Knowledge and Proficiency in Economics Essay
- Length: 8 pages
- Sources: 4
- Subject: Economics
- Type: Essay
- Paper: #61604525
Excerpt from Essay :
The third degree discrimination is when businesses set prices depending on the location and the market segments. Here the supplier will identify the various market segments and have varying prices for the same item due to the varying consumer classes in these regions. The sales managers always have to look at the characteristics of the market and the customers in general.
The factors that the sellers consider here are age of the potential clients and their population in a given area, the economic standards and their purchasing history. This will enable the recommendation of varying prices for the different market segments. This is a discrimination criterion frequently used by the textile industry run by my father in Indonesia and particularly on the export textile. He has countries that will generally buy at higher rates than others hence he does his research and sets the prices accordingly.
It is noteworthy that it is not always that price discrimination works particularly the second and the third degree discrimination methods.
There is no organization that longs to be wound up as soon as it opens the doors hence the need for organizational sustainability. Therefore there is need for leadership and corporate strategy for the sustainability to be achieved. Leaders need to have the following attributes in order to help the organization to run for long; one with change leadership, the ability to identify and overcome the hindrances to achieving the sustainability and to come up with sound processes geared towards capturing new opportunities for growth as they help curb the risks that hitherto existed.
The leader also needs collaboration and influencing habit in him. This is the ability to communicate and influence people, especially the keen opinion leaders toward a solid and viable vision so that he weaves sustainability into the fabric of the organization.
The leader must also have strategic orientation for an organization or business to be sustainable. He should be able to come up with several sustainability strategies for the business hence getting a high impact in a highly competitive and complex business environment making his organization sustainable.
The leader must have commercial orientation, which is the ability to know how to prioritize the efforts within his team that will yield the most returns and value for the business within the business planning cycle, this will include abandoning initiatives that do not address sustainability issues.
A strategic leader must have results delivery; must be able to manifest the sustainability vision into practical and definite initiatives whose success can be pointed out based on the empirical substance as well as the humility to take corrections incase the delivery is less than expected.
Lastly, he must be a team leader; this is the most important for a sustainable leader to achieve the desired goals of upholding sustainability in the business. A leader can have all the previous five qualities but if he cannot master the team spirit then the efforts can be in vain since he cannot accomplish the task of having a sustainable organization as one person.
The other significant observation that came clear during the course period is that the companies or organizations and the society of late have been having a mutual coexistence that cannot be done away with. Media, governments and the activists have been prompt at holding organizations to account for the social repercussions of their deeds and engagements in the society. In a quick and equally enthusiastic rejoinder, there has emerged the corporate social responsibility (CSR) as an inalienable priority for the organization heads in all countries.
However, these CSR activities have been counterproductive in several occasions due to two major things. First, they pit the society against the organizations and the business yet technically speaking the two are mutually interdependent. Second, these CSR activities have pushed the organizations to view them as a generic engagement and not as a part and parcel of their organizational strategic plans (Michael E.P. & Mark R.K., 2006). These two have obscured the approach to CSR so as to make it look very disconnected from the strategic engagements and planning hence companies missing out on the and the society as well. Therefore, corporations should begin to view the opportunities for CSR in the same framework as they do in making decisions for their major business choices.
This way, they will be able to see that CSR is not only constrain, cost or a charitable deed to the society, but is a potential source of organizational innovation as well as competitive advantages. In order for the management to perceive CSR as an opportunity rather than a public relations engagement or a damage control measure will require a radically different thinking that will become significant to competitive success. One fundamental questio not yet answered is why is it that the several billions of dollars that have been invested in the social institutions have not done much to bring a solution to the basic challenges that the community faces each and every day?
Apart from the CSR, the organizations also need to have an assurance of corporate sustainability within the society. Economics fronts the framework for achieving the corporate sustainability which still is a big concern among many countries leading to the formation of organizations and unions to ensure that this happens. This sustainability must then be realized in terms of continuity of the firms and organizations as well as the system that it exists within, be they ecological, social or economical systems.
Corporate sustainability hence can be achieved by effectively addressing the corporate ambiguities and dynamics with the ever changing corporate image. The basic idea though is that the organizations found in any society are open systems whose continued legitimacy is found in the environment in which it is located, in other words without a market or an environment then no organization can exist. This makes organizations to be looked at as living systems with people daily engaging in activities within the organization as it absorbs skills, money, needs, materials, knowledge and expectations from the surrounding community. Where individuals strive for security, survival, recognition and growth there is a trend that organizations strive for continuity. It is in recognition of this that my father's textile industry has ensured that they are environmentally conscious and they do not dump the toxic wastes in the environment but recycle every little effluent that is recyclable. This is a measure to ensure Indonesia as a country remains healthy and the immediate environment around the textile industry is not polluted and is inhabitable by the next generation, perpetuating the market availability and sustainability of the industry.
Generally the substance that I have acquired throughout the economics degree study in SCHOOL have benefited me by enhancing and expanding my world view of the business interactions and the technical approaches that are necessary for business professionals in the contemporary business environment.
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