Paper Example on Financial Situation of the Business

Published: 2021-06-29
1924 words
7 pages
17 min to read
Harvey Mudd College
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A. Business Environment

The political climate of America has changed since Donald Trump took over power as the President. Despite the Native American Heritage Commission having been established by the government, and as such being owned by the state, financial support may be terminated or even reduced. This can be attributed to the views of Donald Trump towards immigrants, and in this, case Native Americans whom he suggested would leave the country once he rose to power. As such, the support of contributions made by the African Americas to influence the culture and history of the Americans may not be taken in a positive way. Additionally, the business operations may either be deterred or threatened in various ways. They may be attacked by not fully supporting the Americans or not being based on the history and culture of the White people. Another exploration of the financial situation of the business depicts that other donors who are affiliated with the government may also terminate their support. This may be undertaken as a result of the fear of being associated with an organization that has been rejected by the government that may further lead to their image being destroyed in the business world or industry as well.

B. Sustainability

The sustainability of the business depicts their capability to manage environmental, social and financial risks. It further entails the efficient organization of the opportunities and obligations. As a sustainable business, the Native American Heritage Commission should be in a position to create economic value and a strong community. Moreover, sustainability also implies employing various strategies. They involve building social equity and promoting a fair form of trade. The maximization of long-term profitability and promotion of growth is also another strategy that will be employed in the quest to becoming sustainable (Aras, & Crowther, 2012).

An analysis of the government action or even political challenge may present various problems to the sustainability of the business. It has been pointed out that the government may terminate or even reduce financial support to the business. The creation of economic value, which depicts the maximum amount that consumers will be willing to pay for products will be quite difficult for the business to fulfill or even attain. By the government not fully supporting the Native American Heritage Commission, a negative image may be portrayed to the customers and the country as well. Furthermore, the aspect of the Native American Heritage Commission creating a strong community will also be quite difficult based on the level of support that the government. The vision of the business is to enable people comprehend the histories, cultures and even matters that are of concern to the people of the Native American origin. In all these aspects, there will be the emergence of a strong community. However, lack of efficient government support will pose challenges to this particular element of the business being sustainable.

The ability of the business to manage social risks will depend on the level of financing they receive from the government and other donors as well. The presence of financial donors and in this case, the government offer significant support to customers of the business who will be in a position to identify the presence of social risks and come up with ways to mitigate them as well. This may such as the lack of inclusion of gender and diversity in their products and even available personnel. The health and safety of workers and even customers is also crucial to the Native American Culture Center. It may be necessary to have an individual ensuring that clients visiting the facility are safe from among form of harm.

C. Internal Resources

It is evident that the business, Native American Culture Center will suffer once the government reduces funding of their operations. However, the business is an attractive venture and is likely to attract a wide variety of customers. Being in a developed country, it has been pointed out that the industry is worth $10 billion and the trend is gradually rising. This is as a result of people in the developed countries having the time to visit such places and trace back their culture and heritage (NNCC Initiative, 2010). As such, this is a resource that has presented itself in that the Native American Culture Center can take advantage of the situation in the market and attract a lot of people.

On the other hand, the business also operates as a nonprofit social enterprise where they receive support from customers who visit facility. Nonetheless, this aspect depends on the number of clients who visit and as such cannot be relied on fully.

As such, it can be concluded that the business is not adequately organized to address the financial threat that they will face especially once the government withdraws their support. Additionally, the thought of seeking for financial support from other sources has not actually crossed the minds of the administrators of the company and as such, they require help in the financial perspective.

D. Communication

The business has not communicated the matter to various stakeholders. No public hearings have been held to converse the issue. Moreover, the social media channels have also not been employed yet they are one of the fastest means that can pass the information to various stakeholders in an efficient way and within the shortest time possible. At this juncture, it is relevant for the business to pass the issue to various parties who may come to their rescue concerning the matter in an effective manner.

