MAN chapter 2
regulatory agencies
are created by the government to protect the public from certain business practices or to protect organizations from one another
regulators
are elements of the task environment that have the potential to control, legislate, or otherwise influence an organization's policies and practices.
suppliers
are organizations that provide resources for other organizations
competitors
are other organizations that compete with it for resources
managerial ethics
consists of the standards of behavior that guide individual managers in their work
board of directors
is a governing body that is elected by the stockholders and charged with overseeing a firm's general management to ensure that it is run to best serve the stockholders' interests.
quota
is a limit on the number or value of goods that can be traded. The quota amount is typically designed to ensure that domestic competitors will be able to maintain a certain market share.
tariff
is a tax collected on goods shipped across national boundaries. Tariffs can be collected by the exporting country, by countries through which goods pass, or by the importing country.
licensing
is an arrangement whereby a firm allows another company to use its brand name, trademark, technology, patent, copyright, or other assets.
while-blowing
is an employee's disclosure of illegal or unethical conduct by others within the organization.
importing
is bringing a good, service, or capital into the home country from abroad.
joint venture
is special type of strategic alliance in which the partners actually share ownership of a new enterprise.
philanthropic giving
is the awarding of funds or gifts to charities or other worthy causes.
legal compliance
is the extent to which the organization conforms to local, state, federal, and international laws. The task of managing legal compliance is generally assigned to the appropriate functional managers.
ethical compliance
is the extent to which the organization's members follow basic ethical (and legal) standards of behavior.
social responsibility
is the set of obligations an organization has to protect and enhance the societal context in which it functions.
direct investment
occurs when a firm headquartered in one country builds or purchases operating facilities or subsidiaries in a foreign country.
owners
of a business are, of course, the people who have legal property rights to that business. Owners can be a single individual who establishes and runs a small business, partners who jointly own the business, individual investors who buy stock in a corporation, or other organizations.
economic dimension
of an organization's general environment is the overall health and vitality of the economic system in which the organization operates
political-legal dimension
of the general environment consists of government regulation of business and the relationship between business and government.
technological dimension
of the general environment is made up of the methods available for converting resources into products or services.
exporting
or making a product in the firm's domestic marketplace and selling it in another country, can involve both merchandise and services.
sarbanes-oxley act of 2002
requiring CEOs and CFOs to vouch personally for the truthfulness and fairness of their firms' financial disclosures. The law also imposes tough new measures to deter and punish corporate and accounting fraud and corruption.
Strategic partners (allies)
two or more companies that work together in joint ventures or other partnerships
strategic alliance
two or more firms jointly cooperate for mutual gain
second dimension of the task environment is customers
whoever pays money to acquire an organizations products or service
code of ethics
written statements of values and ethical standards that guide the firms actions