Population Pyramid Case Study

The closing case in chapter 1 points us to a shift in the worldwide demographics. When looking at population pyramid, there has been a shift from the traditional pyramid of a country’s age distribution, to pyramids that are starting to look more like diamonds or rectangles. This is caused by lower birth rates and an increase in life expectancy. The change in both birth rates and life expectancy can mainly be attributed to an increase in urbanization and education levels. Further, low birth rates and high life expectancy has also led to a decrease in the country’s population leaving a larger portion of the population over the age of 65.

Countries face many challenges when dealing with these demographic changes.

First, as a result of the decline

Domestic firms are now having to adjust their workstations to fit the needs of the growing population. Additionally, domestic firms are likely to be faced with increased costs. As the workforce gets smaller and becomes more competitive to recruit, it can be predicted that wages and salary costs will rise. With the government searching for ways to maintain the older population, taxes may also rise for the workforce and the domestic firms. Domestic firms may also need to adapt their health care benefits and pension funds. Moreover, domestic firms may need to provide products that are more in line with the consumption structure of the retiree population. For example, domestic firms may want to look more into the medicine, bifocals, retirement services, and robot industries. Similarly, non-domestic firms may also want to focus more on these industries when serving the international marketplace. Further, non-domestic firms may face greater competition when looking for labor abroad. Both domestic and non-domestic firms will also need to adjust their marketing strategies to fit the wants of the older

A strong workforce is vital for economic growth, yet most countries are now seeing a declining workforce. Countries with a large workforce, such as India, may become a top provider of employment for different countries. Additionally, these demographic changes could lead to a shift in the world economic powers. Places such as Japan, the U.S, and some places in Europe are all strong economic countries that are facing this shift in their populations. If these countries don’t figure out a way to deal with these changes, there could be a shift allowing other countries to take their spot as leaders in the