From Chapter 4: Discuss how a development in a corporation’s natural and societal environments can affect the corporation through its task environment.
From Chapter 5: What is the relevance of the resource-based view of the firm to strategic management in a global environment?
- Just like last week, an employ is the face of the company or organization; a direct reflection to say the least. Therefore, natural, and societal environments do affect task environments. In our text it referred to social environments on a global scale; how Korea and China conduct business versus Philippines, Indonesia, and Singapore (Wheelen, Hunger, Hoffman, & Bamford, 2018). In addition, large corporations categorize the natural and societal environments in any one geographic region into five areas and focus their scanning in each area on trends that have corporatewide relevance (Wheelen, Hunger, Hoffman, & Bamford, 2018). It also depends on the generation; now younger investors look to invest in a company that has similar values. And now, even in our book, it list the trends that are in demand now: “Increasing environmental awareness, growing health consciousness, expanding seniors markets, impact of millennials, declining mass market, changing pace and location of life, and increasing diversity of workforce and markets (Wheelen, Hunger, Hoffman, & Bamford, 2018). The environmental awareness has become a huge topic all over the world. Now consumers look to invest in companies that promotes recycling. Therefore, a social environment is one who creates a relationship between the company, its customer, and suppliers by accepting and acting on social trends.
- From my understanding strategic management in a global environment has a goal of competitive advantage. It takes resources, implementation, and internal resources to understand where the company stands and if they can compete in that environment.
Thank you for your time, have a great week!
Joanna
References
Grant, C. (2011, June 4). Why Doing Good Is No Longer Bad Business. Retrieved from WSJ.com: https://www.wsj.com/articles/why-doing-good-is-no-…
Lewis, J. (2019, March 6). How Does the Social Environment Affect a Business. Retrieved from smallbusiness.chron.com: https://smallbusiness.chron.com/social-environment…
Wheelen, T. L., Hunger, J. D., Hoffman, A. N., & Bamford, C. E. (2018). Strategic management and business policy: globalization, innovation, and sustainability. Harlow, United Kingdom: Pearson.
Student 2
From Chapter 4: Discuss how a development in a corporation’s natural and societal environments can affect the corporation through its task environment.
There a variety of factors that play a significant part in how a corporation is able to function and be successful. Natural environment is the goods the earth provides for us, such as natural resources and climate. The natural environment has and always will have the ability to restrict some of the procedures that corporations want to enforce. Today, as we have learned, the consideration for the environment is on the top of any corporations list to ensure that it follows the policies and procedures set by task environment, which has a direct effect on the corporation itself.
When it comes to the societal environment, this is directly related to the forces that include economic, technological, legal, and sociocultural, which have a vital role on the corporation as well as the task environment. An example of this would be a corporation trying to enforce the most recent vaccination on its employees. The corporation is dealing with the political and legal forces as well as the sociocultural forces when trying to determine what is the right thing to do. The consequences would directly affect the task environment with its employees and labor unions. By not having enough employees could strategically cripple any corporation that relies heavily on the services provides by the corporation. It is essential to understand how all these external environmental variables all have a substantial effect on each other. Not being able to think strategically can destroy a company within a market that they may be dominating, so these variables must be analyzed on a continuous basis.
From Chapter 5: What is the relevance of the resource-based view of the firm to strategic management in a global environment?
As we have been learning in the past chapters of our textbook, we see the importance of thinking strategically and understanding how specific perspectives are essential to consider. When a company views their resource-based of the firm to the strategic management, it is encompassing everything together as one. When this is done, the company can be analyzed so their strengths and weaknesses can be determined. By doing this, the company can exploit their strengths and at the same time identify any gaps they feel are detrimental to the company. It is essential, as discussed in this chapter, that the external environment is analyzed and all perspectives be taken into consideration.
I also feel that much of this depends on the strategy or goals the company has set in place with top-level management. When dealing with the global market, it is vital that the company remembers that goods and services are being traded in different countries. Because of this, the resource-based view is even more critical if they want to be able to compete in a very vast and competitive market. The firm must know and understand its resources which are the building blocks of their organization. Once this organizational analysis is completed, the company will have a better understanding of their position. All levels of management must be able to understand the importance of gaining a competitive advantage in a market that is constantly growing.
Wheelen, Thomas L; Hunger, J. David; Hoffman, Alan N.; Bamford, Charles E.. Strategic Management and Business Policy. Pearson Education. Kindle Edition.
Lewis, J. (2019, March 6). How does the Social Environment Affect a business? Small Business – Chron.com. Retrieved November 2, 2021, from https://smallbusiness.chron.com/social-environment-affect-business-26283.html.
