Dynamic Environment of Business

Much of the ado over business and its stakeholders arises from the fact that global
corporations today are seen not only as vehicles of economic growth but also as
movers of social development. It is being increasingly realized that
governments alone cannot take on the challenges of development. For a
corporation to grow in the global market it has to be recognized as a global
citizen. The recognition of being a global citizen comes from its participation
in community building. It makes business sense to integrate the interests of
the local population, government and other groups in mainstream business
decision making. Businesses today face several major challenges. They are
increasingly facing a rise in public expectations partly because of the decline
of the state and partly because of the erosion of a common framework for
dialogue between businesses, which are global, and communities that remain
local.  They also face a challenge through the new individualism which is already impacted on the state and on political
institutions and this new individualism impacts on firms and their market
environment in a series of ways. This affects product markets because it
impacts on consumer demand as individual values and ethical consideration are
given market expression.

As markets and businesses have gone global, so has the recognition that viable and
long-term business growth can no longer be separated from the well-being of
societies abroad and from the way in which we deal with problems and challenge
that transcend national boundaries. Staying aloof is no longer a choice we can
afford. Building a culture of responsibility and becoming more actively engaged
in finding solutions to broader societal challenges is one way forward.