components of be: socio-cultural environmentsocio-cultural environment course coordinator: dr....
TRANSCRIPT
LOGOBusiness Environment
UNIT-IComponents of BE:
Socio-Cultural Environment
Course Coordinator: Dr. Saboohi NasimFMS&R, AMU
Unit –I (Syllabus)
❖Nature, Characteristics & Objectives of
Business
❖Nature & Elements of Business
Environment
▪ Technological Environment
▪ Socio-cultural Environment
▪ Political-legal Environment
▪ Demographic & Natural Environment
▪ Economic Environment
Ecological view of business in a system
relationship with society??
• Business is an integral part (sub-system)
of the (total) social system.
• The social system influences business,
which in turn, is affected by the business.
Keith Davis & Robert L. Blomstorm
(Business, Society and Environment, 1971)
• Values: set of beliefs that drives the activities of business.
• Viability: is the drive to live, grow, and achieve all that a
living system is capable of becoming. Business is a viable
vigorous institution in society…not just a passive
receiver/reactor .
• Public Visibility: refers to the extent that an
organization’s activities are known to persons outside the
organization. Different from public image (what people
think), public visibility subjects business activities to public
examination, discussion, and judgment.
Keith Davis & Robert L. Blomstorm
Characteristics of Business as Social Institution…3Vs
• Culture and society are intricately related; Society
consists of people who share a common culture.
• Culture refers to “….complex whole which includes
knowledge, belief, art, morals, law, and other capabilities
and habits acquired by man as a member of society”
(E B Taylor)
• Culture is the “…software of the mind—the social
programming that runs the way we think, act and percieve
ourselves and others.” (Geert Hofstede)
Culture is a socially learned behaviour and can
change.
Society Vs. Culture
• Social and Cultural factors which are beyond the
control of an organization
• Social factors: Influence exercised by social
institutions and social systems like family, caste
system, marriage, religion, social groups etc
• Cultural factors: include value systems, people’s
attitude to work, customs, traditions, education,
language, tastes and preferences, etc..
Socio-Cultural Environment?
Social Institutions and Social systems…
• Family: change in size and structure of family unit has an
impact on purchase decisions (joint vs nuclear); family life
cycle…..etc
• Marriage: as an institution has undergone changes (social
contract, legality, glamour, consumerism..)….. direct implications
for various industries-apparel, jewellery, real state, insurance,
automobile etc……..Mukesh Ambani’s daughter wedding cost ??
• Religion: belief systems (faith), morals, ethics….; Have huge
implications for businesses (Food, apparel, real state, liquor, toy
industry ….)
Social Factors
• Social Groups: unions, trade associations, civil society
organizations, environmentalist groups, other pressure groups
(physically challenged/differently abled etc.. Mirakle couriers-
Mumbai-Dhruv Lakra; Microsign –Gujarat etc)
• Caste System: social stratification..SC/ST (implications for
recruitment -reservations), social responsibility for the exploited
…(Tatas, HLL.. Recent amendment in SC/ST Act 2020??), Impact of
education…
• Role of Women: increasingly recognized socially as well as by
the businesses….greater participation in workforce, flexi timings, work
from home…etc…(Gender Gap Index 2019??)….empowerment of
women by businesses –Project shakti by HUL
Social Factors…
Characteristics of Culture
• Learned: Culture is not inherited…acquired
by learning and experience
• Shared: People as members of a group,
organization and society share culture
• Trans-Generational: passed on from one
generation to another
• Symbolic: based on human capacity to symbolize
or use one thing to represent another
• Adaptive: based on human capacity to change or
adapt
• Beliefs & superstitions: increasing importance of
astrology and numerology in India… auspicious days,
numbers, colors etc….impact on business??
• People’s attitude towards work: work
commitment, work-life balance, worker-mgt. relationship….
work culture
• Customs & Traditions: greetings/handshakes,
attitude towards guests, weaker sections (women, children,
elders, physically challenged, poor….etc), customs and
rituals…
Cultural Factors?
•Language: means of communication…critical
implications for marketing, packaging, HR etc.
• India is multi linguistic. (18 officially recognized languages and the
census of India identifies 1652 more.); Marketing becomes costlier
and more complex due to this huge diversity
•Tastes and preferences: dynamic in nature,
fashion, aesthetics,..etc
•Education: level of education, quality of
education…RTE, education of children…Adopt a
school program by Alig society??? AAP’s model??
Cultural Factors…
Do watch
Infinite Vision: The Story of Aravind Eye HospitalAuthor Pavithra Mehta tells the story of her grand-uncle Dr. Govindappa Venkataswamy,
and his journey to becoming the founder of the Aravind Eye Hospital in Madurai, India