External and Internal Environments Term Paper Example | Topics and Well Written Essays - 2250 words

External and Internal Environments - Term Paper Example This also indicated that this firm is the 14th most profitable when compared with many other firms of its size (Kurtz & Boone, 2011). Upon considering further metrics, Forbes Global 2000 ranked General Electrics as the third largest company in the world. This paper seeks to discuss the internal and external environments of General Electrics Company. Segments of the general environment The general environment revolves around every condition in the outside or external environment, which is part of a background context of a managerial decision-making. In simple terms, the general environment of an organization is generally the outer layer that widely affects the organization indirectly and in many ways (Heide, 2008). Typically, environmental issues that may affect an organization consist of the social cultural conditions, economic conditions, technological conditions, political and legal conditions and demographic conditions. With reference to the General Electrics Company, two segments of the general environment would rank highest in their influence on this corporation. They are technological conditions and economic conditions (Griffin, 2012). Particularly, every company that chooses to invest heavily in technological advancements stands to benefit a lot especially when it outshines its competitors. General Electronics deals with products and services wherein technology plays a huge role in their success or failure. For instance, General Electrics offers healthcare products (P&Ls) for surgical operations (Kurtz & Boone, 2011). In this business, General Electrics offers a market-leading healthcare in interventional imaging and intra-operative that facilitates guidance for minimal invasive surgical procedures. Imaging products for surgery are integral in more than one sector as they are also pragmatic in other fields, which include orthopedics, general surgery, neurosurgery, cardiology, urology, GI and for specified processes such as management of pain (Heide, 2008 ). Indeed, technological conditions rank highest in its influence on the General Electrics operations. This is so because the world is today flooding with different ways of meeting the same goal but with different means indicating that technology is playing a huge role in influencing the functioning of many corporations (Ireland, Hoskisson, R. & Hitt, 2008). Economic conditions would also rank highest in their influence on the General Electrics provision of services since economic conditions change with time. Profoundly, a company’s performance and operations depend highly on the economic conditions of the time (Ireland, Hoskisson, R. & Hitt, 2008). Economic conditions would rank highest in influencing the operations and performance of this corporation because uncertainty regarding current global economic status poses great risk as its core consumers may continue postponing their spending decisions (Kurtz & Boone, 2011). This could be in response to negative financial news, u nemployment, tighter credit and/or deterioration of the asset or income values. Hence, economic conditions would rank highest in influencing the service provision of this corporation given such uncertainties could cause material negative effects on demand of the company’s products and services (Griffin, 2012). General environmental factors like the economic conditions and technological state have a heightened rank in the operations an