Organizational Environment Flashcards
define organizational environment
set of FORCES and CONDITIONS that operate BEYOND organizations boundaries that affect ability to USE RESOURCES
Task Environment is
set of FORCES and CONDITIONS originating with suppliers, competition, customers, and distributors
affects ability to obtain inputs and discard outputs
IMMEDIATE AND DIRECT effect on managers
daily, weekly, monthly
affects short term devision making
Elements in Task Environment
Suppliers: PROVIDES inputs
Distributors: SELLS outputs. can be powerful unless alternates. affects pricing
Customers: BUYS outputs. segmented, numbered, preferences. calls for adaptation
Competitors: SIMILAR outputs. potential competitors, barriers to entry
Barriers to Entry
government regulations: tarrifs, import limits
brand loyalty:
economies of scale: cost advantage
What is General Environment
set of WIDE RANGING forces and conditions
affects planning and decision making,
eventual effect
elements in General Environment
Economic: interest rates, inflation, economic growth, unemployement
Technological: skills and equipment, affects design and production and distribution. new opportunities or threats
sociocultural: PRESSURES EMANATING from social structure or national culture.
social structure: arrangement of relationships
national culture: norms, values, behaviors
demographic: sex, age, race, social class
political and legal: changes in law, and regulations
global factors: change in international relationships EU