Question

Briefly discuss the impact of Government policy changes on business and industry.

Answer 1

The impact of government policy changes made on business and industry are:

a. a. The new economic policy of liberalization, privatisation, and globalization, the level of competition among the industries increased. This competition was mainly observed in the telecommunication, insurance sector

b. b. The customers had a wide range of goods and services to choose from due to the increased competition. The improved quality of goods increased the demands.

c. c. With access to new technology, the goods and products began to be improved as well. The customers benefited from the improved quality of the products.

d. d. A skilled and trained human personal was required to cope up with the rapid changes in the economic environment. The human resources also began to be developed

e. e. The detailed study of customer's demand, as well as the market, became extremely important. The companies begin to analyze both of them and make the products according to the needs of the market. The production had become market-oriented.

f. f. The public sector had to depend on their own generated resources to be more efficient because now they received less budgetary support from the central government.

g. g. The new market conditions had been extremely dynamic, so the companies had to continuously modify their operations for their survival.