Overcoming Business Uncertainty in the Competitive Contemporary Business

Introduction

Business uncertainty is defined as occasions in which various business are exposed to several risks which cannot either measured or foreseen (Wang, 2019). During these hard periods, it is quite hard for business to realize their performance due to continued unpredictable changing of events. In a competitive environment, business strives to expel its strengths. This because more business in the market will push those some in corner hence denying them an opportunity to prevail. In business environment, certainty lies on the well business certainty. However, natural disasters, market slumps, internationals crisis, pandemics such as Covid-19 among other potential disruptions are considered to be basis for the business constrains. 

It is crucial that business people have plans in their areas of operation in order to survive in these crises. The critical thinkers in business always view these risks as the business opportunities which they use to improve business position and also deal with competitive strength through uncertainty advantage (Wang, 2018). Looking on power inheritance to business uncertainty needs a willingness in order to embrace unorthodox approaches, extend your understanding for the risks factors that are mostly to compromise the operations and the supply chain, and grow a value focused, proactive strategies.  This research paper to respond to the issue of Overcoming Business Uncertainty in the Competitive Contemporary Business. Through the background study, problem study, and significance of study, this paper will analyze the issue of overcoming business uncertainty in the competitive contemporary business in order to enlighten entrepreneurs cope with such challenges.           

Background study 

Uncertainty is considered to be an important fact of the economic life. Households and business contend with the uncertainty in making decisions and forming plans (Sadegh et al., 2020). The nature of the uncertainties changes with time where sometimes are abruptly, and other times gradually, affecting the outlook of decision makers and even altering their choices. The recent studies conducted gives a vivid example; global financial disasters, terrorist attacks, 2016 Brexit referendum, banking and sovereign obligation crises, and the dramatic growth of trade regulations tensions under the Trump Administration (Sadegh et al., 2020). These examples of crisis require sound and flexible measures of uncertainty, so that understanding of better models and the relationship of perceived uncertainty in the economic outcomes, performance and decisions. 

The track of uncertainty that agents are perceived in their external and internal environments and the uncertainty they received about the future outcomes for the business. To maintain the rational expectations, standard approaches have to planned and form a stationary so that the past conditional volatility is able serve for interferences about the uncertainty over further outcomes. In addition, several prominent empirical substitutions for the uncertainty pertain distinct theoretical thoughts which are different in their statistical features Cacciolatti, et al., 2020). These observations give an opportunity for the measurement approach that directly gets at the uncertainty agents which are perceived without invoking assumptions about information, stationary, and rationality.       

Problem statement 

This research focuses to determine some of factors that cause business uncertainty and how they can be solved. For any business to thrive or ensure maximum performance all threats are to be eliminated and consultative discussion must be concurred. Business uncertainties are caused by several factors such as technological changes, inadequate desires of consumers, and policies and elimination of foreign obstacles. These factors sometimes look like opportunities in which business can engage and devise ways in which they can benefit from them banking and sovereign obligation crises. Every business manager needs to understand the art of predicting and following all importance aspects in the capacity building of the business, including changing economic climate, competitiveness, customers trend. This is because business uncertainty is all about the future and if you fail to recognize then failing will be experienced. By overcoming these uncertainties among the business will sanitize on the productive benefits. 

Study objectives 

The objectives of this research will investigate possible solutions for business uncertainty. Additionally, this paper will investigate how transparency has helped improve business status within the competitive environment. Good leaders should work with transparency since it helps them to learn their colleagues. In a scenario where a business is unable to finance its operation, it is the role of the manager to determine the possible cause of the problem and strive to find a solution of that problem. However, in a competitive market business has to utilize its available resources to ensure that it outshines the competitor. As such, transparency provides businesses with the strength to finance their operations. 

Another objective of this research paper is to establish how flexibility among the managers and business stakeholders help eliminate possible risks. Flexibility means making decisions in manner where all aspects are considered. This will allow someone to actually exercise the authority of consultation and therefore come up with impromptu decision. All key stakeholders are involved in general consultations and this ensures that maximum decision control is cared. For this reason, business frontier will not be at risk. In matters of competition within operating environment, managers should have for the resources which business has to utilize in producing products which outshines its competitors. a growing business under competitive environment has to adopt several strategies such as the increasing the workforce through employing more workers, providing rewards and recognitions among its workers. Also, it is important for business to operate within its set goals and objectives. 

Similarly, this paper seeks to identify possible causes of business uncertainty and how business take them as opportunities for growth. Business uncertainty is caused by number of factors which are controllable. These factors include; economic, environmental landscape, changes in in politics and technological factors. As a manager in business, it is important find a solution on how you will deal with these factors. In order to prevent business from external attacks, managers to overlook these difference aspects in the business which could be possible aspects which causes business failure. For instance, several factors can control by ensuring that that all aspects are considered.         

