External Influences Technology and Changing Social Attitudes
External Influences <ul><li>New Technology: </li></ul><ul><ul><li>New business opportunities </li></ul></ul><ul><ul><li>Cr...
External Influences <ul><li>New business opportunities: </li></ul><ul><ul><li>Within the same industry?  (Core business) <...
External Influences <ul><li>e.g. Canon – core business, optical technologies:   </li></ul><ul><ul><li>cameras, photocopier...
External Influences <ul><li>Threats: </li></ul><ul><ul><li>Cheaper alternatives from abroad – CFC technology, bio-technolo...
External Influences <ul><li>Working practices: </li></ul><ul><ul><li>Technology and productivity –  impact on workers, mor...
External Influences <ul><li>Communication: </li></ul><ul><ul><li>Faster? </li></ul></ul><ul><ul><li>More efficient? – if s...
External Influences <ul><li>Changing Social Attitudes: </li></ul><ul><ul><li>Social ‘class’ – changing socio–economic grou...
External Influences <ul><li>Changing income structures </li></ul><ul><ul><li>Distribution of income </li></ul></ul><ul><ul...
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Technology As A Source Of Change

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Technology As A Source Of Change

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  • The aim of this slide is to demonstrate that companies with a core skill are able to use that knowledge to apply to a range of associated products. But, how far should a company extend itself into other products using similar but not exact technologies? DVD players, Discmans, etc. all utilise similar types of technology but a company like Canon may decide to steer clear of them because it is not their core skill – many businesses are re-focusing on what they are good at rather than trying to spread themselves too far. This is becoming even more relevant as the boundaries between technologies become ever more blurred and micro processors are used to control or execute so many products, e.g. the intelligent fridge! Many years ago cameras did not have micro-chips in them, Canon have had to acquire an understanding of that technology to keep ahead in the field of photographic equipment and now even more so with digital cameras.
  • Technology As A Source Of Change

    1. 1. External Influences Technology and Changing Social Attitudes
    2. 2. External Influences <ul><li>New Technology: </li></ul><ul><ul><li>New business opportunities </li></ul></ul><ul><ul><li>Creation of substitutes </li></ul></ul><ul><ul><li>Opening up of new markets </li></ul></ul><ul><ul><li>Technical progress in foreign countries </li></ul></ul><ul><ul><li>Productivity </li></ul></ul><ul><ul><li>Ways of working </li></ul></ul><ul><ul><li>Communication </li></ul></ul><ul><ul><li>Cost of investment versus return </li></ul></ul>
    3. 3. External Influences <ul><li>New business opportunities: </li></ul><ul><ul><li>Within the same industry? (Core business) </li></ul></ul><ul><ul><li>Totally new markets/opportunities </li></ul></ul><ul><ul><li>Amount of investment needed </li></ul></ul><ul><ul><li>Market research – do consumers need the product? </li></ul></ul>
    4. 4. External Influences <ul><li>e.g. Canon – core business, optical technologies: </li></ul><ul><ul><li>cameras, photocopiers, scanners, projectors, calculators, binoculars, digital cameras, printers, projectors </li></ul></ul><ul><li>New markets – Discmans? DVD players? Flat Screen TVs? Plasma TVs? </li></ul><ul><li>Risk versus gain </li></ul>
    5. 5. External Influences <ul><li>Threats: </li></ul><ul><ul><li>Cheaper alternatives from abroad – CFC technology, bio-technology, computer and micro-processor technology (especially China?) </li></ul></ul><ul><ul><li>Rivals producing substitutes – PS2, X-Box and Game Cube </li></ul></ul><ul><li>How to react? </li></ul>
    6. 6. External Influences <ul><li>Working practices: </li></ul><ul><ul><li>Technology and productivity – impact on workers, morale, motivation? </li></ul></ul><ul><ul><li>Implications for ‘old’ plants (e.g. Longbridge versus Sunderland? </li></ul></ul><ul><ul><li>Flexible working – working from home, hot desking, mobile computing (wireless networks) video-conferencing </li></ul></ul>
    7. 7. External Influences <ul><li>Communication: </li></ul><ul><ul><li>Faster? </li></ul></ul><ul><ul><li>More efficient? – if so why have some firms banned the use of e-mail at work for any purpose? </li></ul></ul><ul><ul><li>Impact on motivation, morale and worker attitudes </li></ul></ul><ul><ul><li>To what extent does the message get through? </li></ul></ul>
    8. 8. External Influences <ul><li>Changing Social Attitudes: </li></ul><ul><ul><li>Social ‘class’ – changing socio–economic groupings </li></ul></ul><ul><ul><li>Links with behaviour and demand (e.g. growing number of pensioners; those who smoke or drink certain types of alcohol) </li></ul></ul><ul><ul><li>Changing tastes – concern for ‘green’ production, attitudes to fur, wine versus beer, vegetarians (long term or short term?) </li></ul></ul><ul><ul><li>Changing lifestyles – convenience and fast foods, use of freezers, use of cars, amount of leisure time and how it is used, etc. </li></ul></ul>
    9. 9. External Influences <ul><li>Changing income structures </li></ul><ul><ul><li>Distribution of income </li></ul></ul><ul><ul><li>Regional distribution of income </li></ul></ul><ul><ul><li>Impact of government taxation on disposable incomes </li></ul></ul><ul><ul><li>Relative income elasticity of demand for different goods and services </li></ul></ul>
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