The economic development analysts have shifted their strategies to economic development. The experts have highly recommended the putting up of fresh businesses and assisting in the running of the current ones. This strategy is defined by two characteristics. The first characteristic involves the development and guidance to the entrepreneurs and small business. The other strategy entails the infrastructural development and training of skilled employees. The two approaches are geared towards the standard of living of the people and establishment of a catchy business environment. Economic development strategy that starts from having large firms in operation might fail to bear the expected result and expensive, too. Entrepreneurial development and running of small businesses create more jobs than large enterprises. The added advantage of the entrepreneurial development ensures spontaneous job creation in the society. The expansion of the existing businesses leads to the creation of new job opportunities. The increase in the number of firms implies that they are likely to spring up but it might sometimes lead to competition. This is an expensive process. Upcoming business raises money indirectly for the infrastructural development.
Small-scale businesses yearly employ more people in United States. Urbanization is occurring very fast and without warning. Businesses are hence expected to control any problem associated with urbanization. Economic growth and business environment should be complementary factors. Businesses lead to economic stability in most developing countries. Countries that have high GDP reduce borrowing s hence the economic growth is not expected to decline. Businesses help in dealing with the low income earners in the country and improve their living standards. Businesses ensure positive development of the people. Business cannot get rid of poverty solely or lead to development. It has to work closely with the government and civil society to combine different responsibilities to ensure that the living standards of the citizens improve (Kropp, 2010). Businesses increase the prosperity of the community through wages and salaries. Businesses help in the flow of money in the economy due to selling and buying. It is evident that growth of businesses helps people achieve their dreams.
Limited time Offer
The profit organization, popularly known as for-profit organization works, seeks to benefit from the community. The non-profit making businesses operate in the society in order to improve the living standard of the community members. The nonprofit businesses range from hospitals, schools and colleges to the museums. The two businesses share some common objectives and styles of management. In case of the non-profit businesses, they can rely on the government to finance their operations or charge small fees that are only needed to cover up for the cost of the operation. The for-profit organization charges some fees in order to cover for the operation and make reasonable profit. The set of businesses depend on good management and leadership for their survival. The businesses should strive to deliver good services, encourage the workers and find a course for their operation. Failure of the businesses to good management might turn into failure. The two businesses carry out serious planning, budgeting and gauging of the operation systems. Failure to carry out proper planning may lead to a weak business. Both businesses may encounter some problems in running the affairs due to the size or the availability of finances. Finally, both are helpful to the society, though the benefits accrued by the society members may differ.
Related Business essays