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Business Management Assignment: Contextual Factors Manipulating Business Decisions


Task 1 : Identify five (5) journal articles that match the first five topics of this unit
That is, you must find one journal article per topic

  1. Organisational structures or governance,
  2. Environmental forces,
  3. Risks confronting the firm,
  4. Organisation and business practices, and
  5. The functions of diverse firms.

2. Write a short 150 word introduction discussing why the contextual factors are important to organisational decision making. The introduction is 150 words in total not 150 words per article.

3. Write approximately 250 words per journal article that:

  1. Defines the main contextual factor being discussed in the journal article,
  2. Discusses the new findings in relation to the contextual factor, and
  3. Highlights what these findings mean for managers in organisations.

4. Write a short 200 word conclusion recommending one specific contextual factor as most important to CQUniversity’s organisational performance. Explain your reasoning.

5. Write a reference list correctly

  • It must use the APA referencing style
  • Each reference appears before each annotated bibliography
  • It has a hanging indentation
  • There are specific fonts and formatting that must be used:

Derouiche, I., Hassan, M., & Amdouni, S. (2018). Ownership structure and investment-cash flow sensitivity. Journal of Management & Governance, 22(1), 31-54. DOI: 10.1007/s10997-017-9380-x


This Business Management Assignment is an annotated bibliography captures the various contextual elements that come into play in the business setting and have a major impact on the organizational decision-making process. The five journal articles that have been selected here revolve around the governance model of the business organization, the environmental factors that come into play and influence the decisions of the business entity, the major risks that arise before the business undertaking in the dynamic setting, the business practices that are followed by the concern and the functions of diverse firms. The major aspects that have been captured here are not limited to the contextual factors but they also include the new findings in relation to the contextual elements and their implication for managers in business organizations. Ultimately, the most critical contextual factor has been highlighted that affects the CQUniversity’s organizational performance.

Dang A, R., Houanti, L., Le, N. T., & Vu, M. C. (2018). Does corporate governance influence firm performance? Quantile regression evidence from a transactional economy. Applied Economics Letters, 25(14), 984-988. DOI : 10.1080/13504851.2017.1390309

The Business Management Assignment journal article by R Dang A focuses on the organizational governance as the main contextual factor that influences the organizational decisions. The authors have used the ‘condition quantile regression’ technique to capture the relationship that exists between corporate governance and the organizational performance. The main elements relating to organizational governance that were evaluated include the independent of the board, the size of the board and the CEO duality. A major finding of the research study is that there exists a negative relationship between the board independence and the organizational performance. In simpler words it can be said that the higher the number of independence board members, the less productive performance of the organization has been observed. The study found that there was no relationship between the board size and the organizational performance. But when the CEO duality is there in the organization or he acts as the CEO as well as the board member, the performance of the entity is low. The performance of the business was measured by dividing the operating income prior to depreciation by the total assets of the concern.

As per the article, firms must carefully take into account the board structure as it has a direct impact on the organizational performance. The directors present in the board must play an active role in the organizational context so that they can have a better understanding of the firm’s operations and activities. Their stronger association with the entity can have a positive correlation with the organizational performance.

Islam, M., & Pattak, D. C. (2017). Impact of Macro Environmental Factors on Garments Industry That Drives Export in Bangladesh. Studies in Business and Economics, 12(2), 100-111. DOI: 10.1515/sbe-2017-0024

The article focuses on the environmental forces that come into play and have a major impact on the organizational decisions. The study is based on the garment industry in an Asian nation and uses a number of tools such as PESTLE analytical framework and SWOT analysis to capture the various factors that come into play that are out of the control of the business undertakings. The empirical research methodology has been used and both the theoretical frameworks have been used along with the numerical evidence so that a holistic picture can be drawn relating to the environmental factors that affect the organizational decision-making process. The Business Management Assignment shows that numerous macro elements that exist in the external environment of an organization have a major implication on the way the concern functions and performs in the respective industrial setting.

The implication of the study is high for the firms that operate today. The firms need to carefully assess the setting in which they function so that they can design the most suitable and appropriate strategic decisions in the process. Such an approach will have a major impact on the decisions that are taken and the productivity of the firm. Just like the micro factors that are under the control of the organization, the macro forces play a vital role and affect the decisions and actions of the concern. The proper understanding of the different environmental forces can help business organizations to have a competitive advantage in the operational market.

