...2010 m. December 3 d. External Environmental Factors Impacting Lithuanian Businesses Introduction First of all, it is very important to mention that every business has its own external factors, that indicate whether the business is going to succeed or not. Then, it is up to the business if they try to study carefully or not these external factors. By doing so, they will try to understand what the social, legal, political, technological factors are, and how they impact the market and their products. These factors have significant impacts into the challenges of the businesses in any country in the world. In fact, forces in the external environment are so dynamic and interactive that the impact of one factor cannot be disassociated from the impact of other elements. My paper will analyze how three chosen factors will stimulate the businesses in Lithuania, based on empirical researches done and then in the end, it will give recommendation upon those factors. The three elements that I have chosen to analyze are: social, competitive and technological. Factors In order to find out how these factors influence the business life in Lithuania, then a good source for that is: Enterprise Surveys. The enterprise surveys focus on the many factors that shape the business environment. These factors can be both external and internal ones. As it is mentioned already above in the introduction these factors can be accommodating or constraining for firms and play a key role, in deciding...
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...Environmental Factors University of Phoenix MKT 421 Environmental factors can influence the decisions that are made in the domestic and global market. Concern for these environmental factors that influence the marketing decisions is essential for organizations that have businesses within the global market that set goals to please its customers. It is a good idea to have a detailed analysis of the target market to see the vision of a successful marketing plan. McDonald’s is an organization that has businesses in both the domestic and global market. This paper will discuss the environmental factors that affect the domestic and global marketing decisions for McDonald’s such as the economy, social, political, ecological, cultural differences, technology, and ethical issues. The marketing decisions for McDonald’s are impacted by the global economic interdependence and the trade practice and agreements. The economy is continuously changing all over the world and McDonald’s customer purchasing power is determined by this environmental factor. The global financial issues that have an impact on McDonald’s marketing choices are credit, debt, revenue distribution, gross domestic product, and savings. These global financial issues impact McDonald’s decisions that are made by the company’s management team. The United States used to have the best economy, but even the economy in the United States is not in great shape anymore. Businesses have begun to close down, but McDonald’s food...
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...Environmental Factors Every international business always has issues they will encounter regardless of how careful they are. Competition is the most important factor that cannot be avoided. Other factors include economics, technology, legal, political, and social. Companies base their marketing decisions based on these factors. As a company continues to flourish they expand their business beyond international lines. By operating on a global scale the company opens their doors to other markets, gaining sales, and profits. Globalization is an invaluable opportunity for a company’s success. For the purposes of this paper the popular coffee shop Starbucks will be reviewed. Starbucks decisions regarding their influence on global interdependence, and effects of trade practices will be examined. The importance of demographics and physical infrastructure will also be summarized. Because Starbucks is a global company various influences of these environmental factors will be reviewed. A global company is highly reliant on global economic interdependence. Using economic interdependence Starbucks is able to increase revenue. Every Starbucks location uses different materials made in various countries. By purchasing low cost materials they can continue to produce high-quality product and increase market share. Their coffee cups are made from recycled products that are produced at a low cost, and environmentally friendly (Starbucks Corp., 2012). The effects of trade practices and...
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...The four external environmental factors that help organizations achieve optimal function are economic factors, political/professional factors, technological factors, and sociological factors. Economic factors are basically funding, revenue, consumers, suppliers and competitors. If there aren’t suppliers, you won’t have anything to run your organization with. Competitors keep you in business by helping you strive to beat them. Obviously, if you didn’t have consumers, you wouldn’t have any money coming in to keep the company/organization running. Funding and revenue help build your business in the beginning, so without them, you wouldn’t even be able to start up. Political and professional factors are kind of like the laws and regulations that you have to follow to be running your organization, whether it be regulations from the state, or just a higher power of the company. Accreditation goes along with this as well, because there are standards that have to be met and there are people that will have to verify that that is being done. Technological factors are things like equipment and anything else that is used to run your organization. Sociological factors means that you have to understand the community’s needs. Using tools to figure out income, education, gender, race, and more will help this factor. The six internal factors that help organizations achieve optimal function are beliefs, mission, vision, culture, goals, and products. These factors are a bit more simple to explain...
