Question

Under Armour

External Opportunities Environment

What are the natural, and societal environmental factors that can have a positive impact on the company (opportunities)?

What are the negative factors from any of these environmental areas that will have a negative impact on the company’s operations?

Answer 1

Natural and societal environmental factors that have a positive effect on organization.

A business has lots of factors that directly and indirectly affect their functions. Natural and environmental factors cannot be directly controlled by the business but changes in business process can be made as to adapt to the environment. Some of the factors that positively affect business are

1. Social customs - one factor from the society that greatly affect the business in a positive way. Business has to understand the customs of the customers and offer accordingly.

2. Legal issues- legal directions enacted by the government play a major role in running the business in a smooth and perfect manner. Things can be handled legally without causing much delay in the processes.

3. Geographical conditions - A business should study the geographical conditions and decide services according to the customers need. Customers will prefer products according to the weather conditions.

4. Technology - One important aspect that will positively impact business is adaptation to advanced technologies. It will speeden up the business process and improve the overall performance of the business.

5. Economic conditions of the country in general affect the business. When economy grows business grows.

Factors that negatively affect business are

1. Natural calamities- natural disasters negatively play a role in business. As it occurs suddenly business will not be prepared to face them. So it turns out to be negative.

2. Natural resources. When supply of natural resources and raw materials reduce then the business face a slowdown.

3. Political factors- Government policies are sometimes stern and not flexible. Such policies will affect many business when they are not able to fulfill the norms of government policies.

4. Social media - A very strong media in modern world is the social media and networking. It can either make or mar a business. Many negative feedback and comments circulate very easily and major business will get affected.

5. Competitors- An external factor that will greatly influence business is competition and competitors. Business should be very sharp to outlive their competitors.