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Monday, October 22, 2012

The Opportunities for Private Enterprise in Poland


Weakness at the organization comes from its diverse nature, and its inability to focus on any one area. In addition, the company has built its reputation by using outside contractors, and is only now building a staff of internal workers. While these workers are dedicated to the company because of its historic ties to Solidarity, they can make more money in other organizations better funded by Western sources, and there is a problem of perception as young workers try to work with more experienced businessmen in promoting their ideas.
Opportunities to the organization come from their existing business segments, and from the desire of Western organizations to enter the Polish market, which is perceived to be strong. As the government has taken on the challenge of rebuilding and converting an economy from one that is centrally planned to one that is dominated by free market principles, companies such as Doradca, which already has experience in the international market, should do well.
Doradca is not the only company to recognize this potential, however, and this is where the greatest threats come from. Other individuals, both within and outside of Poland, are likely to recognize that helping to open the economy can mean significant benefit in the future, with the result that there will be increased competition for scarce opportunities in the market.

Management at Doradca is not highly structured, and the company has operated in a bit of a vacuum since Bielecki left to become prime minister. The organization is divided into three business segments, each of which operates fairly independently, but each of which also competes for company resources. Those segments which are particularly successful, such as the trading segment, are regarded with both suspicion and envy by other groups, and members of the highly profitable trading segment may resent having to support the activities of the rest of the organization.
The most attractive alternative is to sell the least profitable segment (architecture). This would leave Doradca with a highly profitable business. Doradca then must concentrate on putting a training program into place so that its new recruits have an obvious career path and a way to financial success which counterbalances the political and personal rewards that individuals gain by working with the organization. The cooperative also needs to establish a strategic plan which will help it identify and achieve both short and long-term objectives.
Having a young staff can also be difficult for companies who do business with Doradca since there is an implicit distrust of the contribution which these young people can make. Unschooled in the international markets, these young employees may be eager to work with more experienced businessmen, but may not have the knowledge or skills required to make a success of the organization.

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