Inflluences

Question 1

Marketing Influences

“MARKS INLAWS CHOOSE TO BE ETHICAL”

Answer 1

1. Factors influencing customer choice
   - Psychological
   - Socio-cultural
   - Economic
   - Government
2. Consumer laws
   - Deceptive and misleading advertising
   - Price discrimination
   - Implied conditions
   - Warranties
3. Ethical
   - Truth, accuracy & good taste in advertising
   - Products that may damage health
   - Engaging in fair competition
   - Sugging

Question 2

Finance Influences

Answer 2

1. Internal sources - retained profits
2. External sources
   - Equity: short term (FOC) Long term (DUML)
   - Debt: ordinary shares (NRIPS) & private equity
3. Financial Institutions
   - Banks
   - Investment banks
   - Finance companies
   - Superannuation funds
   - Life insurance
   - Unit trusts
   - ASX
4. Influence of Governments
   - ASIC
   - Company taxation
5. Global market influences
   - Economic outlook
   - Availability of funds
   - Interest rates

Question 3

HR Influences

Answer 3

1. Stakeholders
   - Employees
   - Employers
   - Employer associations
   - Unions
   - Government organisations
   - Society
2. Legal (current framework)
   - Employment contracts: CAMMEO
   - WHS & Workers compensation
   - Antidiscrimination & equal employment opps.
3. Economic
4. Technological
5. Social
   - Changing work patterns
   - Living standards
6. Ethics & corporate social respons.

Question 4

Operations Influences:

Answer 4

1. Globalisation, technology, quality expectations, cost-based comp, gov policies, legal regulations & environment sustainability
2. Corporate social responsibility
   - Differences between legal compliance & ethical responsibility
   - Environment sustainability & social responsibility