Significance of study 

This study helps in providing solutions and suggestions which can be applied to end business uncertainty and improve the performance of business to compete with other business.  This study will utilize both primary and secondary data which is provided in the internet and related this information with other scholarly articles. This study serves as evidence since it can specially prove how business gets affected as result of ignoring measures which can used to stimulate development. The development of this study will ensure that possible methods which can curb the business uncertainty. 

There is an aspect of uncertainty in every business environment associated with it. It has been a tough time leading any business right now. The harsh reality is that uncertainty is always present and, in the future, taking various forms. As a business entity, one should plan for such uncertainty to handle disruption and change and eventually emerge from the current situation better than those who do not take action. Overcoming Business uncertainty requires various measures such as  being transparent with your workforce.  

According to the studies, various types of business uncertainty can be analyzed from various entities under different environments, such as a clear enough future. To measure or predict the future of the business at this level can be a difficult task to deal with. As uncertainty grows, business owners get to know some information through market research. From this, competitors will continue to render their services after acquiring useful information (John, 2018). Alternate futures, at this level, uncertainty is large enough that investigations cannot narrow the future to a single outcome likely to be witnessed. 

Under this discussion, businesses develop a set of potential strategies founded on the most probable basis of these scenarios. It has been wise to develop additional eventualities for flexibility should things take an unexpected turn. A range of futures, which involves potential outcomes in quite a bigger number, is a type of business uncertainties whose outcomes are not discrete and fall into broad range category options. For example, my small businesses is looking to tap into an emerging market in the clothing line industry. New fashion has not been widely recognized, which has made low sales. Thus, research shows stronger consumer demand for the company's fashion style. However, the design material used to make the clothes may make it hard for the fashion industry to narrow the range of customer penetration or competitive positioning due to varied customer preferences. True ambiguity is a level of uncertainty where almost everything is up in the air; they need for potential customers is limited due to insufficient data. This affects analysis, decision-making, and strategic planning.  

From our primary source, business uncertainty has impacted management and has little influence over factors outside of the company's control. The business would collapse at any time. We see many aspiring business owners establish various businesses and face uncertainty, forcing them to close their operations. This will give you a hand on the current business situation in any given environment. There will be experiences about the conditions constantly changing in a business environment (John, 2018).  A solidified business model can help us learn more about how to overcome business uncertainty under various aspects. This will be majorly effective due to charging the environment where the type of business is being operated. For somebody to establish a business in a particular area, he has to consider several factors that will largely affect his business, either direct or indirect. With this in mind, it will be possible to overcome uncertainties that can come along with the business he has chosen to operate. 

Defensive moves have proved to the world to be effective ways to overcome business uncertainty. According to a survey of over 200 small business owners on various strategies they used during the recession period. This strategy aims to prevent loss and minimize downside risks by shifting to lean operations, pivoting, and expanding the business. This defense move can also be used for business startups if implemented wisely. 3DHQ is a printing company that used this move and expanded during the uncertain period where the move was considered viable for many startups (John, 2018). How you define your business plan can play a major role in overcoming its certainty brought about by changing environment and stiff competition. This is a direct strategy that will make it effective for any serious aspiring business owner to move in swiftly through such uncertainty which comes along the way. Through proper research on the various needs of the customers and competitors SWOT analysis, the businesses guide and walk out the right path to achieve your goals.   

Government involvement may also pose uncertainty to businesses and relate to others. Sometimes federal laws passed about business operation may not favor every one of them in equal measure. Wise business owners should always have operation within the limit of such laws given to them. The regulation which favors one business enterprise may affect the one negatively. Such laws will bring unhealthy competition to the country. For instance, two businesses may be granted the way ahead to open up a restaurant, from one geographical area; one business may decide to corrupt the licensing officials to speed up the process whereas the other business follow the outlined guidelines. From the two perspectives, the second business will be disadvantaged and face uncertainty through its entire operations from other rival businesses. Our source of overcoming such uncertainty should be from the government, the big player in bringing all this and has the way of averting it without adverse effect to any business. 

By looking where there are gaps and opportunities. In every situation, there is always both a negative and positive side. Business uncertainty may be a challenge in itself but also has some useful sides (John, 2018). The business identifies where it needs to focus and identifies other opportunities from such experience. This will be a way of learning and keeping yourself in check on the everyday situations and ever-changing world. Investing in solutions is a source that should also be a major focus. When businesses face uncertainty, they are challenged to invest more in divergent ideas and actualize their dreams. If they lack or fail to work on good ideas or professionals who can offer professional expertise, they find themselves in the middle of choosing the best route to save their investments from such threatening uncertainty or a competitive business environment. Enough finance ought to be a fundamental aspect of running any business enterprise. When businesses fail to have enough funds to run the day-to-day activities, there will be a shortage of manpower, and the overall output to be realized will be minimal. A business concerned about having enough resources will easily implement change after an uncertain crisis. For any business to survive in such a crisis and a competitive environment, they will require more funds to keep their operation stable and use funds to produce goods and services. 

