A business can either take a step forward or a step back depending on the external and internal influences and how they handle them, they can either flourish or enter stages of degradation and cessation. External and internal influences on a businesses plays a part in the opportunities that arise in the industry the business operates in, otherwise the business may choose to venture out of it’s defined industry depending on the opportunities at hand. Businesses are affected by internal and external influences to a degree where they are either benefiting or suffering from the way they handle opportunities that arise. The five articles depict the problems encountered by businesses no matter their size or industry.
An internal influence is something the business can control, however the business has no control over external influences. A business will produce a product depending on the popularity of the product. If the customers are particularly interested in a range of products the business sell, the business will most likely become aware and take action to make sure their best selling products are readily available. Mc Donald’s breakfast menu is vastly popular and
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This issue is clearly internal as Telstra’s servers collapsed, causing millions of pre-paid customers across Australia not able to make phone calls. This incident is not new to Telstra as it is the second time it has occurred in a month. The stakeholder that benefits from this is competitors. Customers now question the reliability of Telstra after this and may consider changing mobile provider. Shareholders are effected the most are the share price will probably plummet due to the incident that occurred depending on the severity. In this case the shareholders saw the decline in Telstra’s share price. This issue may have put stress on the employees as they try to bring the severs back online as quick as
Every company has internal and external forces that effect how they operate within the community in which they are located and also within their own walls. These internal and external forces play a strong impact on the company’s profitability and success. These forces have an effect on what consumers they attract or ignore and how they are perceived by those who have the buying power. A mistake any analyzing and implementing measures to assist with these factors could greatly affects a company’s bottom line and success. This is why any company wanting to grow and be successful will need to take all of these forces; sociocultural, technological, economic, environmental and political-legal into consideration in creating their strategic plan.
Business has been in charge of the upgraded innovation that has generally supplanted the drudgery of most physical work, an outcome in part of the innovativeness of business and its readiness to take and bear the weight of money related hazard. Besides, maybe no establishment in our regular life is more proficient in its operations and more discerning in its association than business. No foundation is more receptive to the requests of its constituents than business.
The major issues facing the company comprises of there being multiple businesses with different demands. There are separate levels of performance and success as well as growth chances for each of the sector and the firm needs to tackle with issues in each of these divisions (Dube, J.P., 2004).
In 2016, Telstra experienced 7 outages, and two this year has seen Telstra spend $3billion worth on improving its network. In one of the outages, which had affected thousands of Telstra’s Internet customers, Telstra had come out with an apology statement where each customer who was affected by the outage was automatically given $25 worth of credit. To carry on with the role of management especially with Ceo Andy Penn, is his ability and expectation to maintain the investor confidence within the company. In recent times, Telstra has seen a decrease in revenue and value where Telstra has began to borrow money to keep up with dividend payments to keep shareholders loyal. This decrease is twofold. One is because of the competition, where Optus and Vodafone have both been revitalised in particular in the mobile market. Here is where Andy Penn comes in, he brings confidence that Telstra as a company is strong as Telstra has “as strong balance sheet” and a “good track record on the construction site”. In this case, Telstra uses the strategy of a management team in order to maintain consumer loyalty and trust, as well as the business’ reputation during the 2016 network
Every business wants to achieve its aims and objectives to make a profit. They do this by organizing what it can influence internally E.G, employees, resources, quality etc...However there are external influences that they cannot control and can affect sales and profit.
By assessing these factors businesses are able to adapt to different conditions set by the society they live in. The analysis basically looks at 8 aspects that form core foundations of the business and since these are factors out of business control, strategies need to be implemented in order to ensure the smooth running of the business – Professional academy
The internal issues are human resources management and cost management. The company has lacked a potential manager with international experience who can design an organization for international expansion. The company also unable handles the high cost of forming the business in other territories.
Businesses exist to produce goods and services. If someone is thinking of starting up their own business or becoming part of an existing business, they would have to have the knowledge of what makes business work successfully and know how to how to apply that knowledge in the particular area of business. For this unit I will be entering and exploring the world of business. For this unit I will encounter and evaluate information provided by certain businesses and actually gather my own information from at least one business. The business I have chosen to study is J Sainsbury’s.
...al change has transformed businesses activates which has brought huge economic advantages to many businesses. We have seen new markets develop through the increased use of the internet and countries prosper through the development of the global communications network.
The research conducted within this document will look at the various areas considered by someone before venturing in to another country for a business, regardless how well he or she know the specific business. As the information is gathered as well as imported in to tables for visual comparison, one can see that there are many similarities and the possibility of success via such a business seems possible.
In this paper, I’m going to be telling you the difference between a Small business and a corporation. These two have a lot in compared and a lot of difference. There are a lot of small business and corporation growing fast throughout the world. Both businesses take a lot to manage and you also must have the skill and the ability to do so. If it was easy, everybody would have some type of business growing in this world
Businesses play a significant role with the economies of all countries, whether developed or developing. It contributes to the welfare of the society through the satisfaction of needs, provides a source of livelihood to millions of people worldwide. Businesses do not operate in vacuums but operate within business environments. The events in the environment of a company have a direct effect on the success or failure of that company. According to Jain, Trehan and Trehan (2009), business environments can be categorized in two: (1) internal business environment; (2) external business environment. Institutions and organizations are usually in a position of controlling their internal business environment. By doing so, they gain the ability of affecting their institutional performance. On the contrary, it is difficult for a business to control the external environment; however, businesses can identify in advance the opportunities and threats presented by the external environment and take decisive actions to ensure its continued success (Jain, Trehan & Trehan, 2009; Goyal & Goyal, 2009).
Sometimes people invest in businesses, but they are unable to thrive through financial crisis when they arise. The book has used several examples to helps business managers to see through their institutions during financial depression periods. When business management uses various innovative ideas, it can be able to defeat market inflations that affect the business. Investing in many innovative ideas helps business to ship in profit from different sources. The sources of income mutually benefit from each other. Therefore, should one source fail it can be supported by others. The book has given various concepts in business management. These concepts help managers in collective decision making that propel business towards goals achievement. The concepts in the book also help managers and entrepreneurs in managing the workforce in an organization. The book has also given the concepts that help business stakeholders in investing in innovative ideas that can be well integrated with modern business. It has also given case studies that help the readers to have a deeper understanding of the management
Organisation is the most important element in management. Any organization is located and operated in the environment. Every action of all organizations is possible only if it allows its realization. The internal environment is the source of its vitality. It involves the capacity needed for the functioning of the organization, but at the same time can be a source of problems and even her death of the organisation. The external environment is the source that supply organization resources. The organization is in constant exchange with the external environment consequently it provides itself with survival. The main objective of this work is to consider elements of the internal and external environment of the organization which are in a constant
When analysing a business from the internal as well as external perspectives a well-known model of strength-weaknesses-opportunities-threats is commonly used (Barney, 1991). The Strength-weaknesses perspective is used to identify the internal factors of the business while the opportunities-threats perspectives used to identify the external factors