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...Coca-Cola Environmental Factors Coca-Cola Environmental Factors Influence of Global Economic Interdependence Marketing channels are sets of interdependent organizations participating in the process of making a product or service available for use or consumption. (Kotler, 2012). Coca-Cola operates 900 plants in more than 200 countries around the world. Coca-Cola is a sort of franchised operation with various bottlers in other countries. Although Coca-Cola may have an interest in some of these bottling operations they are usually separate legal businesses. In many cases these businesses operate under a different set of rules and laws. Many depend strictly on the Coca-Cola brand but some produce other items as well. In Zambia, for example, the Zambian Breweries is a subsidiary of SAB Miller. The brewery is the only bottler of Coca-Cola in that country and of course they also bottle beer. In Atlanta, the operation is responsible for taking care of the business portion of the brand and overall marketing, and product development. Effect of Trade Practices and Agreements North American Free Trade Agreement (NAFTA) lays out a plan to reshape the rules of trade among the United States, Canada, and Mexico. (Perreault, 2011). Legislation affecting business around the world has increased steadily over the years. The United States has many laws covering issues such as competition, fair trade practices, environmental protection, product safety, truth in advertising,...
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...Environmental Factors Paper Student Name MKT/421 June 10, 2014 Instructor Name Environmental Factors Paper Invented in 1886 by Dr. John S. Pemberton, an Atlanta pharmacist, Coca-Cola went on to become the world’s #1 selling sparkling beverage. Frank Robinson, who was Dr. Pemberton’s partner and bookkeeper, named the new beverage and designed the distinctive lettering which is still in use ("Coca-Cola History", n.d.). In 1916, it was decided there was a need to develop a bottle to set Coca-Cola beverages apart from imitators, and so the unique contoured bottle was born ("Coca-Cola History", n.d.). The distinctive lettering and unique bottle combined to form a highly recognizable and often used trademark. Fast forward 127 years, over 3,500 Coca-Cola products are available in over 200 countries ("Our Company", 2014), meaning the Coca-Cola Company is successful at considering the various effects and influences pertaining to global and domestic marketing. * Global Economic Interdependence, Trade Practices and Agreements * In many cases, foreign countries and their economies rely on each other more than ever. Some countries have an abundance of natural resources or raw building materials, while others focus on agriculture as the main source of their gross domestic product. This simple fact affects supply and demand for both types of countries. Country A needs oil and Country B supplies them with it. Country B needs produce items and Country A supplies them with it. Coca-Cola...
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...Environmental Factors Angelica Cubillo HSM/220 May 2, 2013 Harold Dobbins Environmental Factors There are many factors that can help an organization achieve optimal function. The four external environmental factors are economic factors, sociological factors, technological factors, and political and professional factors. The six internal factors are organizational purpose, mission, and philosophy, organizational planning, organizational operations, human resources, technological resources, and financial resources. Economic factors involves figuring out where the organization will receive its money from, whether it is government funds, donated funds, fees for service or other agency income. Sociological factors include things like demographics and the organization’s target population such as children, adults, elderly, or homeless. Political and professional factors are those that include knowing laws and regulations from federal, state and local levels as well as a political climate, and being aware of licensing and certification standards (Kettner, 2002). Technological factors include things like knowing equipment and software or new treatment approaches (Kettner, 2002). Organizational purpose, mission, and philosophy, refers to having a good mission. “It is here that one gains an understanding of the mission and vision that is intended to provide the logic and the organizing theme for all the other variables” (Kettner, 2002, pg. 72). Organizational planning refers...
