Internal and External Influences Flashcards
What are external influences
Factors that the business has no control over
What are external economic impacts
Overall economic conditions, impacts on buying and selling power
What are external financial impacts
How much credit is available, interest rates
What are external geographical impacts
Trading partners, seasonal conditions
What are external social impacts
Changers in consumer tastes
What are external legal impacts
Change to legistation
What are external political impacts
Changes to the political landscape, taxes, changes to work conditions
What are external institutional influences
Regulations imposed by various institutions on business
What is a competitive situation
Changes as a result of competitors
What is a market situation
Changes to finance or capital, consumer or labour markets.
What are product influences
Type of good/service produced affects internal operations
What is business culture
Values, ideas, expectations and beliefs shared by staff and managers
What are the 4 resource influences
Human, information, physical and financial resources
What are the 2 types of management structures
Traditional management structure and democratic/inclusive management structure
What is the role of management
To ensure staff are given sufficient training to reflect values
