Business Studies Chap1 Flashcards
Influences on Businesses environments
Name the components of the Micro, Market and Macro environment.
Micro: Organisational resources, culture and structure, V,MS,G,O, Management and Leadership, Eight Business functions
Market: Consumers, Intermediaries, Supplies, Competitor, Civil Society
Macro: Political, Economic, Social, Technological, Legal, Physical, Global environments .
Explain the reasons why businesses have more control over Micro environment
-Establishing and revising its vision, mission statement, goal and objuctives in line with the current trends
-Ensuring that all business’ resources are used efficiently and effectively to the benefit of the business
-Engages Strategic management systems and ensures that plans are implemented and revised when necessary
- Establishing policies, procedures and management structures that could move the business in the right direction.
Explain the reasons why businesses have influence over the Market environment
Explain the reasons why businesses have influence over the Macro environment
-Political factors: Gov. policies and political stability
-Legal factors: Recent legislation and labor laws
-Economic factors: Inflation rates and fluctuation in prices of foreign currency
-Social factors: Low-income levels of customers and unemployment.
Identify the ways businesses can be involved the Macro environment
-Create Job opportunities for the people in their communities
-Enter into Private-Public partnerships to provide infrastructure in the country
-Improve Export markets by expanding into new African Markets
- Undertake scientific research to improve traditional medicines.
Discuss the benefits of businesses that involved in the macro environment
-The business gains good publicity and so attracts and retains loyal customers
-Bus. will attract and retain skillful employees in their communities
-Top investors are attracted to bus.es that are involved in the Marco environment
-Buses. that support their communities normally get some tax rebates.
