1. Chapter 2 – Environments of Business Key Knowledge Students will learn the following about large-scale organisations: – internal and external (macro and operating) environments of large- scale organisations – identification and characteristics of stakeholders of large-scale organisations – their interest, possible conflicts and related ethical and socially responsible considerations. SCSC Year 12 Business Management. Weebly. com

2. Chapter 2 – Environments of Business Stakeholders in Large Scale Organsiations At each level of the environment of a business, there are stakeholders or pressures that impact directly on the organisation. A stakeholder can either affect or be affected by the operations of an organisation. Ideally, all stakeholders should want an organisation to achieve its aims or objectives. In reality, this does not occur as various stakeholders – a competitor, for example – would have conflicting interests. Stakeholder: An individual or group that has a direct or vested interest in the activities of an organisation. SCSC Year 12 Business Management. Weebly. com

3. Chapter 2 – Environments of Business Stakeholders in Large Scale Organsiations Stakeholder: An individual or group that has a direct or vested interest in the activities of an organisation. Potential Stakeholders for any organisation: - Shareholders- Directors- Management - Employees- Trade Union- Customers - Suppliers- Creditors/banks- Community - Government- Competitors SCSC Year 12 Business Management. Weebly. com

4. Chapter 2 – Environments of Business Stakeholders in Large Scale Organsiations Stakeholder: ACTIVITY For each of the below stakeholders identify 2 interests or issues they might have with an organisation - Shareholders - 1 - 2 - Directors - 1 - 2 - Management - 1 - 2 - Employees - 1 - 2 - Trade Union - 1 - 2 - Customers - 1 - 2 SCSC Year 12 Business Management. Weebly. com

5. Chapter 2 – Environments of Business Stakeholders in Large Scale Organsiations Stakeholder: ACTIVITY For each of the below stakeholders identify 2 interests or issues they might have with an organisation - Suppliers - 1 - 2 - Creditors/banks - 1 - 2 - Community - 1 - 2 - Government - 1 - 2 - Competitors - 1 - 2 SCSC Year 12 Business Management. Weebly. com

6. Chapter 2 – Environments of Business Three levels of the Organisational Environment All businesses, whether small, medium or large, must operate in a complex and rapidly changing business environment. For any business to be successful, no matter what its size, it must be able to respond quickly to changes or pressures that may come from the internal, operating and macro environments. The three levels of Business Environment include: Internal Environment Operating Environment (External) Macro Environment (External) SCSC Year 12 Business Management. Weebly. com

7. Chapter 2 – Environments of Business Three levels of the Organisational Environment Internal Environment It is important for organisations to take account of and respond to the pressures and forces from within their organisation. When making decisions in relation to these factors, management has a fair degree of certainty and control. Potential Stakeholders within the Internal Business Environment include: Owners / Shareholders Board of Directors & Management Employees Organisational Structure Corporate Culture ACTIVITY Activity 2.4 SCSC Year 12 Business Management. Weebly. com

8. Chapter 2 – Environments of Business Three levels of the Organisational Environment Operating Environment (External) Organisations face different pressures and uncertainties from their operating environment. The factors within this environment directly interact with the business and its operations. They can provide both opportunities and threats to a business relating to its success and ability to be competitive. Potential Stakeholders in the Operating Environment include: Customers Competitors Suppliers Trade Unions Lobby / Pressure Groups Financial Institutions Regulatory bodies SCSC Year 12 Business Management. Weebly. com

9. Chapter 2 – Environments of Business Three levels of the Organisational Environment Macro Environment (External) Macro environment refers to the range of factors that can influence the operation and performance of an organisation, over which the organisation has no control. Following is a description of the factors that can occur in the macro environment. Economic Forces Government Forces Legal Forces Technological developmental forces Globalisation Forces Political Forces Social and Cultural Froces Environmental Forces SCSC Year 12 Business Management. Weebly. com

10. Chapter 2 – Environments of Business Three levels of the Organisational Environment ACTIVITY Activity 2.7 Activity 2.8 Chapter Summary Questions 2, 3, 4, 5, Key knowledge Task (weebly) Weebly Chapter TEST Some text found on this presentation has come from: www.cambridge.edu.au/GO SCSC Year 12 Business Management. Weebly. com