Chapter 3 Organizational Environments and Cultures Flashcards
what are the types of environments?
external, stable, dynamic, simple, and complex environments
external environment
all events outside a company that have the potential to influence or affect it
stable environment
an environment in which the rate of change is slow
dynamic environment
an environment in which the rate or change is fast
simple environments
an environment with few environmental factors
complex environments
an environment with many environmental factors
environmental change
the rate at which a company’s specific and general environments change
punctuated equilibrium theory
theory that companies go through long periods of stability, followed by short periods of dynamic, fundamental change, and then a new equilibrium
environmental complexity
the number and intensity of external factors in the environment that affect organizations
what are the four components of a general environment?
sociocultural trends, economy, technology, and political/legal trends
what are the five components of a specific environment?
customers, supplies, industry regulation, advocacy groups, and competition
competitors
companies in the same industry that sell similar products or services to customers
suppliers
companies that provide material, human, financial, and informational resources to other companies
supplier dependence
the degree to which a company relies on a supplier
buyer dependence
degree to which a supplier relies on a buyer
