Answer to Question #234720 in Sociology for Yasmeen Jasat

Question

Every business is better viewed as an open system

Answer 1

Open system in business is where the organization system interacts with the environment and also manages the inflow and outflow of the resources. The open system theory helps to understand how the environment which is the economy, the customers’ needs, and the law affects the system that makes up the business. Unlike other approach to look at the business which sees the business environment as constant, open system approach takes the business environment and the changes that occurs into account, it gives a realistic picture of the business, the products, and the partners. Open system approach in business helps to shape the cultural values of the business, economic conditions of the business, and laws that regulates the business.