Environmental Factors Task Environmental Factors Introduction Walt Disney Company (Company) is one of the organizations that Iam familiar with as it conducts both the domestic and global marketing. Disney Company is well much committed to the endorsement and maintenance of the responsible international manual labour practices in its licensing and the direct sourcing operations all over the world. This paper tries to analyze some of the environmental factors that affect the global and the domestic marketing decisions, and analyzing the influence of cultural differences, the effects of political systems and the influence of international relations, the importance of demographics and physical infrastructure, as well as the effect of technology on Walt Disney Company. The Walt Disney Company is responsible for conducting businesses both domestically as well as internationally.
The Company has various theme parks in most countries where it conducts cruises in various countries with their cruise, and they have stores all over the world. It also has their movies written in different languages of the country, which are distributed all through the world. Disney has managed to learn from experiences on how they can market their products in the world of market.
The Company tries to analyze the global and the economic influences which helps them in determining where and when they are supposed to develop in the countries. The company tries to find out on how they can practice trading and an agreement with other countries who intends to carry on with the business (Egendorf, 2005). Global Economic Interdependence and the Effect of Trade Practices and Agreements The Global interdependence in this case means that all countries that are around the world happen to be dependent on another for some things.
This is particularly apparent regarding the imports as well as, the exports of commodities between countries. For example, Disney makes all the effort to save citizens money by providing them with goods and services at cheaper prices than their competitors. Disney Company does this in order to pass savings to Disney customers. Many Consumers seeks low prices, and Disney does it by increasing the customer’s base, this contributes to the sustainability of the Company. However, Disney may not be in a position of offering low prices to its customers. Importance of Demographics and Physical Infrastructure Demographics in a company play tremendously significant roles for Disney when it comes to approaching marketing decision.
Demographics help in giving information about the population in a given country. It tries to address some factors regarding to age, the income, gender, density, size as well as, location (Armstrong & Kotler, 2011). Demography helps in determining the a suitable location to which the company is to be located, and it should be located where it would generate profit as well as, where additional infrastructure such as the stores and the distribution facilities.
Disney is known in targeting the price conscious customer therefore; it is extremely improbable for Disney to have its stores built in affluent areas. This happens because the population in the area could be guided by a quality value rather than the price Armstrong, 2009). Influence of Cultural Differences Disney selling decisions is enhanced by many cultural differences. For example, in other countries like Germany, Disney does not employ greeters at the doorway nor do stores have workers in place to collect carts.
This happens because, in German culture, the services are seen not to be providing any values. The German customer, however, significantly worth their time, and therefore, cash registers is at all times fully employed. The Importance of Social Responsibility and Ethics versus Legal Obligations Walt Disney Company is one of world’s Companies in terms of sustainability. “Sustainable marketing normally calls for the social as well as, the environmental accountable actions that try to meet the needs of the consumers plus businesses. It also preserves the capability of meeting people’s needs through enhancing the future generations (Armstrong & Kotler, 2011, p. 511).
Disney recently done its research on environment and concluded that, the Company environmental goals are to use renewable energy, which is about, 100 percent in order to create the zero wastes, as well as selling only the products which would sustain a world’s people environment. Disney’s sustainability also includes the processing of the moral ethics practices. When a company acts unethically, it does not harm customers alone, but it also harms the entire society (Armstrong & Kotler, 2011).
Disney Company should be responsible in making right decisions regarding the legality against social responsibility in addition to ethics. Not all lawful behaviours are considered ethical. Making the distinction is relating to global operations since every country has its law as well as ethical views. Effect of Political Systems and the Influence of International Relations Because Disney is an international company, it is therefore, forced in working with countries, which have different political system. This is a challenging to the Disney Company since laws as well as policies differ from country to country.
In addition, the political structure or systems in various countries are unstable because of war, the internal political struggle, and terrorism. It is therefore, appropriate for companies to conduct businesses in countries, which is potentially stable. The unstable countries are highly risky for Disney Company because it may jeopardize the investments of the company. Influence of the Foreign Corrupt Practices Act of 1977 The Foreign Corrupt Practice Act of 1977 guides Disney local, national, as well as global operations. The law stated applies towards foreign firms as well as individuals who conduct themselves through bribery when in the United States (Perrault, Cannon, & McCarthy, 2011).
Disney observance with the law is extremely significant since by not doing so it may be associated by cruel consequences. Effect of Technology Technology is extremely beneficial to the organizations, which tries to expand themselves in terms of satisfactory performance and management. Disney is well known of being ahead of, other companies when it comes to technology. A refined networking system allows the company to handle and direct products. Disney is in a position of tracking sales, managing its inventory, as well as reviewing the sales forecasts any time.
Consequently costs are normally reduced as well as saving are also passed to the customers. The development in technology has made it easier for customers to bid merchandise from the Disney Internet site instead of having it shipped to customers, which can actually choose the commodities up at the nearest store. Conclusion The Global interdependence is not without its flaws; conversely, for the company such as the Disney to gain the success, it should firstly conduct itself in globalization.
A number of factors should always be considered before conducting business in unfamiliar countries since every country has its different cultural values as well as, laws. One should adhere to a global, ethical standard as unethical behaviour can always damage a company’s reputation as well as, harming the society. References Armstrong, G. (2009). Marketing: an introduction ([European Ed. ). New York: Financial Times Prentice Hall. Egendorf, L. K. (2005). The environment. London: Greenhaven Press.