Management Essay Example | Topics and Well Written Essays - 1000 words - 4

Management - Essay Example To avoid misuse and to promote efficient delivery of goals, the government must enforce more stringent measures of regulation and control on the banking and financial sector especially in the given environment of global market meltdown. Answer 2 The property rights and contracts are very important in a market place. A contract is a legal instrument that safeguards the interests of people who forge certain defined relationship through legally enforceable contractual set of rules and guidelines. In the recessive economy and deteriorating market conditions, new issues with wide ranging implications could have serious consequences for business. The property rights are vital issues within social fabric as they facilitate people to exercise control over their resources that they hold or own. Within a market economy, the contract promotes the property rights of business’ products and services and ensures that buyers and sellers maintain their contract as specified within the law. The property rights and contracts therefore help safeguard the rights business over their products and services as well as the rights of consumers who use those products and services. Answer 3 The major Rim countries like Japan, China, India and Malaysia etc. have significant influence on the global commerce due to the fast socio economic development. Through market liberalization, technological advancement and adopting change, they have emerged as major economies to challenge America’s monopoly in the global market. In the deteriorating financial condition of America with massive foreign debts and deficit account balance, dollar has been adversely impacted. As such, collapse of dollar within the new market based economy and increasing importance of Rim countries have redefined socio-economic and political economy of the globe. Indeed, these countries have now turned the table and become major donors rather than borrowers. The developing economies and regional markets now provid e huge potential of growth to the developed nations and are therefore in better position to bargain. Answer 4 Sherman Antitrust Act of 1890 and Clayton Act of 1914 are still important because they promote healthy market competition and dissuade monopoly in market (cornell university, n.d). Unregulated monopolies of products and services adversely impact economy as they tend to eliminate competition. Monopoly promotes the concept of single seller or supplier for products which has so substitute. Thus, the situation can be exploited by the party through higher prices, inferior quality and hindering creativity within market. Sherman Act prohibits monopolies of any kind, especially trusts which tend to transfer power to single entity, across interstate trade and commerce. Clayton Act further strengthened the market regulations when commercial practices like price differentiation, buying out competition etc. were made illegal. Answer 5 The political business strategy is highly pertinent in the current environment of rapid globalization. They broadly refer to the political risks vis-a-vis non market imperatives and macro environment issues that impact business performance across the globe. Thus, political stability and national and regional laws where global business tend to expand their business, the different environmental laws,