Analyzing Future Uncertainties' Negative Impact on Business (MGT502)

This report examines the negative impacts of future uncertainties on business operations. It argues that factors like financial instability, changing consumer preferences, and climate change significantly affect a company's revenue and sales. The report highlights various challenges faced by businesses, including resource scarcity, economic fluctuations, technological advancements, and shifts in social factors. It also emphasizes the impact of these uncertainties on profitability, efficiency, and reputation, supported by references to relevant academic literature. The analysis underscores the importance of understanding and mitigating these future uncertainties for sustainable business performance.

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“FUTURE UNCERTAINTIES OF BUSINESS”

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In the current year the business conduct their operations in highly competitive
environment, as business develop there are various factors which affect the revenue and sales of
the organization (Morikawa, 2016). Therefore, in the report the discussion is made on the
argument that Future uncertainties influence business negatively.
Due to growing of the business there are various variables through which company
contribute to marketplace but due to various challenges in the nation business also face
uncertainties such as lack of resources (Al‐Hadi, Chatterjee, Yaftian, Taylor, & Hasan, 2019).
There are various scenarios through which Australian companies suffered from which is from
various areas that is financial breakdown, changes in the preferences of the consumers, climate
changes etc (Dentchev, Rauter, Jóhannsdóttir, Snihur, Rosano, & Baumgartner, 2018). Further,
the authors also revealed that due to loop flow in the different business model the issue of
minimizing the capital investment is also increased in the business. There are various other
factors which are unpredictable such as economic factors, technology, shifts in the social factors
and technology. It is also revealed that procurement also become the major issue for business
(Tsui, Balli, & Tan, 2018). The articles revealed that financial problems, changes in the tax rate
and using traditional influence the companies in highly negative terms because through this it
cannot increase their profits, expand and perform efficiently. It also results in reducing the status
and reputation of the company among the consumers (Lacity, Khan, & Yan, 2017).
From the above, it is estimated that there are various future uncertainties under which the
companies conduct their business such as climate change, technological, economic factor etc.
This influences the profitability, sales and decreases the capability of the company to conduct
operations efficiently.

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References
Al‐Hadi, A., Chatterjee, B., Yaftian, A., Taylor, G., & Hasan, M. M. (2019). Corporate social
responsibility performance, financial distress and firm life cycle: evidence from
Australia. Accounting & Finance , 59 (2), 961-989.
Dentchev, N., Rauter, R., Jóhannsdóttir, L., Snihur, Y., Rosano, M., & Baumgartner, R. (2018).
mbracing the variety of sustainable business models: A prolific field of research and a
future research agenda. Journal of cleaner production , 194, 695-703.
Lacity, M. C., Khan, S. A., & Yan, A. (2017). Review of the empirical business services
sourcing literature: an update and future directions. In Outsourcing and offshoring
business services (pp. 499-651). Cham: Palgrave Macmillan.
Morikawa, M. (2016). Business uncertainty and investment: Evidence from Japanese companies.
Journal of Macroeconomics , 49, 224-236.
Tsui, W. H., Balli, F., & Tan, D. T. (2018). New Zealand business tourism: Exploring the impact
of economic policy uncertainties. Tourism Economics , 24 (4), 386-417.