Business Communication Analysis 2022

Running Head: BUSINESS COMMUNICATION
Business Communication
Student’s Name
University Name
Author’s Note

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BUSINESS COMMUNICATION
Reference 1: Hirsch, B & Link, A. (2019). Labor Union Effects On Innovative Activity.
Gsu.edu. retrieved on 9th August 2019. Retrieved from
http://www2.gsu.edu/~ecobth/PaperReprints/Union_InnovativeActivity.pdf
Analysis
Rent seeking activities of the unions are generally considered as tax on the return on investment
of the firms in terms of innovative activity. This proposition has been justified in this article
deriving from the responses of organizational survey regarding product innovation. The analytic
model implied in this research study helped the researchers to conclude that innovation activities
are rationally not so important for the unions, compared to the non-union firms of same kind. A
range of research studies have been analyzed in this paper in order to reach a conclusion that
imposition of labor unions on the firm affects the profitability of the business. Hence, observing
the calculative analysis of the survey responses in this paper, it can be commented that the
conclusion derived in the paper in justified. Indeed, Abowd and Farber (1990) speaks that
profitability of industries is significantly impacted as an outcome of unionism in companies. The
multi-dimensional aspects that have been considered in order to establish the impact of unions on
industries are vast and truly justify the depth of the research.
Reference 2: Radcliffe, B. (2019). Unions: Do They Help or Hurt Workers?
Investopedia.com. Retrieved on 9th August 2019. Retrieved from
https://www.investopedia.com/articles/economics/09/unions-workers.asp
Analysis
One of the eminent management bloggers, Radcliffe, argues in this article that there are
differences in the approaches of the employers and the workers towards employment. However,

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the author argues that it is the unions who play the buffering role of establishing worker-
employee dialogues for many years. The primary argument of the author in this article is based
on the two main tools by means of which the unions affect the employer-owner relations. By
restricting the supply of labors and thereby enhancing the labor demand, the unions demand
compensation for the workers and that is the reason why they emphasize on several essential
organizational factors. The unions have unique legal positions by means of which they are able
to push for wage increases as well as enhance the productivity of workers. However, it has been
evidenced more than once in this article that unions, on most instances, are leaned on exercising
their authority on the organization. The mostly used means in this regard are the collective
bargaining, which is successful at times. However, Bivens et al. (2017), is of the opinion that at
times, it dampens productivity also. For evidence, The National Mineworkers Union in UK
organized a strike with compensation related demands. However, after one year when the union
was notable to gather the concessions that they were demanding, the strike was called off. This
was an acute example where the union activities reduced the production capability.
Reference 3: Nipun, S. Trade Unions and Increasing Wages for the Workers | Economics.
(Online). Retrieved on 9th August 2019. Retrieved from
http://www.economicsdiscussion.net/trade-unions/trade-unions-and-increasing-wages-for-
the-workers-economics/25804
Analysis
While, the previous article sheds light on the aspects related to unions and the impact that
they have on organizational output, this article by eminent economist Nipun, S argues that most
of the strongest union are primarily leaned on the acquisition of market power and control over

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the workforce rather than adopting the best practices for protection of the best interests of their
members. However, the greatest impact of this article is created by the comparative analysis
between the two instances where the labor is hired competitively or monopolistically. In a
market Monopsony, there are wage standards that are needed to be achieved by the employers
(Burks, 2019). Nevertheless, the author argues in this case that the unions are not able to help
those workers who are willing to perform at lower wages. In a bilateral monopoly, the wages will
be determined on the basis of a competitive set of skills.
Reference 4: Abowd, J.M. & Farber, H.S. (1990). Product Market Competition, Union
Organizing Activity, and Employer Resistence. The National Bureau of Economic Research.
Retrieved on: 9th August 2019. (DOI): 10.3386/w3353
Analysis
Eminent scholars of the NBER estimates the optimal extent of the unions in terms of
organizing activity that is needed for impacting the decision of the employers concerning the
resistance to the union activities that comes from the end of the employers. This article bases the
argument over the same exogenous variable that is the amount of quasi-rents per worker that is
supposed to be split among the union and the employer. However, analyzing the quasi rent
structuring of the industries for the time span of 1955 to 1986, when most of the industries
started to take shape, it can be communicated that employer resistance to union can be
unionization is having a positive impact on the in context to the quasi rents per worker (Hirsch
and Link, 2019). The utility of the article is that by making an analysis based on raw data, the
scholars are trying to make the outcomes quite evident before the eyes of the readers. This article
and the conclusions achieved here are an important source of insight regarding the resisting