This week we learned about the organization context.
Environment is the surroundings where people, animals, or plat lives. And can also be defined as where the business operates. There are 3 layers in a business which are Internal, Competitive, and External environment. The reason Why we a so conscious about business’s environment is because it is important for business survive. For a new entrants business, we can use the tools to help us to analyze the market. There are five forces that we could define it as tools (Porter’s Five Forces): which are Threat of substitute, Bargaining Power of suppliers and Buyers, The threat of New Entrants, and the Rivalry in this industry. I would put those in a business of supermarket, which is a new entrant business.
Lecturer also mention the barrier of entry which including experience, Eco of scale (very interesting example on mugs),distribution(coke cola) and government. If the government want to encourage a business they will deregulated which means the barrier is low , if they regulated the barrier is high.
Before the mini group tutorial I did case study on steel industry and watched the video on study direct. When we were discussing the 5 forces of steel industry in seminar. It was fun , like I mention before I learned a lot from it and from my friends. Maybe we had different opinion but we talked about it. Whether I am right or wrong , it will brings deeper understanding. So..argument is great and I like it!
To be honest,it has been a tough week for me but finally make through it. Luckily reading week is coming, I can catch up some reading which I fall behind and start to get familiar with case study which Vish told us it’s quite important in our examination on December.
Last but not least, CATCH UP SOME SLEEP! XD