Week03-ManagingGlobalEnvironment(Chapter4)

Forces in the Global Environment.

Outcomes of changes in laws and regulations.

Individuals and groups that buy the goods and services produced by an organization.

Factors that make it difficult and costly for an organization to enter a particular task environment or industry.

A set of forces and conditions that originate with suppliers, distributors, customers, and competitors, affecting an organization’s ability to obtain inputs and dispose of outputs.

They produce opportunities and threats that managers must respond to.

They influence organizational behavior and decision-making based on societal values and norms.

It may be either strong or weak.

Competition and Barriers to Entry.

Organizations that operate in more than one country.

Organizations that are not currently in a task environment but could enter if they choose.

They provide an organization with the input resources needed to produce goods and services.

Cost advantages associated with large operations.

It creates a preference for the products of existing organizations, making it harder for new entrants.

Global, economic, technological, socio-cultural, demographic, political, and legal forces that affect an organization and its task environment.

The Task Environment focuses on specific forces affecting daily operations, while the General Environment includes broader global forces.

They now allow managers to both buy and sell goods and services globally.

Changes in laws and regulations affecting business operations.

Pressures emanating from the social structure of a country or society or from the national culture.

The traditional system of relationships established between people and groups in a society.

The Task Environment.

They can act as a barrier to entry at both the industry and country level.

Outcomes of changes in the technology that managers use to design, produce, or distribute goods and services.

The influence and power that political systems and institutions have in shaping global interactions.

Managing in the Global Environment.

A tax that a government imposes on imported or, occasionally, exported goods.

By demanding that the organization reduce the prices of its goods and services.

The process of globalization.

Increased opportunities, complexities, challenges, and threats.

They give people more money to spend.

They generally lead to increased consumer spending and economic growth.

Competitors, suppliers, customers, and regulatory agencies.

Unrestricted access to the Mexican marketplace.

Organizations that help other organizations sell their goods or services to customers.

Uncertainty and unpredictability.

It is crucial to organizational and managerial success.

A focus on laws and regulations aimed at preserving the environment.

A set of values that a society considers important and the norms of behavior that are approved or sanctioned in that society.

The combination of skills and equipment that managers use in designing, producing, and distributing goods and services.

Most barriers on the cross-border flow of resources.

The natural resources and raw materials that are essential for economic activities.

To buy products from foreign suppliers or to manufacture their own products abroad.

Price competition, which can lead to falling prices and reduced customer revenues and profits.

A set of global forces and conditions that operate beyond an organization’s boundaries.

It affects their ability to acquire and utilize resources.

Because national cultures differ and affect political and social systems.

The integration and connection of economic, political, and social systems across countries, cultures, or geographical regions.

They influence the political and social systems of nations.

It is one of the forces that drive globalization.

That if each country specializes in the production of goods and services it can produce most efficiently, it will make the best use of global resources.

They can control customers’ access to goods and services.

Interest rates, inflation, unemployment, and economic growth.

It enables managers to make informed decisions and adapt to changes effectively.

The global task environment includes specific external factors that directly affect an organization, while the global general environment encompasses broader societal forces.

The nature, number, or types of suppliers.

They include economic fluctuations, technological changes, and sociocultural shifts that can impact organizational strategy.

The importance of continuous learning in management.

Organizations that produce goods and services similar to a particular organization’s goods and services.

Outcomes of changes in or changing attitudes toward the characteristics of a population, such as age, gender, ethnic origin, race, sexual orientation, or social class.

The transfer of ownership from public to private sector.

Identifying the main customers of the organization.

To abolish tariffs on 99% of goods traded between Mexico, Canada, and the United States.

Since 2004.

Human capital, financial capital, resource capital, and political capital.

It refers to the funds and investments that facilitate global economic integration.

They have opened enormous opportunities for managers to expand the market for their goods and services.

The purchase or production of inputs or final products from overseas suppliers to lower costs and improve product quality or design.

The aging of their populations.

Age, gender, ethnic origin, race, sexual orientation, or social class.

Raw materials, component parts, and labor (employees).

They impact the political and social systems of nations.

Good conditions promote spending and growth, while poor conditions can lead to reduced spending and economic decline.

Nations become increasingly interdependent and similar.