Tuesday, October 11, 2011

Market building strategy & Cost minimizing strategy

Market building strategy and cost- minimizing strategy are polar opposites in the sense of the treatment of workers and the respect of their human rights. The organizations that are keeping human securities in mind when they are expanding their company are practicing market-building strategy. Market building strategy is the moral way to expand a company. The focus of the strategy is to expand without infringing on worker's rights. The cost minimizing strategy is a different more immoral approach. The main idea of the strategy is to expand a company and seek maximum profits through reducing wages and not considering human rights of the work force. Toyota is a company that follows market-building strategy, because they are not jeopardizing human rights to seek extra profits. An example of a cost-minimizing strategist would be the southern plantation owners before the civil war, because they used slavery instead of having to pay wages.

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.