How can US Small business survive in a Global Economy Research Proposal

How can US Small business survive in a Global Economy - Research Proposal Example However, there are substantial uncertainties regarding the level of management within this sector, with US policy-makers indicating that there are specific flaws in innovation (Katz & Green, 2011), lack of economic insight, entrepreneurial talent, practical understanding, and human resource management. According to Johnson and Turner (2010), the early phases are of significant value for the small business as these a very high failure rate. Keeping in view this high failure rate in the small business sector, it seems essential to examine the aspects, characteristics, or management skills that are necessary to facilitate the small business to survive and progress in global economy. ... ituational Analysis It is understandable that as the global economy goes on towards more and more integration due to progress of communications approaches, growth in developing nations, and decline in barriers for cross-country business, a few of the best prospects for small businesses will draw by operating within the global market. Within the developed as well as developing nations around the globe, US policy makers at all levels have accepted the fact that small businesses are turning out to be more and more essential with respect to employment, creation of wealth and the improvement in innovation. Alternatively, there are significant reservations regarding the excellence of management within this sector, with policy makers telling that there are specific weak spots in improvement, dire need of economic insight, advertising, entrepreneurial talent, understanding of market, and human resource management (Gupta, 2008). Therefore, a number of small businesses do not get to their comp lete potential and fail to survive, causing lost employments and capital for their area in which they are situated. Earlier research proved that there are four decisive phases within the life of a small business where the phases are decided by the time-span the business has been functioning. The estimated duration of every phase is as follows: first phase is the commencing point and is approximately three years in length. Subsequently, second phase is the development period and is four to six years in length; third phase is the established part and it is somewhere between six to eight years in length; and fourth phase is the constancy period having more than nine years of duration. Linked with all of these phases is a special set of business traits, tests, decision-making aptitude, and

Demand and suppy Essay Example | Topics and Well Written Essays - 1000 words

Demand and suppy - Essay Example With regard to the case assignment reading i.e. "What is Driving Oil Prices?" by Richard G. Anderson and Jason J. Buol, it is observed that in the period of August 2004, according to the observation of the International Energy Agency, global oil demand had been rising faster in comparison with any other phase in the previous 16 years. A key reason behind such hike in demand is the quick economic expansion of a number of nations in particular China. Moreover, China had accounted for around 40% of the demand growth regarding global oil production in the period of early 2000s and this demand had been expected to augment rapidly. With regard to supply, it can be said that issues such as political conflicts in nations like Iraq and Venezuela have had a major effect on the fluctuation of oil prices. Contextually, as per the assessment made, it is determined that factors such as enhanced speculation can be a major aspect in affecting oil prices (Anderson and Buol, "What is Driving Oil Price s?"). Both the demand & supply of oil are comparatively inflexible in the short run period. Changes in price have modest impact on either the ‘quantity supplied’ or the ‘quantity demanded’. ... Meanwhile as the quantities demanded as well as supplied change very less as the prices rise & fall, both the curves are reasonably vertical as shown below: Figure 1: Elasticity and Prices Source: (Stonebraker, â€Å"Demand and Supply Applied: Oil Prices†) Due to the reason that quantities are reasonably fixed in the short run period, any alteration in supply or demand will bring about considerable extent of changes in price. For example, if it is assumed that supply has fallen, the reduced supply generates a short-term shortage that will begin to boost price. If demand is elastic, only a small hike in price will be needed to get consumers to cut their purchases to as much as necessary in order to meet the new lowered output. Nonetheless, in the oil industry if demand is inelastic, it will assume a much greater price escalation to create the required reduction in quantity necessitated (Stonebraker, â€Å"Demand and Supply Applied: Oil Prices†). 2a. EXPLAIN WHAT HAPPENS TO QUANTITY OF OIL DEMANDED WHEN THE PRICE OF OIL DECREASES, ASSUMING THAT THE SUPPLY DOESN’T CHANGE. Quantity demanded generally refers to a definite amount that will be demanded each unit of related time at a specific price, if other aspects remain fixed. Market equilibrium is a condition where demand and supply for a certain product matches. The price and quantity only remains fixed at the point of interaction of the demand and supply curve. In accordance with the question, it can be stated that if the price of oil falls then the quantity of oil demanded will definitely surge as oil is a price sensitive product and its demand stands always higher. In terms of movement of curve, it can be said that the curve will shift to the right. The effect of the above