E. Company Image

The threat being posed on the business as a result of the government withdrawing or even minimizing the level of support has led to a negative impact. It has depicted that the activities and even products being availed by Native American Culture Center are not efficient to the nation and as such, represented an undesirable image.

However, the positive aspect of this are the actions being undertaken to obtain a good image and even capture a significant share of the market. In this way, the business may even attract new investors who may recognize their efforts and contributions to the promotion of heritage and culture. The business has been observed to conduct a governmental action by establishing a community presence. Native American Culture Center has vowed to continue with the development of their presence in the local and Native community events. In this way, they will not only capture the attention of the Native Americans but of the other races who are primarily interested in their unique products and activities.

The holding of community cultural events on the hand is another positive aspect that is bound to attract the parents of young children who would like their children to undertake the activities being offered. These are such as attending the storybook workshops and basket weaving classes. Capturing the attention of the public is vital and in particular through showing good deeds and offering activities that can be enjoyed by various people. The public may come to develop a form of mercy for the firm and thus change any kind of negative perception that they may have developed as a result of the government action. As such, the image of the business can always be rebuilt through engaging with the community and presenting ideas that are worthwhile to them as well. Activities that involve children are bound to capture the attention of a wide variety of people in the community thus improving their image.

F. Response

The business has various options that it can undertake in response to the issue. The government reducing or even withdrawing support has been perceived to lead to the negative performance of the business. With the current macroeconomic situation, Native American Culture Center can lower the price levels of their products. This may be done for a period just as a promotional stance after which it will be adjusted back to normal. In this perspective, the business has been observed to undertake a pricing strategy where they will retail items for at least two times the price of the wholesale.

In the current business environment, Native American Culture Center can focus on the demography and as such aim at increasing their popularity in regions mostly inhabited by Native Americans. Once they have captured this part of the market, they can then advance to other races that may be interested in learning about their culture and heritage as well. Culturally, Native American Culture Center can ensure they are diverse concerning their products. They should not only venture on products that are affiliated with the culture of the African Americans but should include the other origins as well. The inclusion of various races and incorporation of their cultures in the products released in the market will result in a high level of interest among various individuals thus enable the business obtain more investors and funding from other organizations as well.

Legally, the business should ensure that they abide by all the set rules and regulations. Being a business that is affiliated with Native Americans, the government is likely to be keen on their activities and other elements of their operations. It may thus be quite easy for them to be spotted with irregularities in their activities. However, by operating effectively and ensuring that all the rules and regulation concerning operating a business have been fulfilled, Native American Culture Center will develop a good image not only to the public but relevant government authorities as well. In this way, they may even draw key investors and obtain financial donors as well.

G. Impact

Financially, the sale of products at lower prices may result in low incomes for the business. However, it may result in more units retailed as compared to if they were being sold at the initial price. However, this is a short-term effect on the business. On the other hand, they will gain more customers, hence a long-term impact. Additionally, most of these clients will be retained especially since the business offers quite attractive products. Gaining their loyalty will also be achieved by the business which is another long-term impact. The loyalty of customers will further be obtained as a result of the business incorporating their culture in the products. This will be attained to a higher extent when Native American Culture Center extends its popularity to other races of the population.

On the other hand, by operating the business in the right legal manner, the business may even end up changing the opinion of the government concerning them and their activities. As such, their funding may even be increasing. Moreover, additional benefits may also be advanced to the business. This may be in form of being recognized and given special attention in cultural events and other forums that welcome the display of cultural heritage.

It is also significant to note that operating within the set rules and regulations is an ethical aspect by the business. As such, it will boost their image in the business world as among those that are acting within the set code of conducts. In addition, the business will also depict ethics when they involve the various races in their operations. In the end, these acts will keep them on the right side of the law thus saving them funds that may be spent in case law suits are filed against them as a result of functioning in manners that are not considered right.

H. External Resources

In the external perspective, various stakeholders may be involved to ensure that the business does not terminate their operations as a result of lack of the essentia...

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