What is the relationship between business messages, their interactions and relationships

Right (market optimistic)

small gov, low tax market to be left to its own devices

Stakeholders

Individuals and groups with multitude of interests, expectations and demands as to what business should provide to society

Globalisation

Integration and interdependence, globalisation has two facets globalisation of markets and globalisation of production

Evolution of business

Society has moved from traditional sources of morality to become dominated by a market morality - self interest rather than mutual interest (200yrs of change)

Views of stakeholders

Strategic, multi-fiduciary, synthesis approach

How to think of stakeholders

internal, external, primary, secondary, core, strategic, environmental

Two key drivers of business behaviour

1. Competition, 2. Profit

Society

A brand group of people and other organisations, interest groups, a community, nation

Iron law of responsibility

In long run, those who don't use power in a manner society considers responsible, will tend to loose it

Left (market pessimist)

Big government, tax and gov spending

Business Dominance model

Business occupies a privileged position in policy making, unmatched by any other group, 'control without trying'

The global community - who is the global community

Doing international business is faced with different challenges, supporter of international business, critics of international business

Representation of business interests

Can be represented individually and/or collectively, can be decentralised or centralised

Neocorporatism

Emphasises the importance of economic interests - business and labour, 'tri-partism'm 'social partners'

Pluralistic model

Emphasises the plurality of group or interest seeking to influence gov, power is fragment and dispersed

Who are stakeholders

Government, employees, owners, consumers, community

Define profit motive

Mean businesses produce only goods and services that consumers are willing to pay for at price that yield a profit

Pluralistic society (strengths)

Prevents concentration of power, maximises freedom of expression and action, disperses individual allegiances, create diversified set of loyalties, provides checks and balances

Characteristics of private sector

Production of commodities for sale, with the prime objective of making a profit

Pluralistic society (weaknesses)

Pursuit of self interest, proliferates organisations and groups with overlapping goals, forces conflict to centre stage, promotes inefficiency

Pluralism

Refers to diffusion of power among society's many groups and organisations - wide decentralisation and diversity of power concentration

Business and society

Responsibility to people and societies, stewardship of scarce resources, legitimate aspect of business, not in conflict with growth and profitability

Business

The collection of private commercially oriented organisations

Global institutions

World trade organisation (WTO), international monetary fund (IMF), World bank, United nations (UN)

Political ideologies

an ideology is a system of beliefs and values, is framework of political understanding and commitment

International business and common values

benchmarks set by industry and international bodies e.g. global compact

Special interest groups

make life more complex for business government, number in tens of thousands, pursue their own focused agenda, more active, intense, divorced and focused, attract a significant following, often work at cross purposes, with no unified set of goals

Pluralism and international business

managing difference, differences are more pronounced

Business power

the ability or capacity to produce an effect or to bring influence