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State the core business functions of an organization. Macro Environment of an organization can be analyzed by PEST analysis to the selected company any identifying the macro environmental factors. Assess how those factors can be used to run core business functions of the organization effectively.
PEST Analysis for Future World
PEST Analysis is a simple but it's very important for this Future world and widely-used tool that helps you understand the big picture of the Political, Economic, Socio-Cultural and Technological environment you are operating in. PEST is used by business leaders worldwide to build their vision of the future.
It is important for these reasons
ïƒ˜ By making effective use of PEST Analysis, you ensure that what you are doing is aligned positively with the forces of change that are affecting our world. By taking advantage of change, you are much more likely to be successful than if your activities oppose it.
ïƒ˜ Good use of PEST Analysis helps you avoid taking action that is condemned to failure for reasons beyond your control.
ïƒ˜ PEST is useful when you start operating in a new country or region. Use of PEST Analysis helps you break free of unconscious assumptions, and helps you quickly adapt to the realities of the new environment.
Economic Aspects for this future world
Marketing people who work in the future world they should consider the state of trading company in the short term and long term. While making profit to the businesses have to face for many economic challenges for this future world
Economic factors that affect businesses
ïƒ˜ Interest Rate
ïƒ˜ Exchange Rate
Political Aspects for this future world
An activity related to government policy and its administrative practices that can have an effect on something. Most business operators will keep a watchful eye on any political factor, such as new legislation or regulatory shifts, which could have a substantial impact on how their company operates and its bottom line.
Social Aspects for this future world
The facts and experiences that influence individuals' personality, attitudes and lifestyle. The marketing department of a business needs to take into account the various social factors characteristic of the consumer groups it is targeted to help increase a product's appeal to those potential buyers.
ïƒ˜ Physical attributes
ïƒ˜ Economic Status
ïƒ˜ Education Locality( Location)
ïƒ˜ Life Partner and children
ïƒ˜ Political System
Technological Aspects for this future world
Influences that have an impact on how an organization operates that are related to the equipment used within the organization's environment. Due to increased reliance on equipment, technological factors currently exert a considerably more important effect on the success of a business than they did only a hundred and fifty years ago.
Legal Aspects for this future world
One who buys accounts receivable for an amount less than their face value and collects the full amount, pocketing the difference as his or her commission; one who sells goods received on consignment.
Stakeholders are internal or external parties that have an interest about the organization. Each organization has their own aims and objectives. Evaluate the impact of the aims and objectives of an organization of its stakeholders with regard the company you selected.
Stakeholders for this organization
A person, group or organization that has an interest or concern in an organization. Stakeholders can affect or be affected by the organization's actions, objectives and policies. Some examples of key stakeholders are creditors, directors, employees, government (and its agencies), owners (shareholders), suppliers, unions, and the community from which the business draws its resources.
Not all stakeholders are equal. A company's customers are entitled to fair trading practices but they are not entitled to the same consideration as the company's employees. An example of a negative impact on stakeholders is when a company needs to cut costs and plans a round of layoffs.
This negatively affects the community of workers in the area and therefore the local economy. Someone owning shares in a business such as Microsoft is positively affected, for example, when the company releases a new device and sees their profit and therefore stock price rise. See also corporate governance.
AIMS for future world
An aim is where the business wants to go in the future, its goals. It is a statement of purpose.ir we see our future world it should be stone company in the market and we must grow up this company in big level.
Objectives for future world
Objectives give the business a clearly defined target. Plans can then be made to achieve these targets. This can motivate the employees. It also enables the business to measure the progress towards to its stated aims.
The most effective business objectives meet the following criteria
S - Specific - objectives are aimed at what the business does, e.g. a hotel might have an objective of filling 60% of its beds a night during October, an objective specific to that business.
M - Measurable - the business can put a value to the objective, e.g. €10,000 in sales in the next half year of trading.
A - Agreed by all those concerned in trying to achieve the objective.
R - Realistic - the objective should be challenging, but it should also be able to be achieved by the resources available.
T- Time specific - they have a time limit of when the objective should be achieved, e.g. by the end of the year.
The main objectives that a business might have are;-
A short term objective, probably for small business just starting out, or when a new firm enters the market or at a time of crisis.
Try to make the most profit possible - most like to be the aim of the owners and shareholders.
Try to make enough profit to keep the owners comfortable - probably the aim of smaller businesses whose owners do not want to work longer hours.
Where the business tries to make as many sales as possible. This may be because the managers believe that the survival of the business depends on being large. Large businesses can also benefit from economies of scale.
Investigate the potential opportunities of implementing an e - commerce system to the above mentioned organization. You many consider about the market it operates as well.
e - commerce system
Basically an e-commerce system means which can mainly effect to the organization. As a country wide supermarket there are lots of potential opportunities that they can achieve through an e-commerce system. Some of them are below;
Reduces Prices for Inventory Management
With e-commerce, the future world can reduce their costs to manage the inventory of goods because they fire automate the inventory management by web-based organization systems. This method secondarily can save their working costs.
Reaching Global Market
E-commerce allows the john keels holdings to reach a global market segment. They can simply increase their sales temporarily decrease the investment costs.
Can be well known about consumer's choice
Supermarket IT admins can monitor the consumers' buying habits and interests so that they can modifies their offer suit to consumers' needs and keep the ongoing relationship with them.
Reduce Employee Costs
The employee costs can be reduced with e-commerce because lots of manual areas can be automatedusing this system.
Reduce Advertising Costs
Using an e-commerce system we can reduce advertising costs because it is easier to update the advertisement through the system.
Can well aware about competitors
We can know about the other competitor's inventories and their quality of the goods that are having an e-commerce system