Chapter 2: The Environment and Corporate Culture
Competitors
are organizations within the same industry or type of business that compete for the same set of customers.
task environment
includes the sectors that conduct day-to-day transactions with the organization and directly influence its basic operations and performance
the sociocultural dimension
-the sociocultural dimension of the general environment represents the demographic characteristics as well as the norms, customs, and values of the general population. -important sociocultural characteristics are geographical distribution and population density, age, and education levels.
involvement culture
A culture that places high value on meeting the needs of employees and values cooperation and equality
high-performance culture
Managers emphasize both values and business results
hero
a figure who exemplifies the deeds, character, and attributes of a strong culture.
general environment
affects organizations indirectly. It includes social, economic, legal/political, international, natural, and technological factors that influence all organizations about equally.
ceremonies
planned activities at special events, to reinforce company values.
Suppliers
provide the raw material the organization uses to produce its output.
economic dimension
represents the general economic health of the country or region in which the organization operates
internal environment
The organization also has an internal environment that includes the elements within the organization's boundaries. The internal environment is composed of current employees, management, and especially corporate culture, which define employees behavior in the internal environment and how well the organization will adapt to the external environment.
Cultural leaders
define and articulate important values that are tired to a clear and compelling mission, which they communicate widely and uphold through their actions.
natural dimension
includes all elements that occur naturally on earth, including plants, animals, rocks, and natural resources such as air, water, and climate
merger
occurs when two or more organizations combine to become one.
labor market
represents the people available for hire by the organization
consistency culture
values and rewards a methodical, rational, orderly way of doing things.
Pressure groups
work with the legal-political framework to influence companies to behave in socially responsible ways.
pressure groups
work within the legal-political framework to influence companies to behave in socially responsible ways.
international dimension
the international dimension of the external environment represents events originating in foreign countries as well as opportunities for U.S. companies in other countries
international dimension
the international dimension of the external environment represents events originating in foreign countries as well as opportunities for U.S. companies in other countries. The international environment provides new competitors, customers, and suppliers and shapes social, technological, and economic trends as well.
technological dimension
The technological dimension of the general environment includes scientific and technological advancements in a specific industry as well as in society at large.
Customers
are part of the task environment and include people and organizations that acquire goods or services from the organization
organizational environment
consisting of both general and task environments, includes all elements existing outside the boundary of the organization that have the potential to affect the organization.
the external organizational environment
includes all elements existing outside the boundary of the organization that have the potential to affect the organization. The environment includes competitors, resources, technology, and economic conditions that influence the organization.
natural dimension
includes all elements that occur naturally on earth, including plants, animals, rocks, and natural resources such as air, water, and climate.
sociocultural dimension
includes demographic characteristics, norms, customs, and values of a population within the organization operates.
internal environment
includes elements within the organization's boundaries such as employees, management, and corporate culture.
The legal-political dimension
includes government regulations at the local, state, and federal levels, as well as political activities designed to influence company behavior
legal-political dimension
includes government regulations at the local, state, and federal levels, as well as political activities designed to influence company behavior.
general environment
indirectly influences all organizations within an industry and includes five dimensions
story
is a narrative based on true events and is repeated frequently and shared among organizational employees.
achievement culture
is a results-oriented culture that values competitiveness, personal initiative, and achievement.
joint venture
is a strategic alliance or program by two or more organizations.
symbol
is an object, act, or event that conveys meaning to others.
adaptability culture
is characterized by values that support the company's ability to interpret and translate signals from the environment into new behavior responses.
task environment
is closer to the organization and includes the sectors that conduct day-to-day transactions with the organization and directly influence its basic operations and performance. It is generally considered to include competitors, suppliers, customers, and the labor market.
Organizational culture
is the set of key values, beliefs, understandings, and norms shared by members of an organization.
the economic dimension
represents the general economic health of the country or region in which the organization operates. Consumer purchasing power, the unemployment rate, and interest rates are part of an organization's economic environment.
slogan
such as Disney's "The happiest place on earth," succinctly expresses a key corporate value.
