individual essay lê nguyễn danh cơ AEN T122WSB 6 21000516

WESTERN SYDNEY UNIVERSITY
Individual essay – Common problems that businesses often face
LÊ NGUYỄN DANH CƠ
AEN-T122WSB-6


SCHOOL OF

ASSIGNMENT COVER SHEET
STUDENT DETAILS
Student
name:
Lê Nguyễn Danh Cơ

Student ID
number:

21000516

UNIT AND TUTORIAL DETAILS
Unit name:

Academic English

Tutorial group: Academic English
Lecturer or Tutor
name:
Gabriel Ryan

Unit
number:

Tutorial day and
time:

AEN-T122WSB-6
Monday 12:00 –
15:15
Thursday 8:00 –
11:15

ASSIGNMENT DETAILS
Title:
Individual essay – Common problems that businesses often face
Length
Due
Date
:
1200-1500
date:
11/4/2022
submitted:
11/4/2022
Home campus (where you are
enrolled):
Western Sydney University Vietnam
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student’s work or from any other source except where due acknowledgement is made in the
assignment.

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I hereby certify that no part of this assignment or product has been submitted by me in
another (previous or current) assessment, except where appropriately referenced, and
with prior permission from the Lecturer / Tutor / Unit Coordinator for this unit.

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I am aware that this work will be reproduced and submitted to plagiarism detection software
programs for the purpose of detecting possible plagiarism (which may retain a copy on
its database for future plagiarism checking).

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signature:

Danh Cơ

Note: An examiner or lecturer / tutor has the right to not mark this assignment if the above
declaration has not been signed.

ARO 00380 08/15

These days, economics plays an important role in the development of almost all countries. It is a
stepping stone to raise the value and quality of other areas, especially business. However, although
economics is considered a key strength, its disadvantages still exist and this always makes
enterprises find an appropriate solution.
First and foremost, maintaining reputation is a common reason that many businesses often face. In
general, reputation refers to people's shared thoughts or opinions about something. It might be a
film, a picture, or the current state of affairs. Developing a positive reputation takes time and work,
and might take months or even years. On the other side, a company's reputation can be destroyed in
a moment, and it takes a long time to recover (Kiely, 2022). The consulting industry is built on a
foundation of trust between professionals and clients. When a client has never worked with a
certain firm before, the company's strong reputation can serve as an alternative for prior firsthand
experience. A negative reputation, on the other hand, will be a significant impediment to a
consulting firm's long-term market success. As a result, establishing and maintaining a positive
reputation is critical for consulting firms. Nonetheless, reputation is a hazy concept that needs the
use of a measurement tool to pinpoint a company's current position. For instance, Mahmudah
(2021) shows that the mining sector, particularly coal mining, has long been notorious for its severe
environmental impact. The adoption of good mining facts by a number of mining industries appears
to have not affect this viewpoint. The poor public perception of this industry has a tremendous
impact on its reputation. It will affect one's reputation and ability to secure a social license to
operate. Most enterprises develop their brand by turning it into a campaign. The way, what, where,
when, and to whom owners aim to communicate and deliver their brand messaging is known as
brand strategy. The location of advertisements is an element of the brand strategy. Their brand
strategy also includes their distribution channels. People's visual and vocal communications are


also a portion of their brand strategy (Williams, 2019). Williams (2019) also states that brand
equity's additional worth is typically expressed in terms of perceived quality or emotional

attachment. Take Nike for an example, associates its products with famous athletes in the hopes that
customers will transfer their emotional connection to the product from the athlete. For Nike, it's not
just about the attributes of the sneaker. One of the most valuable outcomes of performing
appropriately and doing the appropriate things in the corporate realm is a good reputation. With
business reputation becoming acknowledged as a critical competitive asset, some academics have
compiled a list of prospective and experimentally demonstrated benefits, including increased
financial earnings, more involved consumers, motivated staff, and better workplaces (Chun et al.,
2019).
Another difficult problem that businesses often cope with is financial management. Financial
troubles of businesses are becoming increasingly common in today's highly competitive living
environment. Market contributors start to do an in-depth study into the prediction of business
troubles while keeping an eye on the financial status of businesses. Azhou (2021) says that financial
distress theory is an important component of current capital structure theory since it is the core
research topic of enterprise financial management. In the life of a firm, a lack of sufficient liquidity
to satisfy current commitments as they become due frequently causes problems, which, as often as
not, culminating in the company's failure. Poor financial planning is a common cause of small
failed business ventures at various phases of the business's life cycle. Undercapitalization is one
planning flaw that leads to early failure. Several errors made during the early phases of finance
planning and implementation result in undercapitalization. Cash flow issues are a prevalent
indicator of this problem in enterprises. For example, Botswana found diamonds and this led to a
middle-income developing nation in 1966 though this country was one of the poorest countries in
the world. Nevertheless, economic diversification, job creation, income production, and poverty
alleviation are still issues in the country. The development of innovation and entrepreneurial


