Wednesday, October 12, 2011

Market building/cost minimizing stragies

Both market building strategies and cost minimizing strategies are both employed in corporations world wide. When market building strategies are put to action, it seeks to improve the demand of the target market. This strategy often has little ill effects, but sometimes the market is too built up, and downsizing via government order has happened in the past. When costs are minimized the workers are usually the first to feel the cuts. Since the workers usually “need the jobs” they often have no choice when faced with unethical treatement. Market building strategies are better for the nation as a whole, for it improves the market, which mostly always creates jobs. However cost minimizing often calls for the demand for cheaper labor, which causes major emmigration issues from foreigners accepting the lower paying jobs. If both strategies were to be employed in a balanced way, both the market/economy, and the citizens of the US would have a better chance of not being un-employed.

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