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...Environmental Factors MKT / 421 February 1 2011 Environmental Factors The following information will discuss environmental factors McDonald’s global business face when dealing with other countries. McDonald’s global business must know how to deal with different cultures, laws, ethical situations, etc. that can cause threat and consequences for the business. The following will compare ethical perceptions across cultures concerning different situations. Businesses operate differently in other countries and McDonald’s must adapt to the cultural to do business. For a global business to be successful is a challenge and possible risk. The influence of global economic interdependence and the effect of trade practices and agreements Legal realism in diverse countries led to key choices that entail marketing. These consist of the capability to make particular claims, the capability to sell products in particular ways, the variety of business practices that take place, and a variety of aspects. These aspects should be understood and well thought-out when creating marketing plans. Other aspects that influence marketing compose of social accountability and environmental factors. In various cultures these issues are vital and other cultures it is not a concern. McDonald’s should follow legal conditions in countries that influence social and environmental practices, and still meet the expectations of locals on these matters. If not McDonald’s could...
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...ENVIRONMENTAL FACTORS Every organization has rules, regulations, and guidelines that help govern the conduct of their employees, global marketing decisions, and environmental factors. Environmental factors are often divided into two categories namely macro environment and microenvironment. In addition, environmental factors can be political, social, ecological, cultural, technological, and ethical in nature. Whereas, any organization that develops a product or service globally must consider the impact each of the environmental factors may have. For instance, factors can result in the failed attempt to market a product, which may be successful domestically, in other countries where there is a significant market potential. Furthermore, this essay will identify the environmental factors that affect global and domestic marketing decisions, impacts of technology, and the importance of social responsibility and ethics as related to PepsiCo marketing. PepsiCo is a world leader in convenient snacks, foods, and beverages with revenues of more than $39 billion and over 185,000 employees, which conducts both domestic and global marketing(PepsiCo, 2009). At the same time, PepsiCo is committed to protecting their natural resources and operating in a way that minimizes the environmental footprint, with the goal of reaching a net-neutral impact. In addition, as a multinational company, PepsiCo value the unique contributions and perspectives that people from different culture bring to...
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...Environmental Factors There are internal and external environmental factors that help organizations achieve optimal function. There are four external environmental factors that affect an organizations ability to achieve their highest function. The four external factors are factors that are outside of the organization itself. These factors are technological, sociological, economic, and political and professional. The six internal environmental factors are organizational mission, purpose and philosophy, organizational planning, organizational operations, human resources, technological resources and financial resources. These internal environmental factors are factors that affect the organization from inside the organization. Many of these internal and external factors are important for a successful human services program. When it comes to human resources I think it is very important for the organization to first have their mission, their purpose and their philosophy. This is important to the organization so they can reach for these goals in their program. Both the external economic and the internal financial resources are important to a human services program. This gives the company a basis of where they stand financially with internal finances; and where they will receive their external financing. Sociological factors are very important to know in a human services organization. Knowing what the community needs is important to a successful community program. All human service...
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...Environmental Factors Environmental Factors can affect businesses and have an impact on marketing decisions. The organization that was chosen for the environmental factors paper was Coca-Cola. This company’s major marketing decisions are impacted by environmental factors. This paper is intended to address the forecasts of high level global and domestic environmental factors that may impact the company’s marketing decisions and will also address the forecasts of technological change that will affect the organizations marketing decisions. An analysis of the influence of the Foreign Corrupt Practices Act will also be discussed. The paper will be concluded with a summary that will analyze the importance of social responsibility and ethics related to Coca-Cola’s market offerings. The soft drink company greets its consumers with an attractive picture of a bottle of Coca-Cola on the website. The first thing a person sees is a picture of a cool refreshing bottle of Coca-Cola. The company demonstrates the ability to successfully trade products within the global market while still satisfying customers domestically. Whether global or domestic, Coca-Cola can be seen on every billboard restaurant ad, and in magazines nationwide. Despite the company’s success, environmental factors still exist that could change the future of the company. One article titled “The Beginning of Coca-Cola,” talks about how Coca-Cola began marketing in China in 1927. In 1979, Coca-Cola plants were introduced...
