global organization
an organization that operates and competes in more than one country
global environment
the set of global forces and conditions that operate beyond an organization's boundaries but affect a manager's ability to acquire and utilize resources
task environment
the set of forces and conditions that originate with suppliers, distributors, customers, and competitors and affect an organization's ability to obtain inputs and dispose of its outputs because they influence managers daily
general environment
the wide-ranging global, economic, technological, sociocultural, demographic, political, and legal forces that affect an organization and its task environment
suppliers
individuals and organizations that provide an organization with the input resources it needs to produce goods and services
global outsourcing
the purchase or production of inputs or final products from overseas suppliers to lower costs and improve product quality or design
distributors
organizations that help other organizations sell their goods or services to customers
customers
individuals and groups that buy the goods and services an organization produces
competitors
organizations that produce goods and services that are similar to a particular organization's goods and services
potential competitors
organizations that presently are not in a task environment but could enter if they so choose
barriers to entry
factors that make it difficult and costly for an organization to enter a particular task environment or industry
economies of scale
cost advantages associated with large operations
brand loyalty
customers' preference for the products of organizations currently existing in the task environment
economic forces
interest rates, inflation, unemployment, economic growth, and other factors that affect the general health and well-being of a nation or the regional economy of an organization
technology
the combination of skills and equipment that managers use in designing, producing, and distributing goods and services
technological forces
outcomes of changes in the technology managers use to design, produce, or distribute goods and services
sociocultural forces
pressures emanating from the social structure of a country or society or from the national culture
social structure
the traditional system of relationships established between people and groups in a society
national culture
the set of values that a society considers important and the norms of behavior that are approved or sanctioned in that society.
demographic forces
outcomes of changes in, or changing attitudes toward, the characteristics of a population, such as age, gender, ethnic origin, race, sexual orientation, and social class
political and legal forces
outcomes of changes in laws and regulations, such as deregulation of industries, privatization of organizations, and increased emphasis on environmental protection
globalization
the set of specific and general forces that work together to integrate and connect economic, political, and social systems across countries, cultures, or geographical regions so that nations become increasingly interdependent and similar
tariff
a tax that a government imposes on imported or, occasionally, exported goods
free-trade doctrine
the idea that if each country specializes in the production of the goods and services that it can produce most efficiently, this will make the best use of global resources
values
ideas about what a society believes to be good, right, desirable, or beautiful
norms
unwritten, informal codes of conduct that prescribe how people should act in particular situations and are considered important by most members of a group or organization
mores
norms that are considered to be central to the functioning of society and to social life
folkways
the routine of social conventions of everyday life
individualism
a worldview that values individual freedom and self-expression and adherence to the principle that people should be judged by their individual achievements rather than by their social background
collectivism
a worldview that values subordination of the individual to the goals of the group and adherence to the principle that people should be judged by their contribution to the group
power distance
the degree to which societies accept the idea that inequalities in the power and well-being of their citizens are due to differences in individuals' physical and intellectual capabilities and heritage
achievement orientation
a worldview that values assertiveness, performance, success, and competition
nurturing orientation
a worldview that values the quality of life, warm personal friendships, and services and care for the weak
uncertainty avoidance
the degree to which societies are willing to tolerate uncertainty and risk
long term orientation
a worldview that values thrift and persistence in achieving goals
short term orientation
a worldview that values personal stability or happiness and living for the present