Five major forces that drive the rate of change and shape our economy and political horizon are globalization, technology, organizational consolidation, the consumer and government policy and regulation. Globalization is a very important factor regarding changing the market. SAB was impacted by globalization because many of the products that it buys and sells were being made in other countries even though it was destined for a U.S. company. Technology has been a major force in the change of the marketplace. Social media has become an increasing role in business organizations and eventually will influence supply chains because they have a strong impact on the customers demand. The new CEO of SAB, Susan Weber, will have to embrace the new technology and keep up with it because it will be key to success. A good technique to organizational consolidation is collaborating. Companies can make easy changes without spending extra money by collaborating because this allows their vendors to reduce expenses. This would be a great way for SAB to familiarize itself with the competitive environment and increase sales for current and new customers. Understand and knowing the consumer has been a focus of marketing analysis for years. The impact of the consumer is very direct for the supply chains because the consumer has increased demands at the retail level for a large variety of products. The last external change is the government policies and regulations that impact people and supply chains. Deregulation has made SAB more defenseless in its regional marketplace and less protected against larger competitors.
2. What advantages might Central experience in the proposed new venture?
One advantage of this proposed new venture is that SAB already has a good relationship with Central which is a great start for their collaboration team. Also, they can combine their thoughts and