development has been the primary technique for achieving these objectives. Small company failure
is expanding at an alarming rate, despite strenuous attempts to foster the growth of small and
medium businesses (Temtime and Pansiri, 2006). A common method that businesses use to turn
around capital is to maintain a capital cushion. Maintaining money in a bank to assist the company
in managing the peaks and troughs of cash flow periods. These funds are frequently raised through

an equity offering or long-term venture loan. Financing costs tend to rise in tandem with company
growth, necessitating a larger cash buffer.
Finally, uncertainty about the future is also seen as a concern for businesses. This means force
majeure events in the near future and when they explode, they will affect almost all fields,
especially the economy. These situations often bring serious risks or worse, there are no plans to
prevent them. Obviously, some future variants may be at least partially resistant to vaccines, and
the world may be forced to accept COVID-19 as an endemic disease as a fact of life. But in the
meantime, with the Omicron variant still spreading and health systems once again overwhelmed,
many countries have tightened restrictions on travel and public gatherings, even to the level of reimposition of blockade measures. Other variations may have a similar effect. This means that
reopening the economy continues to be an intermittent process. On the other hand, López (2018)
reports that another body of research looks into the political and economic processes at play.
Connected cycles, on the other hand, come from endogenous economic shocks impacting political
leadership or political economy shocks created by partisan politicians seeking to boost their
chances of reelection. The world is currently dealing with a dramatic surge in energy costs and a
contracting commodity market in general, contributing to the global supply disruptions created by
COVID-19. Inflation expectations are rising in the medium and long run. The bond market, as well
as voters, are clamoring for action. A rate increase is unavoidable (Tooze, 2022). Recently, the hot
topic of discussion that is regularly updated is the war conflict between Russia and Ukraine. EIU
(2022) provides that The confrontation involving Russia and Ukraine will have three major


consequences for the global economy: financial sanctions, commodity price volatility, and supplychain disruptions. The accompanying analysis includes projections for each of these regions as well
as a summary of the current EIU perspectives on the impact of the Ukrainian conflict on global
inflation expectations. Global inflation will be fueled by higher commodity prices this year and
potentially in 2023. The EIU had predicted worldwide inflation of roughly 6% in the year, but
given the massive rises in commodity prices, that figure is now projected to be exceeded. The
beneficial impact of higher commodity prices for manufacturers will be negated by rising inflation
(EIU, 2022).
The common problems that enterprises often face above have existed for a long time. They
require innovation and creativity from investors in order to stand their business in the market.

Although there are difficulties, but thanks to technological advancements, the issues are minimized
in order to achieve the highest efficiency.


REFERENCES
Kiely, T., 2022. Business Reputation Management: Maintain a Good Reputation. [online]
Meltwater. Available at: < [Accessed 11 April 2022].
Chun, R., Argandoña, A., Choirat, C., & Siegel, D. S. (2019). Corporate reputation: Being good and
looking good. Business & Society, 58(6), 1132–1142.
/>Temtime, J., & Pansiri, Z. T. (n.d.). Proactive marketing and financial management for small
and ... Retrieved April 11, 2022, from
/>López, E. R. (n.d.). Power in economics: Growth, inequality and ... - uchile.cl. Retrieved April 11,
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/>f
Global economic implications of the russia-ukraine war. Economist Intelligence Unit. (2022,
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Williams, J. (2018, March 7). Business - the basics of branding. Entrepreneur. Retrieved April 11,
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role of PR

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/>SSO=1
Tooze, A. (2022, April 5). Ukraine's war has already changed the world's economy. Foreign Policy.
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