Answer to Question #220296 in Management for Jeffery

Question

Discuss any three factors each for environmental and sociological factors respectively that are likely to be the reasons for the collapse of contemporary businesses [

Answer 1

Environmental Factors

• Environmental Regulations. Environmental policies are regarded as the most significant external issue that might influence a company's strategy.

• Global Warming. Climate change has become an insidious hazard to businesses, as its pace can only be discerned when measured decade by decade.

• The Green Agenda Enterprises impact the environment, but the environment has an impact on businesses and the market environment.

Social Factors

·Altering the Preferences-Consumer preferences are a fundamental socio-cultural aspect impacting organizations and business decisions.

·Demographics-Demographic shifts are also a major factor in the business sector- Markets for popular music and fashion, for example, may diminish as populations age. In contrast, markets for luxury goods and health items may grow.

·Advertising Methodologies-Advertising is likely the commercial sector that is most sensitive to socio-cultural shifts. Advertising frequently aspires to be hip and trendsetting, and to do so, advertising firms and departments must keep an eye on the pulse of the cultures in which they operate.