Question

In: Economics

.1) Let’s assume that you want to open one of the following new businesses. What form...

.1) Let’s assume that you want to open one of the following new businesses. What form of business ownership would you choose for each? Justify your answer and explain why you’ve chosen the particular business ownership form for each business below:

a) A Specialty coffee truck.

b) A planning service for business events such as the release of new products or employee gatherings.

c) A Marketing consulting firm.

d) Online service that aggregates and compares the price of grocery items in the UAE.

Q.2) Imagin that Noon and Namshi were to merge together. Clearly explain what kind of merger would this be and why? What do you think would lead to such merger? How do you think this merger would affect the top three stakeholders (Customers, Employees, Investors)? What benefits would the merger provide to both companies (name 1)? What new challenges do you think the merger would create for the two companies (name 1)?

Q.3) What is meant by SWOT analysis and when is it used? Conduct a SWOT analysis for AUS. You need to write 2 items for each 2(S), 2(W), 2(O), 2(T). Use examples in your answer.

Q.4) Q.4) One of the drivers of organizational change can be led by changes to the economic environment. With the recent economic changes that are caused primarily by the Covid-19, what changes do see happening in organizations in relation to “Centralization/Decentralization”. Please justify your answer and use examples.

Solutions

Expert Solution

a) Sole proprietorship.

The coffee shop can be started on the individuals own terms .Setting the truck in the individual's own terms gives the individual best chance of success.

b) Event planning falls under service sector.It is Partnership.

Events like release of new products requires identifying the target audience,planning the event,decoration etc .Event management is very stressful as it involves host of activities . So partnership business form is appropriate.

c) Consulting firms-- Sole proprietoship or Partnership

It is a business of one or more experts that  delivers professional advice to organizations or individuals and charges fee for the same.

d) Partnership

Online service for grocery items is the most difficult start up business in UAE. The most important reason for being difficult is high cost of delivery as well as highly perishable inventory. So in General partnershipboth owners share their money , labor and responsibility.


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