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Macro Environment of an Organization

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Macro Environment of an Organization
1. Macro environment

External environment is the uncontrollable factors, forces, situations, and events outside the organization that affect its performance and strategies. As shown in below figure, the examples of macro environment of an organisation is include factors such as social cultural, political and legal, globalisation, economy, demographical and also technology. Detailed definition of macro environment factors mentioned and the description showed as below.

Figure 1: Component of external environment

2. Definition of factors of the macro environment of an organisation:

Social cultural

The sociocultural component is concerned with societal and cultural factors such as values, attitudes, trends, traditions, lifestyles, beliefs, tastes, and patterns of behaviour.

In accordance of the current situation faced by Parkway Nursing Care, one of the social cultural factors is the childcare commitment that the staffs (mostly those licenced practical nurse and orderlies) needed since a lot of them are single parents or the primary care giver of their children. It’s been a common sense for American parents to prioritize the education and close monitor of their children.

The incapability and restriction of taking time off and lack of manpower contingency plan during the needs for childcare will only raise the stress and demoralize them. As further impact, this situation will reduce the nursing quality performed by the affected personnel.

Political/Legal “The basic understanding of the political legal environment is when the government implement's laws and or regulations which affect the way a business operate.”
(http://wiki.answers.com/Q/Definition_of_political_legal_environment, Answers .com, 8 JUNE,2013)

The political/legal component mainly looks at federal, state, and local laws, as well as other countries’ laws and global laws. It also includes a country’s political conditions and stability.

One of the critical government

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