Term paper_INB 5807 - Foundations of Global Business Article

Term paper_INB 5807 - Foundations of Global Business - Article Example This paper seeks to evaluate institutional environments of Turkey as a developing nation, and those of Germany as a developed country, and critically analyze how these environments impact stability and development of these countries. Political Environment Germany is a federal republican economy with republican form of government where there is division of powers between the federal government and the government of individual subdivisions. Turkey on the other hand has the parliamentary system of democratic governance where the executive derives its democratic legitimacy and is held accountable to the parliament/ legislature and legitimacy regarded on the will of the citizens. These kind of political institutions have the executive arms of the government as ceremonial with much accountability based on the legitimacy of the legislature with which activities of the government are shared with majority in the legislature. ... ls of governments with regular checks on the legitimacy of the executive by other branches of the government which helps to promote accountability and transparency (Weatherly & Otter, 2011). Stability in both countries can be traced on their legal systems and the provisions of representations in that for instance, Germany practices civil law system with many fundamental matters of administrative law being left in the hands of the states with the penal system aimed towards rehabilitation of the criminal and protection of the general public. Stability on the other hand can be traced in Turkey’s universal suffrage form of election and representation and continued efforts by government and international organizations to enhance observance of human rights which promotes development in the long run. Economic Environment Germany has a social market economy; capitalism combined with social policies that favor union bargaining and social insurance, coordinated by highly skilled labor f orce and levels of innovations, and higher capital stock and strict levels of management. Turkey on the other hand has a private and a more market based economic system where investment, production and distribution decision are broadly defined by market forces of demand and supply; with prices determined by these market forces. Unlike in social market economy where Rhine capitalism; where finance is more dominated by banks instead of stock exchanges, market model primarily depend on the willingness of the parties to transact. The social and economic/ financial institutions in a Rhine model enhance a well-adjusted balance of power between shareholders and managers, partnerships between employers and unions, regulated markets and shred relationships between banks and companies, and shared values

Competition Commission Essay Example | Topics and Well Written Essays - 2000 words

Competition Commission - Essay Example This protects the economy and consumers from unnecessary or unreasonable exploitation. The CC serves as a competition regulator under the BIS i.e. Business innovation and skills department. History and development The Competition Commission was created through the influence of the Competition Act 1998. Most of the powers of CC were governed by the Enterprise Act 2002. The CC replaced MMC (monopolies and mergers commission) in 1999. The powers and influence of the competition commission were enhanced. The commission was given the independence to make decisions and recommendations to the government after investigations. The commission makes enquiries and recommends the appropriate remedies arising from competition on the market. The Competition Commission is a public body. The commissions have been charged with a responsibility to ensure that major industries are regulated and a healthy competitive and fair relationship exists between companies, economy and consumers. The enquiry must be referred to the Competition Commission by other selected authorities. This ensures that the Competition Commission deals with merited cases.... The government aims at launching a more efficient body i.e. CMA (competition market authority) by the year 2014. This development shields the consumers from unhealthy business practices like monopolises that exploit consumers. Mission and aims Mission: working to create a better future every day. This includes developing new ways of conducting business leading to increases revenues while reducing environmental impact. Aims: Working with integrity Creating a positive impact in the society Doubling the size of the company while creating a better future Management structure and leadership Communication has a two-tire hierarchical management structure. The commission has a chief executive who works with a seven directors. The commission has strong legal advisors and enquiry teams to ensure all the stakeholders has direct access to the referral authorities when in needed of redress. The leadership has professional skills in corporate management and economic analysis (Bercusson & Estlund 2 008). The commission has set out a management structure capable of fostering faster decision making. The leadership and management structure is flexible in its response to external stimulus and stakeholder concerns. The structure makes it easier to relay advisory or arbitration information. Leadership team is empowered by the legislature to make strategic decisions based on the information from the market. Commission management must facilitate inclusive decision making and encourage teamwork (Leisering 2011). The information technology department must have the capacity to install platforms that enable the CEO to link with other directors within the commission. The management structure and leadership of