Answer to Question #278112 in Management for nik

Question

 The case study suggests that the environment in which employment relations that existed in the two countries is capitalist. Compare the two capitalist types mentioned in the case study by listing their features before discussing their similarities, differences, advantages and disadvantages to the employers (5 marks).

Answer 1

Capitalism is commonly conceived as a financial framework in which individuals possess and regulate assets according to their preferences, and need and supply voluntarily establish market costs in ways that benefit culture. The desire to make again is a fundamental element of capitalism.

FEATURES

1. Private Property and Freedom of ownership:The institution of personal privilege is continuously present in a capitalist system. An individual can amass wealth and utilize it as he sees fit.2. Right of Private Property:

An essential feature of capitalism is private property and the system of inheritance.

                               ADVANTAGES

1. Production According to the Needs and Wishes of Consumers:Consumer demands and desires are at the forefront of suppliers' attention in a complimentary sector society.2. Higher Rate of Capital Formation and More Economic Growth:

People who live in a capitalist society have the right to own stuff and convey it to their heirs and posterity.

DISADVANTAGES

1. Inequality of Distribution of Wealth and Income:The private ownership system serves to amplify economic disparities between social segments.2. Class Struggle as Inevitable in Capitalist Economy:

Some critiques of capitalism believe that in a capitalist system, revolution is unavoidable.