The economic environment consists of all factors-such as salary levels, credit trends, and pricing patterns-that affect consumer spending habits and purchasing power. The (ecological) natural environment involves all the natural resources, such as raw materials or energy sources, needed by or affected by marketers and marketing activities. The political environment includes all laws, government agencies, and lobbying groups that influence or restrict individuals or organizations in the society.
The technological environment consists of those forces that affect the technology and which can create new products, new markets, and new marketing opportunities.
This is a way a country is governed, and they are usually more than one lattice party in a county thus bring in threats and opportunities to the businesses operating in such an environment. There two possible out comes from political environment are stability and changes in the ruling government.When a country has a mufti-party system the environment is most likely to be associated with political instability as parties are battling for power. Political unrest is destructive to any business activity. In most cases these unrests results in loss of assets without compensation. The decision by the ruling party in Zombie in 2000 was the land reform program which in Renville was to redress the imbalance of land ownership between the black majority and white minority.
The effect was a sharp decline in agricultural output as the white commercial farmers were mostly replaced by either politician or high ranking government officials most of whom were not really passionate about farming or by peasant farmers who had neither the technical knowledge nor resource to undertake farming at commercial level. For example, Delta as a result of poor agricultural season sorghum beer volumes declined with 8 percent as the supply Of raw materials have been effected and the black majority in the farms could not cope up w this change in the season(The Sunday Mail Business ,page 87, 19 may 2013).Political instability is a favorable environment for an organization to operate in because they will be able to strategically plan and set objectives and they will be SMART.
In Zombie since the GNU the economy has stabilizes that firms such as delta could set themselves goals to achieve within a specific time frame and Delta has been pouring cash into re-tooling, re-capitalization and strategically positioning its business. Changes in government, as governments are formed by political parties.In Macaque people prefer beer in small containers but with high alcoholic percentages, thus their products did not make t in the Macaque cane market. Therefore a firm has to first consider the social cultural factors of the market it wants to operate in for there are the potential customers of tomorrow for their business.
This is the application of scientific knowledge to convert resources of an economy into outputs.On the technological aspect will be looking at the entrance of better and effective -Ft;says in terms of machinery and products etc. Technology is vital for competitive advantage, and is also a major driver of globalization. This involves the creation of new markets and opportunities were a firm can easily adopt a new innovative way of doing operation and this enables it to compete globally. The uses of better advanced technology have a greater impact on the processes and performance of a firm.
Technology is vital for competitive advantage, and is a major driver of globalization. The Delta Beverages has moved into modern packaging like the light Mimi bottle which uses fewer materials in production. The bottle was 25% heavier Han the new one. The new plant for the bottle reduces rejects and output was enhanced to 42000 per hour Lees take for instance Delta it needs to switch from being labor intensive to capital intensive in order to produce more quality efficiently and effectively as new advanced machinery will be introduced in the market.It means that if there were twenty employees who were mixing the contents and filling containers of coke they are automatically going to be eliminated. Therefore their way of doing operations need to be reorganized .
As a result of using modern communication Medias like video nonfreezing and Keep managers can now make decisions whilst on holiday and it also enables exchange of vital information among workers at different geographical location easily.