Soltanizadeh, S., Abdul Rasid, S. Z., Mottaghi Golshan, N., & Wan Ismail, W. K. (2016). Business strategy, enterprise risk management and organizational performance. Management Research Review, 39(9), 1016-1033. DOI: 10.1108/MRR-05-2015-0107

The journal article by Sara Soltanizadeh focuses on the risk that confronts business organizations and the implication of these factors on the organizational performance and outcome. The authors have made the attempt to capture the risk factors that have an impact on the organizational strategy. The cross-sectional assessment of the primary data has been carried out that were collected from 174 publicly listed business entities. Risks arise before businesses due to the existence of micro and macro factors but they have a direct impact on the performance of the entity. The focus is the individual risks that arise in the organizational context such as financial risk, volatility in earnings and competitive risks. The authors have stressed on the Enterprise Risk Management (ERM) model as it helps business entities to manage their risks and uncertainties in a competent manner. The ERM model basically helps business organizations to function in an effective way in the dynamic setting as it helps to identify all the possible risks and design the appropriate risk response techniques so that the firm can confront them in the best way possible.

The major implication of the article on organizations is that the firms need to introduce a robust risk management model that must be aligned with the organizational strategy. Such an approach can help business firms to have a sustainable existence in the uncertain business context. This Business Management Assignment outlines a strong risk management model linked to a better organizational performance.

Barraket, J., Furneaux, C., Barth, S., & Mason, C. (2016). Understanding Legitimacy Formation in Multi?Goal Firms: An Examination of Business Planning Practices among Social Enterprises. Journal of Small Business Management, 54, 77-89. DOI: 10.1111/jsbm.12290

The journal article focuses on the business practices as the key contextual factor that influences the organizational decisions and organizational performance. The practices that are implemented by an organization have a major implication o the way the firm functions starting from the decision making process to the ultimate performance of the concern in the dynamic setting. The mixed method study has been used involving the survey-based research of 365 firms that work for social causes along with the qualitative research process involving the case study analysis.

The findings of the study show that the business planning process is an important element in the organizational context as it strengthens the overall communication and the functions among the organizations. The practices that are implemented by a business undertaking have a direct impact on the decisions that are ultimately taken by the business entity. The organizational practices are driven by the needs and demands of the stakeholders of the organization as well as the imperatives of the organizational performance.

The major implication of the Business Management Assignment article is that the business practices directly affect the decisions that are taken by the business entity as well as the performance of the concern. Thus the practices must be carefully designed keeping in mind the fundamental objectives of the concern so that the decision-making process and the overall performance of the entity can be boosted in the process. The practices must revolve around the stakeholders and the firm so that value can be created in the process.

Agarwal, S., & Al Qouyatahi, K. M. S. (2018). HRM Challenges in the Age of Globalisation. International Research Journal Of Business Studies, 10(2), 89-98. DOI: 10.21632/irjbs.10.2.89-98

The article focuses on the contextual factor “functions of diverse firms” and the impact it has on the business organizations. The main reason for diversity in the organizational context is globalization which has blurred the boundaries that exist in the corporate setting. The research methodology encompasses both the primary and secondary source of data to understand how the diverse firms work and the major challenges that are confronted by the HRM professionals in the organizational setting.

A strong network of communication plays a vital role in the organizational context to ensure that the diversity is properly managed. The diverse workforce adds value to the firm and works towards the organizational objective. But at the same time, a number of challenges arise in the organizational context that has a major impact on the overall performance of the organization. The findings of the study reveal that over 70 % of organizational teams find it challenging to deal with the diversified cultural norms and values of the employees. The firm needs to make an extra effort to assess the core values of the individuals from diverse setting so that they can be treated fairly.

Since the diversity in the organizational setting has a major implication on the performance of the organization, it is necessary for the management especially the HRM function to handle that challenges that arise when employees from diverse background function together in a business organization. The better diversity management has a better impact on the organizational decision-making process and overall performance.

All the contextual factors that have been presented here have a major implication on the decision-making process in CQUniversity. But the most important factor that the organization must manage carefully and tactfully relates to the confrontation of risks. Since these factors have the power to affect the survival and sustainability of the concern, the entity must carefully assess the operational setting so that it can be prepared to function in the business setting that is full of uncertainty and contingency.

In order to manage and confront the risks, the firm must be on its toes at all the times and it must design the most suitable strategic frameworks so that its existence could not be affected due to the various micro and macro factors that exist. The assessment of the business risks would help the concern to design the most suitable organizational practices that could strengthen its performance and overall sustainability in the dynamic setting. The firm must design a solid business risk management model that would help to create value for itself as well as its stakeholders. This Business Management Assignment focuses on contextual factor that will directly affect the survival and overall performance of the university, the firm must consider it the most while functioning.

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