Business Society and Planets for Investment - myassignmenthelp

Question: Discuss about theBusiness Society and Planets for Investment Capital. Answer: Introduction: Capital is a part of the basic factors of production along with other factor like labor. It is one of the accumulated assets of any business organization that is being used to generate other assets or business incomes. The word capital includes any kind of goods that is being created by human being and can be used for producing goods and services. Capital includes physical assets like production and plants and financial assets like investment capital or investment portfolio. There are types of capital as well such as knowledge, skills, abilities and others. I have provided a detailed study of the said topic in this assignment. Various forms of the capital is being mentioned here by me and their uses and sources of generation are also included. Business Capitals: I understand that business capital means the financial assets, which are an essential need for business and for the production of goods and services. It is the base of a business, for the reason of maintaining its operations. However, capital doesnt signify financial capital every time. Other forms of capital are like Human capital, Natural capital, Financial capital, Manufactured capital, Intellectual capital and Social and Relational capital. I am explaining the forms of capital below: Human capital: Most of the technologically advanced companies of the world depends on human capital. Labors or employees are, in any case, the most important and integrated asset of business houses which also provides with opportunities (Prpi? et al., 2015). There are costs incurred in employee turnovers, re-trainings and appointments of new employees .Further, there exists damage to the productivity of a company that is being caused by such turnovers and the damages are well documented. Introducing the use of knowledge management and control of employees intellectual power are the next logical steps regarding human capital management (Dees, 2017). Employee productivity can be increased through increased cross training sessions, employee certifications and knowledge enhancement and also work stability can be quantified as a measure of increased productivity and efficiency. Natural capital: Natural capital can be said as an asset for mining industry or extractive industry such as oil refinery. However, with an in depth analysis, it can be said that the asset class is useful for any kind of industry which links natural capital to another important aspect that is sustainability (Dyllick Muff, 2016). Financial: It is the most familiar and popularly known capital form (Hair et al., 2015). However, finance professional can expand their idea of implication of regulatory changes like BASEL III and also changes in lease accounting process for example changes in analysis and interpretation of market data, the tools used to perform such activities and thus, providing number of opportunities for professional growth. Manufactured capital: The assets include physical distribution network and products and services of the company and the way through which these goods and services are being delivered to the customers. It is often implicit in managerial decision making process and financial analysis process that the said capital is an important part of managerial success. In additional to the internal uses of these assets, proper analysis of the cost of such capital and investment return is critical for any organization (Serrat, 2017). Intellectual capital: Intellectual capital refers to the intangible assets which include trademarks, patents and brand equities and these are measured in terms of tens of dollars. There has been much debate regarding the importance and worth of this kind of assets. Leveraging this kind of assets through licensing and agreements, brand extensions, line extensions and agreements provides the organization with an opportunity to increase its value (Adams, 2015). In addition to this, the ideas and the capitals developed by intellectual capital and other intangible assets helps decision makers to gain valuable insight regarding existing operation of the company the future projects. Social and relational capital: As in the cases of organizations, as like brand equities constitutes an increasing part of the total assets, a good rapport or a productive relationship with stake holders has continued to grow in importance exponentially (Cohen Kietzmann, 2014). Social media has taken the world by storm since the introduction of social networking status like face book, twitter and LinkedIn. This has emerged to be a social capital as being the connecting media with anyone and everyone. A less talked about angle regarding social assets is the development and nurturing of relationships with universities, with the think tanks, and the other sources of intellectual capitals (Anheier, 2014). Boeing, Microsoft and other organizations are among the important members who are in the process of building such relational ships and growing power pipelines. Conclusion: I can conclude here that apart from the monitory side, there are other forms of capitals as well. The others forms are like human capital, social capital, nature capital, intellectual capital, manufactured capital, financial capital and other forms. The social capital include the social media platforms and a good rapport with the stake holders, intellectual capital include hiring intellectual people who will be able to deal with critical situations intellectually. The manufactured capital include good and services that is being manufactured by the company. Financial capital implies the financial source of a company and the human capitals refers to the stakeholder of company people or employees. They can be generated as well through various sources and used in various sources efficiently. They have manifold uses. Reflection: I have understood from the whole discussion that there are various forms of capital and there are diversified uses of each of the asset forms. The forms and the uses can be described here. The human capital asset can be used in each and every layer of an organization. Starting from the intellectual labor to factory labor, technologies are never completely successful in replacing human labor. Human capital can be used in managerial decisions, in product making process, delivery of products and in organizational behavior. The Natural Capital is related to sustainability. Sustainability implies the construction of nature friendly buildings and searching for alternative energy facilities and the use of such practices into organizational supply chain can make an advantage for the organization, which provides the business and financial professional with new brainstorming paths. Therefore, I can predict that the asset can be used to create sustainability. The sector needs some investment an d evaluation of this investment return is a crucial management decision. Financial capital can be used in investment for new projects and to invite new projects for any organization. Analysis and interpretation of market data is an area of investment as well for gaining important business insights. They can also be used in maintenances purposes that is factory maintenance, office facility maintenance and in employee reward and recognition that helps in motivating the employees. Again, manufactured capital can be used for efficient delivery of products and services. The source can also be used for importing raw material more efficiently. Intellectual asset can be used in increasing market values, shares values and making proper investment plans and for managerial decisions. This is the base of any organization and business. Lastly, I can say that building a rapport with the targeted customers is a business need for their awareness of business products and this can make them purchase. Again, maintaining a relationship with the stake holders can make the organization work easily. These areas can be catered through social media and regular meetings. Maintaining a good relationship with think tanks is also an important use of it. References: Adams, C. A. (2015). The international integrated reporting council: a call to action.Critical Perspectives on Accounting,27, 23-28. Anheier, H. K. (2014).Nonprofit organizations: Theory, management, policy. Routledge. Cohen, B., Kietzmann, J. (2014). Ride on! Mobility business models for the sharing economy.Organization Environment,27(3), 279-296. Dees, J. G. (2017). 1 The Meaning of Social Entrepreneurship. InCase Studies in Social Entrepreneurship and Sustainability(pp. 34-42). Routledge. Dyllick, T., Muff, K. (2016). Clarifying the meaning of sustainable business: Introducing a typology from business-as-usual to true business sustainability.Organization Environment,29(2), 156-174. Hair Jr, J. F., Wolfinbarger, M., Money, A. H., Samouel, P., Page, M. J. (2015).Essentials of business research methods. Routledge. Prpi?, J., Shukla, P. P., Kietzmann, J. H., McCarthy, I. P. (2015). How to work a crowd: Developing crowd capital through crowdsourcing.Business Horizons,58(1), 77-85. Serrat, O. (2017). Social network analysis. InKnowledge solutions(pp. 39-43). Springer, Singapore.