Business
Influences on Business
Influences on business refer to the various internal and external factors that can impact a company's operations, performance, and decision-making. Internal influences may include management style, company culture, and organizational structure, while external influences encompass economic conditions, market trends, technological advancements, and regulatory changes. Understanding and effectively managing these influences is crucial for a business's success and sustainability.
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2 Key excerpts on "Influences on Business"
eBook - PDF- David L. Rainey(Author)
- 2008(Publication Date)
- Information Age Publishing(Publisher)
23 This The Driving Forces of Change and the Influences of the Business Environment 59 situation requires additional study to determine the global trends and whether people are becoming more affluent or if only certain individuals are. The long-term implications of international trade, outsourcing, and global eco- nomics are mega-issues of the early 21st century as corporations and countries try to find new comparative advantages in a more complex world. Great care has to be exhib- ited to discern the economic conditions and trends and to ensure the pathways taken are sustainable and meet the standards of human rights and the global community. Finally, the availability and effectiveness of capital and labor are critical for long-term development. Capital usually chases the highest returns. While trying to achieve the highest returns is seemingly a sensible criterion for making investment, the underlying social, political, and economic aspects and their stability are also important in deter- mining whether or not to invest in a country or company. Reflections Today, as the rate of change accelerates and the interconnectivity of the natural, social, and business worlds increases, astute strategic leaders have to be mindful of all of the forces of change affecting the global landscape. As globalization expands and the im- pacts of business decisions increase across many spheres, distinguishing between what is business related and what is not becomes more difficult to determine. Moreover, in- direct forces that seemingly have little impact on business activities today may quickly (in just a few years) become critical concerns affecting economics, market viability, re- source availability, and the strategic direction and sustainable success of corporations. For example, in the wake of hurricane Katrina in 2005, weather-related phenomena are now much greater concerns.
eBook - PDFSystems Analysis & Design NQF3 SB
TVET FIRST
- S Bevenuti(Author)
- 2019(Publication Date)
- Macmillan(Publisher)
• Available resources. Directly affect organisational planning which in turn defines what strategy the IS plan must support. External business factors • Factors that make up the environment in which the organisation exists and competes. • Include competitors, customers, suppliers, the economy, and political and social issues. • Determine the opportunities for and threats to the organisation. 94 TOPIC 4 Factor Description Effect on planning Internal IS factors • Include the systems portfolio and IS resources. • Include infrastructure, applications, staff, skills, experience and management attitude. Directly affect organisational planning which in turn defines what strategy the IS plan must support. Also affect boundaries of the IS plan. External IS factors • Include changes in technology, cost of technology and availability of skills. Think about it What types of forces do you think could make a vision grow or be easier to implement? Where might these forces come from? What types of forces do you think would make it difficult to implement a vision? Where might these negative forces come from? In Figure 9.6 we see how the vision is shaped by the internal and external business forces, leading to an organisational strategy. We also see that the potential area for IS planning is reduced firstly by the requirements of the organisational strategy, for example excluding particular options and solutions that are not suitable or required. It is then further reduced by factors that affect information systems such as existing platforms , managerial controls, budget and skills. Planning in this situation then takes place inside the area of circle 3 instead of inside the entire circle 1.
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