Implication on Business, Economy and Work Culture

Implications on Business

Businesses may experience operational and financial challenges as a result of the changing business climate. Different risks are presented to every firm. Due to their limited resources or money, small enterprises may face more frequent and greater business risks. The business may face a variety of market-related risks. Each risk carries a unique set of repercussions for the business owner, who must manage it. The result of general economic conditions is business risk. Government financial or fiscal policies that are rigidly enforced frequently highlight the riskier operating conditions for firms. Here are some business risks:

• Strategic
  • The level of rivalry in the economic market is what leads to the strategic business risk. Increased competition can cause a business's market share and earnings to decline. Business owners place more emphasis on educating customers about why their product is better than a rival's offering by spending more time and money on this task. In comparison to a smaller company, a larger corporation may be better able to endure greater levels of competition. Smaller businesses struggle to maintain an adequate flow of financial resources. Economic resources include the labor force, raw materials, and other things that a business needs to produce its goods.
• Compliance
  • Small businesses adhere to various federal, state, or local government requirements in the workplace. Complex government regulations have an impact on small enterprises and can increase risk. To make sure that their firm is compliant, the company's owners are required to examine rules and implement corporate policies or processes. Small businesses must invest more money and resources in their normal interactions with other companies in order to adhere to new rules. Since the business owner must spend money to comply with government restrictions, they do not have additional funds to boost production output or expand business operations.
• Financial
  • The corporation may experience severe credit requirements or lose money from consumer sales in a financial risk situation. In an effort to raise money to cover operating costs, business owners must offer inventory or other products to consumers at low prices. Credit sales have the potential to worsen the current business condition or cause it. Companies may lose money from customers who are unable to pay their bills in the future when they can find a way to collect their money at that point. Strict credit requirements may place a cap on loan quantities, raise interest rates, or produce another adverse financing component for enterprises.
• Operational
  • Businesses that are exposed to operational risk may experience deteriorating conditions during the production process. Theft, unneeded equipment, and incomplete facilities are a few operational business risks. When there are more operational risks in a firm, the organization may experience a loss in output, lower-quality consumer items, and inefficient production. These circumstances may result in the emergence of new rivals and may affect the market share of the company. If a business has to spend money on fixing or rectifying operational problems, they may also be at greater financial risk.

Implication on Economy

Although Nepal's economy is thought to be mostly based on agriculture, it lacks the entrepreneurial energy necessary for complicated growth. Government meddling has a stronger impact on regulatory effectiveness, and nothing is done to update trade and investment regimes. Economic Freedom Snapshot: Nepal's most recent score is 50.9. (down 0.4 points). Nepal's economic freedom status is "not free." Nepal is ranked 151st worldwide. Nepal is ranked 34th overall in the Asia-Pacific region. The Nepalese economy has never been successful. Rule of law, open markets, and labor freedom are issues. Nepal's economy has changed by +0.7%. Political systems that are unstable nonetheless have authority or rule over the law. No rights exist, and those that do exist are only mediocrely safeguarded by the dysfunctional legal system, which is heavily influenced by politics. The increase of private investment and output in the corporation is still being hampered by systemic corruption and an openly corrupt legal system.

Public sector spending, This component gives a GDP percentage representation of the level of government spending. Spending by the government on things like transfers and consumption counts. The average tariff rate in Nepal's open market is 14.7%. Tariffs provide the money needed by the government. Since beef cannot be imported, the revenue is derived through export duties. The Nepali government examines the new foreign investment. The economy is distorted by a number of state-owned businesses. The government continues to have a significant influence on how credit is distributed notwithstanding the fragmented financial sectors.

Implication on work Culture

Workplace culture is crucial for bringing out the best in employees and keeping them on board for the long haul. The organization should create a conducive environment so that the employees can focus on their tasks without interfering with one another's work. The study of company values, thought patterns, employee attitudes, philosophies, and guiding principles is referred to as work culture. The way that employees interact with one another and how the business runs and functions are determined by the workplace culture. The mentality of the workforce, also referred to as work culture, further determines the atmosphere of the organization. When employees adhere to the firm's rules and regulations and are required to do so, the company must have a strong work culture. However, there are other firms where employees are reluctant to follow directions and only operate under rigid rules and rigorous discipline. Such a business could have a weak cultural foundation. Guidelines for fostering a passionate workplace culture are

• Hire the Right People
  • Prior to hiring, there must be a passion and commitment, and then there must be experience. The organization can find a variety of attractive CVs online, but you need to be able to locate people who share your interests. On the path that workers take toward others with quite different passions, you don't want to step on sand. It's crucial to ask the correct questions, such as what occupation you chose and its advantages. What inspires you, specifically? You need to know what the prospective employee thinks.
• Communicate
  • Once you've identified suitable candidates, you should observe them at work and have a conversation with them about what's working and what isn't. It's crucial to keep track of your victories, but it's not required to analyze your defeats. The productive culture notices when things don't work and makes adjustments to fix the issue. People today need to feel protected and trustworthy, and they need to believe that they can express themselves freely without worrying about consequences. The practice of communication encourages talking more than listening, but both are essential. People create great cultures when they listen to their clients, stakeholders, and each other as well. Additionally, it is crucial for understanding external circumstances such as the marketing function, the significance of the zeitgeist, and the escalating trends, advancements, and disasters.
• Tend to The Weeds
  • The wrong individuals may jeopardize a passion capital culture. The whiner is one of the worst weeds in business. Whiners don't always air their grievances in public. They don't speak up at meetings and outline every issue they see with the business. Instead, they walk about the company, talking in secret, spreading doubt and suffocating passion. Sometimes it's just the way things are; if someone complained at one job, they'll probably complain at another. These people occasionally just don't mesh well. Not them, not their desire. While constructive criticism is beneficial, constant whining is harmful. Find these individuals, and change them.
• Work Hard, Play Hard
  • An ethic of work is necessary for obtaining the passion capital. For doing what you love, it is not difficult. We can determine which company in the global economy has a superior work ethic and which company is leading in productivity. Today's industries don't survive on a forty-hour work week. If people's efforts are appreciated and rewarded, a culture where everyone is capable of understanding that working long hours is occasionally essential will succeed.

References

Flippo, Edwin B. Personnel Management. London: Oxford Press, 1980.

Gynwal, Ram Prasad. Know Nepal. Kathmandu: Bhundipuran Prakashan, 2012.

Hamilton, Francis B. An Account of the Kingdom of Nepal. New Delhi: Manjushri Publishing House, 1971.

Heywood, Andrew. Politics. New York: Palgrave Macmillan, 2002.

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