Evatuation of the Change in Business Environment over the Last Five Years

Only available on StudyMode
  • Download(s) : 851
  • Published : November 11, 2010
Open Document
Text Preview
THE BUSINESS ENVIRONMENT

AUGUST, 2010
MOTOROLA MOBILE COMPANY
EVATUATION OF THE CHANGE IN BUSINESS ENVIRONMENT OVER THE LAST FIVE YEARS WORD COUNT: 3126

“EVALUATION OF THE CHANGE IN THE BUSINESS ENVIRONMENT IN MOTOROLA OVER THE LAST FIVE YEARS”.

Table of Contents
Executive Summary--------------------------------------------------------------------3 1. Introduction-------------------------------------------------------------------------3 2. Company Description and Background----------------------------------------4 3. Motorola Business Environmental---------------------------------------------5 3.1. Economical Environmental--------------------------------------------------5 3.2. Socio-Cultural and Demographic Environmental-----------------------7

3.3. Technological and Environmental Challenge ----------------------------7 4. Conclusions and Recommendations--------------------------------------------9 5. References and Bibliography----------------------------------------------------10

EXECUTIVE SUMMARY

THE OBJECTIVE OF THE WORK:
The fundamental concept of this work is to know and understand the business environment and its significance for both management students and for the owners and the managers of business organisations. MOTOROLA one of the global communication leaders will be evaluated for its changes and factors effecting its business environment over the last five years. The PESTEL analysis will be conducted to evaluate the environmental factors that have affected the company’s business which led the organisation to make specific strategies. Simultaneously this will also include conclusion and recommendation.

1
INTRODUCTION
Businesses and industries are establishing in agreement with the requirements of the population or the social order. As a rule for any organisations to retain its strong assets, aptitude and aggressiveness, there is a need to instigate a strategy. It is essential that the whole organisation should constantly keep itself open for changes it might stumble upon both inside and outside the environment with the intention to survive and settle with the latest improvement it might experience.

THE BUSINESS ENVIRONMENT
The Business Environment comprises of one or collective forces affecting the organisation which furthermore affects the organisation’s functioning, most important its strategies and execution of decision making (Brooks and Weatherston, 2000). The Business environment can be categorised into two:

1. THE MICROENVIRONMENT: These factors are in the direct region of an organisation’s operation which affects its freedom of performance and making conclusions for example Customers, Employees, Suppliers, Shareholders, Media and Competitors with whom the company interacts with (Palmer and Hartley, 2006).

2. THE MACROENVIRONMENT: Few factors in the macro-environment show an indirect affect on the decisions of the managers for an organisation. It is a set of factors Political, Economical, Social, Technological, Environmental and Legal. The PESTEL model helps managers to categorise and analyse the macro changes like new laws, tax changes, demographic change, trade barriers and government policies (Palmer and Hartley, 2009).

Taking this into consideration it is important for management students to study the environment and for the managers to examine their business environment for several reasons: Changes in the business environment can affect the marketplace, the technologies involved and employees. Also, understanding the dynamics involved in a business environment, helps generating profitable strategies and plans, as well as assists in understanding possible threats and opportunities that might arise (Brooks and Weatherston, 2000). A PESTEL analysis can be carried out to analyse the organisation’s present and future upbringing as a part of strategic management process by both management...
tracking img