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Current Issues in Business Organisations Essay

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Updated: Apr 22nd, 2021


The nonmarket environment of a business refers to the political, economic, social, and demographic factors that affect business operations (Qualman 2010). Usually, these outside forces greatly influence the performance of businesses directly or indirectly. Companies must factor in the external changes that are brought about by media so that the competitiveness remains unique.


The role of media is vital for any organization aspiring to be successful in financial wellbeing as well as increasing the shareholders’ wealth (Solomon 2012). Government policies and regulations affect business operations. The media shapes the consumers’ behavior towards the organizational public image, which further determines the customers’ trust, purchasing power, and even consumer trends. Media shapes the competition in terms of technological development. For instance, the use of technology has made the workplace safe, flexible, and efficient. Goldblatt (2007) argues that media helps every organization to be updated with the most technological business equipment.

The media has significant effects on business performance. The media exposes the poorly performing entities to the public. For instance, a bad-news report on an organization spreads fast (Liff 2011). Consequently, if the organization fails to offer quick responses to the issues under contention, the negative effects of consumer behavior may prevail for a long time.


Business ethics in an organization is a determinant of success. For instance, social morals and ethics in businesses involve the employees’ code of conduct and the business in trade at large (Qalman 2010). For instance, a good crisis example is the adverts from media websites that spread the news about the oil crisis, when a New Orleans judge was set to determine the oil spill case. The media interfered with the judge’s decision on the case by highlighting that the fine payments would be late.

This aspect contradicts the business ethics of managing a crisis whereby the media crosses the borders of privacy. Therefore, businesses find it hard to control the media perceptions and influence to the public, which in turn affects the organizational performance through low consumer purchasing behavior (Cateora et al. 2012). However, the judge followed the ethical conduct of fulfilling the fines payments despite the media influence on the matter.

At one point, the Apple Company needed high-qualified employees to handle some organizational projects. The employees found that the project required some legal purchase of certain application software from the Huawei Company. The employees contacted the management, which undertook the legal process to purchase the application software as needed in the project. Consequently, the Huawei Company praised the employees and the company for the high ethical code and moral of conduct portrayed. The news spread over the newspapers and social media. Consequently, Apple’s dominance in the business went up while the products offered by Huawei gained consumer trust through the observance of ethical business conduct.

Environmental hazards destroy business-marketing trends, which the media may present erroneously. This aspect may take the form of air pollution or sound pollution to the nearby communities. Sometimes media over-emphasizes pollution cases even though they may be significant. Furthermore, natural hazards and climate change may affect business operations like hurricanes and tornados. Moreover, the government sets the price ranges to all business organizations through the national budget to avoid unfair competition platforms amongst organizations in different industries (Cateora et al., 2012). In addition, the technological growth aspect saves cost and time, coupled with providing technological consumer attraction packages for further business growth (Solomon 2012).


The media plays a very important role as a connector, intermediary, and informer in the business environment. Businesses rely on nonmarket complementarily with market forces for competitive survival (Wood, 2012). The technological, economic, political, and social environment affects businesses, and thus organizations should monitor how these changes affect performance through the media.

Impacts of globalization on labor


The globalization of labor refers to the process through which societies, economies, and different cultures interact mutually through transportation, communication, and technology in terms of labor search worldwide. The globalization of labor offers an opportunity for the flow of foreign income around the globe. The globalization of labor opens investment opportunities for individuals and countries, which creates international business relations.


The globalization of labor opens the job market opportunities for young people looking for jobs. For instance, foreign workers earn high income from other countries like the United States and Norway, among others, which offer high wages. Moreover, globalization removes labor and economic barriers, and thus foreigners enjoy the benefits of their expertise and skills. According to Qaulman (2010), regional and international agreements, together with conditions of work, have created employment opportunities in the modern labor market. In fact, regional intra and inter-country movements in search of job opportunities have increased, thus resulting in improved living standards in different places across the world.

The globalization of labor creates online jobs like distance web development, freelancing, and other online transactions. In addition, the globalization of labor presents organizations with the opportunity to choose cost-friendly clients to deal with, even without personal contact (Webster, Lambert & Beziudenhout 2008). Specific jobs require technological skills, which might be demanding in information technology.

Impacts of globalization

The globalization of labor presents the opportunity for different people at the workplace to interact freely. The different languages and origins culminate in the exchange of cultures and traditions, which results in mutual understanding (Fairbrother & Rainnie 2006). In fact, cultural diversity may create business opportunities in industries like clothing, foods, and beverages because people from different backgrounds bring value to such sectors.

In addition, the globalization of labor presents economies with a much-needed experienced workforce. For instance, currently, the UAE is one of the fastest-growing economies across the world. This aspect has been occasioned by the availability of experienced expatriates. According to BQ Magazine (2015, par. 2), ‘the UAE is relying heavily on foreign labor to keep its projects and economy running.’ The number of expatriates in the UAE stood at 11.32 % of the total population in 2015 (BQ Magazine 2015). The globalization of labor has occasioned this occurrence, and the AUE is benefiting hugely.

The globalization of labor leads to several negative effects in a given economy. For instance, it leads to unemployment. A good example is the UAE, whereby the growing number of unemployed native citizens keeps increasing. Through globalization, foreign workers may create unemployment in a country by occupying jobs that should be filled by the natives. Moreover, some of the foreign workers accept minimal wages and salaries, thus leading to unfair competition for the citizens of a given nation, who decline to work for such low-paying job offers. For instance, in 2014, the rate of unemployed youths in the UAE rose to 8 percent, despite the fact that the economy is growing (Croucher 2014).

The possible explanation of this scenario is that expatriates are occupying jobs that should be going to youths. Currently, South Africa is battling a wave of xenophobic attacks where the natives are attacking foreigners. The foreigners are allegedly accused of taking jobs from native South Africans (The Economist 2015).

The United Arab Emirates (UAE) is one of the countries with great positive and negative effects of globalization of labor. However, the positive effects outweigh the negative effects. The country relies heavily on foreign laborers for development. For instance, the UAE is one of the most developed countries, but foreign investors in governmental posts control the main investment sectors. The positive effects of labor globalization include cheap labor, cultural diversity, technological development, and the creation of room for foreign investments.


The globalization of labor leads to the availability of much-needed expert workers in an economy. The globalization of labor connects people, provides an income to foreign workers, opens up opportunities for international investments, and provides cheap labor for development. The UAE is one of the best case studies of the positive and negative effects of labor globalization.

Reference List

Cateora, P, Graham, J & Gilly, M 2012, International Marketing, McGraw, New York.

Croucher, M 2014, Unemployment rates among young Emiratis increasing but national service can help. Web.

Fairbrother, & Rainnie, 2006, Globalisation, State and Labour, Routledge, London.

Goldblatt, J 2007, Special Events: The Roots and Wings of Celebration, Wiley, New York.

Keegan, W & Green, M 2010, Global Marketing, Upper Saddle River, Hoboken.

Liff, S 2011, Improving the Performance of Government Employees, American Management Association, New York.

Qualman, E 2010, Socialnomics: How Social media transforms the way we live and do Business, John Wiley & Sons, New York.

Solomon, M 2012, Consumer Behaviour, Prentice-Hall, New Jersey.

The Economist: Blood at the end of the rainbow South Africa’s poor are turning on those even more downtrodden 2015. Web.

Webster, E, Lambert, R & Bezuidenhout, A 2008, Grounding Globalisation: Labour in the Age of Insecurity, Wiley-Blackwell, New Jersey.

Wood, M 2012, Marketing Plan Handbook, Prentice-Hall, New Jersey.

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