U. S. level of economic
It is intended to describe a few critical elements of the achievement motive’ which would be helpful to expatriate managers. These critical elements are relevant from the standpoint of corporate business management. .An economic system defines the institutional framework of the environment. The ownership, control and management of enterprises reveal the nature of the economic system. Madruga management can be rest assured of similarity with the workers of U . S. The level of economic development and the structure of the economy tell the physical framework of the environment.
The level and composition of per capita income indicate the level of growth and development. in Singapore. The occupational distribution of the labor force, the structure of the national output, the composition and pattern of foreign trade, the structure of savings, investment and capital formation, the pattern of income distribution –these similarities will work well in these circumstances. (Kotler, Philip, 2002) The formulation of plans and programmers must, be followed by proper implementation.
Singapore government has paid attention for a planned development of all sectors. Individual development is encouraged. This calls for economic policy statements and legislations. Some sort of physical policies of controls and regulations may also be needed. Price control, trade control
These policies, planning and pricing together make the economy of Singapore’s function effectively. The functioning of an economy is reflected in short-period fluctuations and long-term trends in macro-economic variables like income, money supply, prices, production, employment, balance of trade and payments, foreign exchange earnings, etc. These trends decide the course of the prevailing economic environment. (Galbraith J, 1978) The critical elements of business management are: planning, direction, organization, control or coordination, leading and motivation and evaluation.
Management at all levels is concerned with these critical elements. These very critical elements are the concerns of the management that specializes in different functions such as production, finance, marketing, purchase etc. Management, at all levels of specialized functions, is influenced by the critical elements of the business environment. When an industry faces business recession, the management may decide to cut down the rate of production or to pile up inventory.
When the market is being invaded by an increasing number of closely substitutable products, the management may decide to go in for aggressive advertising to face cutthroat competition. When the financial institutions start interfering too much with the day-to-day business operations of a firm, the firm’s management may decide to do away with borrowed capital and depend upon its own resources. The point is that the management always studies the environment and then takes a decision accordingly. (Croney, J. S 2000) The existing business environment acts as a stimulant.
The prevailing environment is favorable to business growth and prosperity; the management will feel happy and respond positively. Small business owners are encouraged to produce more when the Government pays them subsidy. The environment and management thus influence each other. The existing environment will influence corporate level planning, business strategy and business tactics; it also affects the size, structure, location, integration and growth of business. The success is determined by its adjustment to favorable environmental factors.
The nature of such realization, its frequency and duration, will induce Madruga corporate managers to cultivate some standards of business philosophy, business ethics and business practice. This will yield a new business environment. (Rao, T. V. , 1994) Singapore is located in the eastern coast of the Asian countries and culturally it is different from the Europe, America and Australia. Through it is a very small country but with the recent economic development it has become so stable that many counties are ready to open their business with Singapore.
The success or failure as a manager, especially when he is posted to a new country, depends on a number of factors and these factors may not always be within the control; very often such factors constitute the work environment. These include the job, organization, nation and the world around us. After all, a manager does not function in a vacuum. Therefore, as a manager when one thinks, or take decisions, he cannot neglect the limitations of environment recruitment and selection of your required staff.
You can’t do without thinking about your environment. As a business manager, you have to constantly evaluate your precisely define ‘environment”, classify business environment on the basis of some criteria; identify some of the critical elements of economic environment of business establish the nature of interaction between economic environment and business management; and analyze the interaction between economic and non-economic environmental variables. (Beaumont,P. B 1993)