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...Environmental Factors MKT 421 Environmental factors are identifiable elements in the physical, cultural, demographic, economic, political, regulatory, and technological environment that affect the survival, operations, and growth of an organization. A global organization such as Target has to take into consideration these environmental factors to continue to grow outside the borders of the nation of origin. This paper will analyze global economic interdependence, the effect of trade practices and agreements, the influence of cultural differences, the effect of political systems, and the influence of international relations in relation to Target. This paper will also analyze the importance of demographics and physical infrastructure, the concepts of social responsibility, and the ethical and legal obligations of Target. An explanation of the effects of technology and the influence of the Foreign Corrupt Practices Act of 1977 as well as the influence of local, national, and international legislation on Target policies and practices, are included.("Environmental factors," 2012) Environmental Factors Although Target stores have only recently moved into a global market with the acquisition of properties in Canada, Target Corporation has been a global organization for decades. Target has multiple divisions operating in other nations throughout the world. India is home to the Target IT solutions, customer service, and technical support divisions. There are many offices...
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...Environmental Factors One mission of the Coca-Cola Company is to refresh the world. In order to refresh the world, Coca-Cola has to reach the world and distribute the refreshments throughout the world. The Coca-Cola Company has done just that since its establishment in 1886. Since establishing themselves in the beverage market, Coca-Cola has earned more than $15 billion in revenue, employed more than 150,000 employees, and has products in over 200 countries. Coca-Cola has had to research the global and domestic markets to ensure a need for their product. With the research, comes compliance in all regulations when distributing or creating the product in global and domestic areas. Companies have their own procedures in place to guide employees through the ever-changing needs of consumers. These procedures provide an example to the employees regarding the conduct of the employees as business is conducted within global and domestic markets. The procedures also help in the decision-making of company executives as they explore expanding business in the global market. The Coca-Cola Company is a perfect example of a company using both domestic and international marketing. Marketing’s importance in the business world increases day by day. For Coca-Cola to market at a domestic level, they must promote their local products to local consumers in local markets and satisfy the needs of the local consumers. For Coca-Cola to market at a global level, they must promote multinational...
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...ENVIRONMENTAL FACTORS your name Class Date Instructor ENVIRONMENTAL FACTORS Environmental Factors on Marketing Decisions of Costco Wholesale Corporation Environmental factors are made up of all the factors and activities that have a significant effect on managing a business. These factors have a strong influence on operating any business, particularly in marketing options (Pagell & Halperin, 2000). Environmental factors cause risks to the achievements of any business and to deal with these factors, a firm must improve its main skills and create good methods (Staff, 2009). There are different components that would have a great impact on these latest services provided by the firm. After acknowledging these components, the firm must create a strategy. In his book, David jobber explains that with the support of this observation, the business becomes more successful in applying the different methods (Jobber, 2001). One of the major organizations in the trade business is Costco Wholesale Corporation; this company was established by James Sinegal and Jeffrey Brotman (Costco Wholesale Corporation, 2009). On the start of the sales volume, the business is regarded to be among the world's major membership warehouses (Costco: About Company, 2009). This corporation has the rank of one of the 5 biggest businesses in the U.S. in retail industry. Issaquah (Washington) is where the H.Q. of the corporation is located in the U.S. (Costco Wholesale Corporation Reports...
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...Environmental Factors MKT/421 The company that I chose to write about is Toyota, and the reason why I chose this company is because Toyota conducts global and domestic marketing in a way that no one else does. What I have done is analyze the influence of global economic interdependence relating to Toyota; I have determined that Toyota’s global economic interdependence is essential to maximizing sales revenues by focusing on both purchasing vehicle parts and materials from certain countries and increasing the market share in each country and region in which they do business in. Toyota must also consider the fact that they need to target the specific groups and classes of people within a country because those groups may be dependent on the success of Toyota. I have also analyzed the effect of trade practices and agreements relating to Toyota, and found out that the effect of trade practices and agreements play a large role in Toyota’s strategies and operations within the boundaries of the countries. Next, when I examined the importance of demographics and physical infrastructure relating to Toyota, I found that the importance of demographics for Toyota is the examining the characteristics of how they will be approached by the consumer. According to an article I read by Multicultural states, Toyota is one of the first auto manufacturers to use the Internet to reach out to all Hispanic customers. The use of the internet to reach out to the Hispanic customers worked, because...
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