Week 2 Internal and External Factors

2004 Words9 Pages
Internal and External Factors MGT/230 Internal and External Factors Introduction To be successful organizations rely on the four functions of management: plan, organize, lead, and control. However, implementing these functions is not easy when other factors come into play. External and internal factors such as, globalization, technology, innovation, diversity and ethics all affect the four functions of management. If an organization wants to be successful they must adapt to these different factors. One company that has been able to do so is Starbucks Corporation. The adaptation and utilization of these many different internal and external factors has helped to make the company very successful. Globalization Globalization is the integration and exchange of worldwide cultures and resources. “Corporations operate worldwide, transcending national borders” (Bateman, & Snell, (2011), pp. 4). Advancement technology has led to advances of transportation and telecommunication, and these advances have led to connections and interactions between people that may not have encountered each other. Globalization has also led to an increase of available resources to companies around the world. When it come to the four functions of management and how globalization affects them, an organization must plan a companies goals and mission according to whether or not they want to globalize, export or import, then they must organize their company and departments to help implement the plan, next they must be able to lead their employees to implement those plans, and then control their company to follow the plan and stay on track while learning and adapting to changes as they go. Doing business with companies half way across the world has become easy with instant communication. This allows for outsourcing to other countries, encouraging competition and lower prices.
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