs; successful business; better products and services for customers; and new, more environmentally friendly, processes.