Business Environment An Introduction

Business Environment An IntroductionUnderstanding Business Environment

Business Environment

Are factors that are beyond the reach of the company that can cause an opportunity or threat. The business environment is anything that affects business activity within an organization or organization.

Business Environment Factors:

1. Micro Business Environment

are actors who are directly related to the environment, affecting the company.

2. Macro Environment (General Environment)
are forces that arise and are out of reach and usually independent of the company's operational situation.

Macro environment consists of:

A. Economic Factors
What needs to be analyzed are:
– Economic cycle
– Symptoms of inflansi and deflation
– Monetary policy
– Balance of payment

B. Demographic Factors

Consists of :
– Changes in population will affect demand
– Changes in the age structure of the population will affect the transfer of product type according to the age change.
– Distribution of income.
– Unemployment rate.C. Geography Factor
Geographical factors are also important to be observed by strategic planners, to determine the opportunities and threats of the company.

D. Technological Factors
Technological changes bring influence to the development of the company.

E. Government Factor
Government policy changes in various forms of regulation can be an opportunity for the company and can also be a threat / threat to the company.

F. Social Factors
Social is the social habits and social values ??of the community, especially subscribers and employees.

G. Political Factors
1. Political power
2. Differences of ideology.

Business Environment Elements

There are five kinds of environments that affect business activity:

– The physical environment includes soil, climate, topography, air, water, and infrastructure. Every company will always rely on that source.

– The economic environment describes the market system in which resources are processed, produced and distributed to the public. The economic environment affects the business of the enterprise that produces and distributes goods or services.

– Government environments such as government assistance provided in business to develop small companies and large corporations. For example facilities and infrastructure built in areas, such as: roads, power plants, and so forth.

– The legal environment is the legal and regulatory background in which companies operate, including ethical issues that can not be ignored in business development.- The international environment concerns international relations with other countries and foreign companies. The flow of funds abroad to finance imports and imports into the country from the export of international and mutinational payments to support business development in Indonesia can be regarded as an international environment.

Corporate / Environmental Relations / Impacts

Corporate Social Responsibility or Corporate Social Responsibility (hereinafter in the article will be abbreviated as CSR) is a concept that organizations, in particular (but not only) companies have a responsibility to consumers, employees, shareholders, communities and the environment in all aspects of the company's operations .

CSR is closely linked to "sustainable development", where there is an argument that a company in carrying out its activities must base its decisions not solely on financial factors such as profits or dividends but also on current and long-term social and environmental consequences.

Social Responsibility and Business Ethics

a company is moving because of the mutual conception of human resources

other resources. In order for corporate management action to survive to pay attention to business ethics and social responsibility. Ethics and social responsibility are companies' brakes that do not conflict with corporate stakeholders, such as customers, governments, owners, creditors, workers and communities or communities. A harmonious relationship with the stakeholder will generate positive energy

the company's progress.

Business ethics is a study devoted to true and false morals.
This study concentrates on moral standards as applied in business policies, institutions, and behavior.
Business ethics is a formal standard study and how it is applied to the systems and organizations that modern societies use to produce and distribute goods and services and be applied to the people within the organization.

To Whom It Is Responsibility

1. Customers (Customers)2. Workers (Employees)

3. Creditor (Creditors)

4. Environment (Environment)

5. Society (Communities)

Social Responsibility to Customers

1. How to Ensure Business Responsibility:

Set the code of ethics.

Monitor customer complaints.

Obtain customer feedback

2. How to ensure the responsibility of the Government:

Product Safety Rules.Advertising Rules.

Regulation of Industrial Competition.

Social Responsibility to Workers

1. Employee Safety

Ensure workplace safe for workers.

2. Treatment of workers

Ensure no discrimination.

Establish a harmonious relationship between owner and worker

3. Equal Opportunity

Equal Opportunities / Civil Rights

4. How to ensure Business responsibility:Complaints Procedure.

Code of Ethics.

Learn the Employment Act

Social Responsibility to Creditor

1. Financial Liabilities.

2. Inform the creditor if it has financial problems

Social Responsibility to the Environment

1. Prevention of air pollution:

A review of the production process.

Government Guidelines

2. Prevention of terrestrial pollution:Review of production and packaging process.

Storing and transporting toxic waste products to a disposal site

T is a Social Answer to the Community

1. Sponsors of local community events.

2. Donate to the community can not afford.

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