To: All new interns
From: Renee’ Martin
CC: Director of Exporting and Trade
Re: The basics of how labor forces influence international business
This memo is in reference to certain labor influences that influence international business and how to be prepared to deal with the labor issues that contribute to the success or failure of a business. For instance, labor quality, quantity, labor mobility, minorities, the labor market and labor unions all have an influence on international business.
The labor quality refers to the attitudes, education, and skills of potential employees which widely vary from country to country and region to region. Labor quality seems to suffer in developing and poverty stricken areas due to a lack of education and globalization. Labor quantity is another important aspect of international business that can have either a positive or negative influence. Labor quantity refers to the number of available potential employees who posses the skills necessary to be productive and efficient employees. If a county has a large number of well educated and qualified employees the company benefits because it can hire qualified employees for lower wages. If the number of qualified employees is limited companies are forced to pay higher wages in order to employee quality employees.
Labor mobility also has an affect on labor quality and quantity as it refers to educated and skilled workers relocating from one country to another seeking employment in a thriving economy. It is fact that many people often resort to relocating to ensure both job and financial security for many decades. For example I recently read a story about a married first generation Chinese American couple who quit there six figure jobs to pursue opening an American franchise in China where they are experiencing an economic boom.
Minorities have influence over international business especially in a traditional society. Although, minorities offer many benefits... [continues]
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(2008, 10). The Basics of How Labor Forces Influence International Business. StudyMode.com. Retrieved 10, 2008, from http://www.studymode.com/essays/Basics-Labor-Forces-Influence-International-Business-169298.html
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