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Ivan Tri Bramantyo / 2012 1906 52

Influencing The Political Environment

Some believe that businesses should be involved in politics because their economics stake

in government decisions is great and they have a right to participate, just as do others in a

pliralistic political system. But others believe that businesses are too big,powerful, and selfish,

and that they wieldntoo much influences.

The arguments for and againts political involvement by business:

There are three political strategies: information (Businesses seek to provide government

policymakers with information to influence their actions), financial incentives (Businesses

provide incentives to influence government policymakers to act in a certain way), and

constituency-building (Businesses seek to gain from other affected organizations to better

influence government policymakers to act in a way that helps them). Some forms complement

strategies as needed, on an issue-by-issue basis, while other firms have a lng-term, ongoing

political strategy approach.

Some of the political actions tactics availavle for business include lobbying, direct

communications, expert witness testimony, political action committee controbutions, economic

leverage, advocacy advertising, public relaions, and trade assocation involvement, legal

challenges,and encouraging the involvement of the stakeholders.

Business are a major contributor to campaigns, although the US government and other

countries have limited kinds and amounts of contributions.

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The differing national rules and practices foverning political activitu make businesss

political involvement complex in the global environment. Manu governments, like the US, are

trying to restrict political contributions or make campaign financing more transparent.

Antitrust, Mergers, and Competitions Policy

The worlds largest corporations are capable of wielding much influence because of the

central functions they perform in their respective societies and throughout the world. Corporate

power is legitimate when used to affirm broad public purposes, but mau also be abused.

10 largest company:

Economic power is evident when compare largest corporations annual sales revenue with

countries whose GPD (gross domestic product) is at same level. The dilemma of corporate power

concerns how business uses its influence, not whether it should have power in the first place

The objectives of antitrust and competition laws in all countries are to protect consumers,

small businesses, and others from unfair, anticompetitve practices. Antritrust law is Laws that

prohibit unfair, anti-competitive practices by business. Term derives from trust, the old-

fashioned word for groups of companies that joined together to divide up markets and limit

competition.

Courts and regulators have generally maintaned that monopoly does not in itself consitute

a violation of antitrust laws, what is important is whether a company has competed unfairly.

Other key issues include how to use antitrust policy to foster innovation and national

competitiveness.

The key causes of mergers and acquisitions in recent yers were technological change,

globalization,shifts in the regulation environment, and increases in stock valuations. Some

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believed that mergers were good for stockhorders, while others expressed concern about the

long-run effects such mergers would have on stakeholders.

Many countries have adopted or are adopting competition policies, and efforts are under

way to better harmonize these policies across national borders.

Technology: A Global Economic and Social Force

Technological change, which tends to be self-reinforcing,has widespread effects

throughtout business and society.some of these effects are beneficial, and some are not.

Technological growth is fueled by economic expansion, worker productivity, and research and

development investment.

e-commerce, or online business, has changed how business offer, sell,and accont for their

goodsand services in the global marketplaceand their interactions wth their stakeholders,

individualare investing and buying goods and services online at an astonishing rate.

Technology superpowers have built an infrastructure fot the information socuety, enabling

people and business aroung the world to communicate the conduct business with each other,

spawning the system of e-commerce.

Technology has exponetially increased our ability to communicate with others aroung the

world through electronic mail, blogs, and vlogs. Accompanying these innovations are significan

threats to our privacy and safety.

Technological innovations in m-commerce, education, and medical information enhance

the lives of people throughout the world.

Differences in age, income, and ethnicitu or nationalitu appear to be associated with a

digital devide.recently, collaborative initiatives by business, government, and nonprofit

organizations addressing internet access aroung the world appear tohave somewhat narroed this

digital devide.

Permanent and temporary employees, vendors, contractors, suppliers, exemployees, and

other types of insiders are among those who are most capable of exploiting organizational

assets at greatest expense to U.S. interests. Due to their knowledge of the public agencies and

private companies that employ them, their familiarity with computer systems that contain

classified and proprietary information, and their awareness of the value of protected information

in the global market, insiders constitute a significant area of vulnerability for national security.