Introduction:
In this essay, I will make an abstract of the definition about General environment. With
examples behind to support my points in defining General environment. Moreover, I will
list out the challenges provided by several types of general environment factors that make
difficulties to managers. I will choose an organization (Cathay Pacific) to be an example to
describe the elements that may exist in its general environment. Of course, related
references will be provided to backup the points.
Assignment aims and objectives:
This assignment aims to define General environment. Also to point out the challenges that
General environment provides for managers. And then, choose an organization as I
selected Cathay Pacific, to describe the elements that may exist in Cathays general
environment.
Through the above findings, better knowledge about general environment in management
point of view will be learned. Such as what is general environment; what is the
relationship between general environment and an organization; what challenges that
general environment provides for managers; what kinds of general environment that an
organization is facing; how those general environments affect an organization; helpfully
helps to find out how to tackle the challenges provided by general environment.
Main body: Define the general environment
The general environment consists of all conditions in the external environment that form a
background context for managerial decision making. In other words, general environment
is the outer layer that is widely dispersed and affected organizations indirectly
(Schermerhorn, 2008), (Jones, 2008), (Bateman, 2002), (Richard, 2008), (Bateman, 2007),
(Robbins, 2007), (Williams, 2008).
Typical external environmental issues include Economic conditions, Social- cultural
conditions, Political and legal conditions, Technological conditions and Demographic
conditions (Jones, 2008).
Economic conditions stand for health of the economy in terms of inflation, income levels,
customer purchasing power, gross domestic product (economy growth), unemployment,
job outlook and also the interest rate. Because organizations today are operating in a global
environment, the economic dimension has become exceedingly complex and creates
enormous uncertainty for managers. The economies of countries are more closely tied
together now (Richard, 2008). Such as the economic recession and decline of consumer
confidence in the United States happens in 2000s has affected economies and
organizations around the world. Another example is, economic problems in Asia and
Europe also have had a tremendous impact on companies and the stock market in United
States. That implies, the economic condition of the countries all around the world is
interdepend.
Social-cultural condition includes the norms, customs, social values on such matters as
