Example research essay topic: Socio Cultural Environmental Influences - 1,036 words

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... lation-adjusted average employee wages falling from $ 42, 928 in 1978 to $ 37, 985 in 1988. About 20, 000 airline industry employees were laid off in the early 1980 s, while productivity of the remaining employees rose 43 % during the same period. In a variety of cases, bankruptcy filings were used to diminish the role of unions and reduce unionized wages. When Southwest began flying to three Texas cities, the firm had three aircraft and 25 employees. Initial flights were out of Dallas older Love Field airport and Houston's Hobby Airport, both of which were closer to downtown than the major international airports.

Flight attendants in hot pants staffed flamboyant from the beginning, original flights. By 1996, the flight attendant uniform had evolved to khakis and polo shirts. The Luv (love) theme was a staple of the airline from the outset became the companys advertisement campaign along with ticker symbol on Wall Street. Mission Statement. Dedication to the highest quality of Customer Service delivered with a sense of warmth, friendliness, individual pride, and Company Spirit Vision Statement.

Open up the skies for ordinary people Goals To make profit Achieve job security for every employee Make flying affordable for more people. Core Competencies Short hall High frequency Low fare No-frills Point- to -point Strategies. Conservative growth pattern Cost-containment policy Commitment of its employees Expansion Strategy (not less than 12 flights / day ) Flying large numbers of passengers on high frequency. Short hops (usually one hour or less) barging fares. Avoid hub-and-spoke. Avoid most congested major airports.

Creates market segments peculiarly (for adapting changes that are most efficient and economical) Longer non-stop trips (to save changes to ticket tax 1997) Faster turnarounds, Plastic Cards, No assigned seating, Low Cost Only (737) jets. Operating cots / available seats 15 - 25 % lower than rivals. Flexible work rules. Employee retention policy. Maximizing profitability. Full fare ticket along with Chivas Regal.

And more fatherly discussed. Assessing the nature of the environment. Since one of our major problems on strategic management is coping with uncertainty, it is useful to begin by considering how uncertain the environment is and why. Regarding the fact that, uncertainty increases the less the environment is stable or the more it is dynamic, and also by extend to which it is simple or complex. Wanted to evaluate into which environment Southwest operates, we can easily understand the company operates in a complex environment also with dynamic conditions. This conclusion generates, by the fact that Airline Companies that operate into a constantly changing environment with many rabid classifications ex. (11 th of September), the different parts of an organization must be responsible for different aspects diversity; and also to have the authority to handle their own part of the environment.

Chair President and CEO Herbert D. Kelleher. Corporate Services John G. Denison Exec. Vice-President CustomersCollen C. Barrett.

Exec. Vice-President Operations Garry A Barron. Exec. Vice-President and COO Internal Audit and Special Projects. Al Davis Vice-President Schedule Planning. Pete McGladeVice-President Therefore, Southwest operates into a multi-divisional structure, as it subdivided into units (divisions) on the basis of products, services, geographical area or the processes of the enterprise.

This is an attempt to overcome problems that functional structures have in dealing with the diversity of the environment. The products and markets that Southwest operates are so diverse that it could be impractical to bring the tasks together in a single body. So divisions can be created which related closely to the SBUs, allowing tailoring of the product / market strategy to the requirement of that SBU and improving the ownership of the strategy by divisional staff. The main advantage is the fact that Southwest was able to concentrate on the particular business (SBU) and opportunities of the environment. Ex. Purchase 3 brand new 737 s at bargain-basement prises because Boeing had over produce in periods of slump.

Environmental Influences (P. E. S. T Analysis) Environmental forces, which are especially important for one organization, may not be the same for another; and over time, their importance may change. Southwest might be especially interesting in understanding policies and legal governmental matters, since it operates in different states, with different operating plants or subsidiaries with different political systems.

It is also likely to be concerned about labor costs and exchange rates, which will affect the ability to compete with multinational competitors entering the environment For that carrying out a PEST analysis we will find the key influences of change and providing the basis of examining the extent to which these influence has major or no impact to Southwest. A PEST Analysis of Environmental Influences Political/Legal Federal Ticket Tax 1997 Block Approval with temporary restraining order Deregulation of flights. Wright Amendment for Love Field Labor Unions Economic Factors Operating costs were fixed or semi-variable. Federal Ticket Tax 1997 Price sensitive customers. Socio-cultural Price sensitive customers Time oriented customers Technological Internet 737 s Wanted to better evaluate the PEST diagram, we consider vital in this point to identify a key number of environmental drivers of change, by identifying the: Key drivers of change and the differentiate impacts of environmental influences. Furthermore, the impacts of Socio-cultural environment is consider crucial as South west must satisfy 2 different types of opposite cultures: Price sensitive, Time oriented.

To achieve that must focus, to a low-cost time oriented strategy, as this two target groups are the most important. Also, technological factors (Internet) are considered vital, as must focus on look-to-look ratio. And, 737 are considering crucial as to provide efficient response (ER) to customers need, wands, demands. (turnaround, knowledge, ) And finally flight deregulation must be a key point in competitive arena, to operate in more flexible ways. Controlling Scenarios (What if? ) Scenario planning is essentially useful in circumstances where it is important to take a long-term view of strategy, probably a minimum of 5 years, where there is limited key factors influencing the success of a strategy, but there is higher level of uncertainty among relevant factors.

For that a scenario analysis is considered vital. Step 1: High Impact, High Uncertainty factors in the Environment. High Potential Impact Low Low Uncertainty High (Source: Developed by the author, Exploring Corporate Strategy, Gerry Johnson-Kevan School...

Research essay sample on Socio Cultural Environmental Influences