Institutional investor double standards led to 'new economy' Essay

Institutional investor double standards led to 'new economy' businesses receiving near limitless funding for investment whil - Essay Example This current scenario appears to point to a deep change in the way investment institutions think with shifts from traditional approaches and a new economy. However, it is not a certainty that these new economy businesses will lead to an economic heaven. The dawn of the new economy threatens the values that were inherent in the old economy. To investors, it now seems that all companies need to be new economy businesses or no businesses at all. This has been deciphered as a challenge to all companies to move towards new economy businesses via lowering costs, redefining supplier and client relationships, as well as entry into new markets (Edison & Slok, 2011: p22). Institutional investor double standards led to ‘new economy’ businesses receiving near limitless funding for investment while ‘old economy’ companies restricted investment. This paper seeks to show how the difference in funding has distorted the corporate strategy and performance of these economies I t is obvious that strategies that were successful in the old economy are no longer successful in supporting the new economy. In the old economy, businesses relied on growth and development as currency to attract investment for companies like manufacturing with significant plant capacities (Keha & Singh, 2009: p44). Businesses defined their economy by their infrastructure and the way they could accumulate old capital like lending capacity, land, and equipment. Potential employees, therefore, followed the jobs. Due to the high outlay of capital and the planning involved, which was a long term, to establish business facilities, the communities were able to keep the economic activities that they possessed. In old the economy businesses, keeping business costs low was a vital strategy since low wage communities and minimum taxes were more competitive (Keha & Singh, 2009: p45). The oversight of companies and people were based on the notion of control and management. The employee market wa s regional with community competition also being low, as was the talent market. However, the new economy has turned the old economy strategies on its head. Talent as economic growth’s major currency has replaced manufacturing plants. This talent is fungible; it is exchangeable like currency. Talent is driven by various factors, including diversity and tolerance, as well as innovative environments. Sustainability is also more embedded in the new economy business than it was in the old economy (Keha & Singh, 2009: p52). Therefore, economic development in the new economy does not come, necessarily, at the expense of social inequity and depleted resources, unlike the old economy. The new economy businesses are founded on the recognition that success and economic competition is now determined on a global scale. While the elements of the new economy businesses are not all global, the ones that will have the greatest importance in coming years are. For instance, most of the employme nt opportunities lost in the State of Michigan have been lost to the service industry. The service sector seeks to meet local needs, employee services, as well as resident care (Keha & Singh, 2009: p52). Some reasons exist as to why investment institutions are looking towards the new economy business, as opposed to the old economy businesses. The double standards in funding have seen the new economies shift to digitization, which requires higher capital

PRESENTATION Essay Example | Topics and Well Written Essays - 750 words

PRESENTATION - Essay Example 7 9.What are you doing to ensure the validity of your research? 7 10.What do they anticipate will be gained through your research? 8 References 9 1. Why have you chosen to base your research on this company/facility/organisation/etc? The major objective of the proposed research is to highlight the consequences of staff training programmes in an organisation. The study will focus on staff training programmes that are implemented by McDonald’s in its global business operations. An effective staff training program can be beneficial for McDonald’s in order to avoid the increasing risks and threats that can arise in various phases within the marketplace. Moreover, it can also be considered as one of the major strategic tools for the organisation in order to achieve competitive advantage in global marketplace (Pranicevic & et. al., 2011). ). From the perspective of McDonald’s, the food chain retail organisation significantly implements effective training and learning p rograms for the employees in various regions of socially, culturally as well as linguistically diversified markets. Therefore, the organisation can be recognised as one of the major fast-food chain retailers across the various regions of the world. 2. ... ll as with the increasing number of competitors in the hospitality and food chain industry, employee training and development programs have become an essential step for the modern organisations in order to maintain their sustainability. In the present day context, organisations frequently employ training programs for the employees in order to educate them regarding effective steps that can be followed by them while dealing with the consumers. Therefore, an assessment of the core concepts that are utilised by a globally leading company, McDonald’s in this context can facilitate to recognise the value of staff training in the organisational context in both short and long run (Pranicevic & et. al., 2011). 3. What are your main literature sources and how have you located and accessed these? In the context of this proposed research, the study would be conducted through assessing various numbers of journals and books that are written by different authors. Moreover, in order to incre ase the effectiveness and suitability of this research, the proposed study would be evaluated through collecting information from primary sources including company annual reports, by conducting interviews and through questionnaire survey with the consumers and employees of McDonald’s. 4. What is the overall aim of your proposal and why? Identifying and highlighting the major effects of staff training in McDonald’s in order to develop the experiences of the global customers of the company’s fast-food retail chain segment is the major objective of this research. Moreover, recognizing various types of innovative and exceptional business strategies that are executed by McDonald’s in its effective staff training initiatives is also a major aim of the proposed research. The recognised aims of