Evaluate the advantages and disadvantages of technological change for Essay

Evaluate the advantages and disadvantages of technological change for business - Essay Example The advantages of modern technology like time and money savings are traditional reasons for business entities as they make decisions in implementing new technology in the workplace (Jones, 2011). The nature of capitalism in the economy where there is a need to maximize profit would generally motivates business entities towards that direction (Brigham, & Ehrhardt, 2010; Khan & Jain, 2007). It is not hard to see the savings in money and resources accomplished by automating some part of the business operations. The market is also a product of innovation and people or customers would always go for those advertised benefit of new products arising from new technology. These business decisions are however not without negative consequences. Every employee would get replaced by machines as a result of changing technology but this could actually be adding to the rising levels of unemployment. This may be partly the dilemma that has actually affected the United States and the United Kingdom. To have this kind of unemployment level of above 5% when these countries are supposed to be ahead in economic development may be partly explained by the conflict by the need for companies to be profitable or having more revenues than costs which can actually be done by controlling the cost of labor. However the unemployment problem may actually be a greater problem in terms of consequences of the business decisions to go for more profit and more wealth for stockholders (Correia, et al 2007; Van Horne & Wachowicz, 2008). Who will buy the products produced by these companies if people who will consume them ultimately have no purchasing power because of lack of employment to provide them means like income to empower them? This is therefore a case of profit maximization that could be creating a greater social problem. Not all the technology that may promise to reduce cost will be beneficial to business in the long-run. Will