1. Corporate Culture and the Environment-part 1
Chapter 3
Corporate Culture and the Environment-part 1

2. The Organizational Environment
The elements of the world constantly change.
The external organizational environment includes all outside elements that effect the organization.
Internal Environment-Elements within the organization boundaries.

3. The External Environment
External Environment includes (i)general environment (ii) task environment
General Environment-Outer layer that indirectly affects organization. It includes five dimensions.
Task Environment-Sectors that conduct transactions with the organization and directly influence its basic operations and performance.

4. 3.1 The General, Task, and Internal Environments
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5. General Environment Five Dimensions: (i) International dimension
(ii) Technological dimension
(iii) Socio-cultural dimension
(iv) Economic dimension
(v) Legal-political dimension

6. International dimension
It represents events originating in foreign countries as well as opportunities for companies in other countries.
-New competitors, customers, suppliers
-Changes in social, technological, and economic trends

7. Technological dimension
It includes scientific and technological advances in society.
Advances are impacting organizations and managers

8. Socio-cultural dimension
Includes demographic characteristics, norms, customs and values of a population within which the organization operates.

9. Economic dimension
It represents general economic health of the country in which the organization operates.
Consumer purchasing power, Unemployment rate etc. affect business.

10. Legal-Political
It includes government regulations at different levels, as well as political activities designed to influence company activities.
Managers must recognize the power of pressure groups.
Pressure groups work to influence companies to behave in a socially responsible way