On behalf of the company, the Office of the Director of Exporting and Trade is pleased to welcome you to our family. We hope that your stay with us would be fruitful and delightful.
The primary objective of this memo is to convey and explain to you, and to all personnel for this matter, the fundamentals of how labor forces affect international business. Our company sells products in various countries, and we are glad you are here to help communicate with our foreign outlets.
There are way lots of factors concerned in a business’s hiring assessments, but generally, labor decisions are complex and involve harmonizing cost and worth in a particular labor market. A labor market is a collection of existing potential employees with the needed abilities. We want to acquire labor at the most economical way possible, and at the same time maximize quality. Labor quality refers to outlooks, education, and abilities of existing employees. Larger provisions of labor, lesser need for labor, shortage of labor unions, and deficiency of government directives cut down the price of labor. On the other hand, aptitudes of education, innate intellect, and experience improve the value of labor. This value of labor is also dependent on labor quantity, which refers to the number of existing employees with the abilities necessary to meet the business needs.
The abundance, or scarcity, of any of the factors of labor stated above may influence international business. A country whose citizens have high levels of education is likely to generate exceptionally capable manpower for first-rate transportation system and high-quality roads services, thus increasing labor mobility. Labor mobility is the movement of people from one place to another to obtain jobs. Alternatively, labor unions, whose main function is to stand up for labor welfares without abusing the business’s owner, tend to enhance labor moral. This is especially true for minorities who live among a larger majority; so keep in mind not to identify, as to discriminate, people by race, religion or national origin.
For any inquiry, please feel free to approach any of our personnel. Thank you very much for putting your efforts with us.
Ball, McCulloch, Frantz, Geringer, & Minor. (2005). International Business. Columbus, OH: McGraw-Hill.