SWOT Analysis on Improvement of Bhutan Labour Market

Strength

    1.Agricultural Market

    2.  Rural Labor force

    3. Working as group

Weakness   

    1.Low investment on tertiary sector

    2. Peoples attitude

    3.Low trade of good and service
     
    Opportunities
    1.  Increase in income

    2. Job opportunities

    3. Growth in GDP
   
    Threat
    1. Decline in quality of labor

    2.   Financial Crisis

    3. Good and services may not be of standard one

    

ANALYSIS

·         Strength

Approximately 90% of Bhutan’s population relies on agriculture. Hence, lots of peoples are working in agricultural sector thereby making labour force in agricultural field the most. Therefore, if Bhutan expands its labour force the flow in agricultural market will be the utmost thus generating income of both nation and individual.

Lots of people from rural areas migrate to urban areas in search of better life. Bhutan has one of the most rural labour forces and if the labour market gets expanded there will be least problem related to the dilemma of not getting enough labour since rural labour force are large.

Bhutanese are dedicated person and whatever they do they do it committedly and in groups. Working in groups particularly in labour market will take labour market from one level to another higher level.

•          Weakness

However, expansion in Bhutan’s labour market will be facing a challenging task as there are low investments in tertiary sector. Bhutan’s entrepreneurs are not well enough to make a big investment particularly in labour market.

Moreover, Bhutanese have an attitude where they want be superior and they don’t want to start inferior. Hence, the attitude of peoples will attract less number of labour forces.

Even if Bhutan would improve its labour market, the good and services thus produced would be left in stake as Bhutan’s trade status with other countries is less as of now.

•          Opportunities

If Bhutan can expand its labour market, the income of people will increase from present status as people would have opportunities to work and earn their livelihood.

Moreover, country’s Gross Domestic Product (GDP) would increase as the production of good and services will intimately increase.

Nonetheless, Bhutan’s current problem of unemployment would be solved within no time. Expansion of labour market will create more job opportunities thus enhancing unemployed to get employed.

•          Threat

If more number of Bhutanese is working in various fields, it indicates the low number of hiring of foreign labour who is far better than Bhutanese labour. Therefore, the quality of labour would ultimately decline as less qualified and skilled labour will be available in market.

With less skilled and qualified labour, the good and services that will be produced will be of low quality and there would be low buyers. In this case, the investment done for the business will be running into losses and finally it would lead to financial crisis. Similarly, the good and services thus produced will not meet the market standard.

Recommendation

.       Expand labour market unless it does not affect quality of labour

.       Encourage less investor

.       Make rules and regulation that governs the right and responsibilities of labour and the entrepreneurs.