Business Impact on Poverty & Homelessness: An In-depth Analysis

This essay examines the multifaceted effects of business development and expansion on poverty and homelessness. It discusses how businesses contribute to poverty eradication through job creation and enhanced living standards, supported by CSR initiatives. However, it also addresses concerns a...Read More

Running head: POVERTY, HOMELESSNESS AND THE ROLE OF BUSINESS
POVERTY, HOMELESSNESS AND THE ROLE OF BUSINESS
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1POVERTY, HOMELESSNESS AND THE ROLE OF BUSINESS
Poverty, homelessness and the role of business
Introduction
The emergence of businesses has helped in enhancing the living conditions of the people
living in the regions. Businesses play an important role in creating employment for the people
living in the diverse parts of the territories. Del Baldo (2014) stated that the changes in the
lifestyle is often noted through the growth of multinationals through the expansion of the scopes
of employment and empowerment of the society. The different CSR based activities that are
undertaken by the businesses helps in uplifting the culture and the lifestyle of the people. On the
other hand, Jenkins (2013) stated that the emergence of multinationals has created a situation of
pressurizing the natural resources that are available in the region thereby prioritizing the
profitability of the same over the enhancement in the lifestyle of the people. Gilder (2012) has
agreed to the research by stating that the emerging multinationals have induced the capitalistic
value which has affected the balance in the society. However, Haidar (2012) argued that the
positive change that is brought about by the organizations and businesses cannot be negated
which is portrayed through the GDP of the nations and their enhanced employability rates. The
purpose of undertaking the discussion is to study the different effects of the advancements and
expansion of business on poverty and homelessness.
Effects on poverty
The developments that are undertaken by the business enterprises have helped in
eradicating poverty and insecurity of the people living in the diverse regions. “For sustainability
enhancing innovations in developing countries, poverty presents unique challenges.” (Khavul &
Bruton, 2013). Khavul and Bruton (2013) also stated that the proper functioning of the

2POVERTY, HOMELESSNESS AND THE ROLE OF BUSINESS
businesses has helped in enhancing the employment rates in the different regions based on the
availability of skills. The employment that is created by the businesses has helped in enhancing
the lifestyle of the people. The development of the businesses has helped in enhancing the social
lifestyle of the people living in the regions. Muthuri, Moon and Idemudia (2012) stated that the
advancement of the US and China is based specifically on the heavy industrialization of the
different sectors which has helped in enhancing the scopes of employment in the regions. On the
other hand, Kaplinsky (2013) stated that the pressure that is created by the businesses on the
availability of the natural resources of the region has affected the livelihood of the people. “…
implications of both for sustainable community development and poverty alleviation in
developing countries.” (Muthuri, Moon & Idemudia, 2012)
“..a robust support for the claim that business regulatory reforms are good for economic
growth” (Haidar, 2012). Again, Haidar (2012) argued that the concentration of capital in the
hands of few entrepreneurs might take a negative turn into a monopolistic market structure with
heightened prices. The capitalistic approach thereby creates a negative scope of growth for the
commoners of the nation. However, Hopkins (2012) stated that the positive side of
industrialization is based on the higher proficiency and enhancements in the scopes of
employment which will be helping to enhance the standard of living of the people living in the
nation. Jenkins (2013) supported by stating that the expansion of the businesses will be helping
to enhance and stabilize the national economic position which will be helping to modify the
state of interests of the commoners. Therefore, it may be stated that businesses has both positive
and negative impressions on the poverty index of the nations based on the study of the different
circumstances.

3POVERTY, HOMELESSNESS AND THE ROLE OF BUSINESS
Effects on homelessness
The expansion of businesses will be helping to enhance the lifestyle of the people living
in the nation. “the conceptualisation and the developmental outcomes of several initiatives
engaged in ‘bottom billion capitalism’.” (Blowfield & Dolan, 2014). Blowfield and Dolan
(2014) stated that the enhanced employment index will be facilitating the lifestyle of the people
and thereby prevent situations of homelessness. However, Karnani (2016) argued that the
expansion of the businesses has concentrated the national income within the reach of few while
the others are still deprived of the privilege of a profiled lifestyle. The common people are
affected through the expansion of the companies to a certain extent. It has helped in depicting the
actual scenario of a monopolistic market structure through the ascension of different
multinationals. Ansari, Munir and Gregg (2012) stated that the CSR (Corporate Social
Responsibility) activities that are designed by the organizations are specifically focused on the
empowerment of the local communities. “Individuals living in poverty remain a critical issue.
This special issue focuses on how entrepreneurship can help to solve such poverty. Rather than
viewing those in poverty as a market for goods, the solution lies in understanding how to help
those living in poverty create their own businesses.” (Bruton, Ketchen & Ireland, 2013). Bruton,
Ketchen and Ireland (2013) also stated that the expansion of the business firms has helped in
maintaining the different levels of change in the lifestyle of the people based on the enhancement
of the employability index of the nation. It has helped in enhancing the national income and
thereby brought in considerable changes in the lifestyle of the people.

4POVERTY, HOMELESSNESS AND THE ROLE OF BUSINESS
Conclusion
Therefore, from the above analysis it might be stated that the expansion of the businesses
and their growth has helped in enhancing the lifestyle of the people. However, there are certain
exemptions based on the paradoxes that were discussed during the analysis, which portrayed the
manner in which the capitalistic approach affects the wellbeing and the lifestyle of the people.
The identification of the different situations and the manner in which the expansion of the
businesses helps in enhancing the lifestyle of the people is being depicted as a part of the
analysis.

5POVERTY, HOMELESSNESS AND THE ROLE OF BUSINESS
References
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