The business environment from where the business is operating should also be a major aspect. This forms a basic part of ensuring that the location is not posing any challenge. Businesses are likely exposed to uncertain conditions if the location they are operating from hinders potential customers from assessing them. Again, their competitors may be stationed at strategic locations which may pose a risk to others, not in good locations where their expansion can come hard. Future aspirations can be everything to worry about everybody. This includes goals, limits, and objectives to be achieved in relation to the field of work (Courtney, & Viguerie, 1997). In our case businesses have goals set aside and those guide them in their everyday situation. Business uncertainty can come along with varied aspirations because many companies that do not carefully lay down procedures to be followed throughout the work, find themselves operating in such situations which in long run threaten their existence. There is a need for businesses to work on their limits, set budgets, have clear goals and objectives that are attainable to ensure success, growth, expansion, and development within any setting.  

Conclusion 

In conclusion, it is said that a strategic alliance is considered to be a powerful weapon in achieving the company’s set goals and objectives. For the company to establish the competitive side of the market, more strategies have to be put in place for gearing its performance. The business's good performance is based on the strategies and principles has outlined. A review of what is discussed in the context, it is clear that a strategic alliance can therefore provide a competitive advantage in the new markets with the assistance of speed, expense, technology access and knowledge. Following the framework of scholarly articles, will provide a pathway to providing a successful strategy that is considered to provide businesses with more opportunities in future. It is quite important to set a realistic goal that we actually know will bring success. The procrastinators require therefore to prioritize their objectives and responsibilities. the sharing of the responsibilities for the managers within the business level will ensure good continuity and progress.  

The process of analyzing the environment and being in a position to find opportunities is a cost costly since entails the collection of data externally and internally within a business setting. Also, a collection of ideas from experienced fellows can help to save the business. It is realized that it is not easy to overcome business weaknesses as well as planning to compete. The exemplary way of handling the issue is quite important since it opens room for the bench of the workers. Advancement is also important in since it is through advancements that business stands strong and firm to duties in the community (Mahedy & Wilson).  It is from the information that is collected that will help to ensure the progressive continuity of the business. Also, it is important for a business to adopt use of the media since media helps to advertise the products the business sales.

Recommendations 

It is recommended that entrepreneurs must constantly adapt to changes in the business environment. In any line of business, he should be capable of coping with the risk, because without risk there are no prospects. Nowadays, people's lives are driven by risk taking. Anyone who's afraid of taking risks is not fit to be a business owner. Therefore, entrepreneurs should observe the risk that is associated with their business and take appropriate decisions that will help them grow and develop, both of which will benefit the economy as a whole. 

Alternatively, entrepreneurs should observe their time management habits since every it gives a diurnal direction that gives dates and events in orderly manner. Time management helps to have an opportunity to think on possible provision that are required to make business environment suitable. This kind of movement is considered as it could take right direction. For the survive of business there must an inclusivity of all members and work to achieve common objective or goal. 

References

Cacciolatti, L., Rosli, A., Ruiz-Alba, J. L., & Chang, J. (2020). Strategic alliances and firm performance in startups with a social mission. Journal of Business Research, 106, 106-117. 

Courtney, H., Kirkland, J., & Viguerie, P. (1997). Strategy under uncertainty. Harvard business review, 75(6), 67-79. https://heller.brandeis.edu//executive-education/pdfs/Strategy-Under-Certain.pdfhttps://www.entrepreneur.com/article/311996 https://www.sciencedirect.com/science/article/abs/pii/S0007681317301684# 

John J.Oliver (2018). Managing future uncertainty: Reevaluating the role of scenario planning.

 John Rampton (2018). 7 ways to manage uncertainty and Growth Simultaneously Mahedy, T., & Wilson, D. J. (2018). Fiscal policy in good times and bad. FRBSF Economic Letter, 2018, 18. 

Sadegh, M. H., Shah Hosseini, M. A., & Heidari, A. (2020). Extracting the Effective Factors on Corporate Governance Formation in Strategic Alliances with Focus on International Joint Ventures through Systematic Literature Review. Journal of Business Management, 12(1), 64-93. 

Wang, F. (2018). The Pomodoro technique: The life-changing time-management system. Random House. 

Wang, W. C. (2019). Exploring the relationship among free-time management, leisure boredom, and internet addiction in undergraduates in Taiwan. Psychological reports, 122(5), 1651-1665