Internal and External Factors
Internal and External Factors
In this paper, I will be discussing the internal as well as the external factors such as Globalization, technology, innovation, diversity and ethics affect the four functions of management in the restaurant plan. I will be using examples from each factor as well as using peer reviews from my team discussion. The globalization in the restaurant industry is crucial this measures the healthy financial side of the company by growing and interacting with different cultures. People travel on vacation all the time we go to different countries and we enjoy the different cuisine. Investors are always among this people and are looking for growth opportunity for their business concept. One very good example that we have is “GE which became a massive and profitable corporation by selling appliances, lightbulbs, and machinery to US customers, recently announced that it expected its foreign sales to equal the sales within the United States.” ( ) globalization also gives employers to choose from an array of indefinite talent and employees as well they benefit from all this by experiencing cultural change making them grow and be more valuable for their employer.
Another item to add to this great way of growing is the internet it is such a valuable tool for companies now days they can advertise their goods and services to the consumer directly and targeting the right markets making it more cultural and diverse. “Successful CEOs know the local to the global market place is gaining momentum and it is irreversible.” ( ) globalization also makes possible for many employees to work from the comfort of their own home and in turn making it possible for companies to save in office space, for example someone can supervise employees from other countries this can also cause for your day to start very early and end very late. Technology just as globalization it is what makes companies to be successful by reaching in markets companies never thought possible. Technology brings challenges as well as opportunities for business to grow at a rapid pace but if you blink you are out of your chance competition for new markets is very tuff and everyone is just waiting for a chance to market their goods and services in a fast, easy and affordable way. The profit margin is bigger and companies thrive even in the worst economy.
Some of the most successful companies are the web base companies that give consumers the choices of millions and millions of products at their fingertips. Technology also gives you the information you are looking for in the language you desire that is the beauty of technology we have all the information we need 24/7. Companies can compare their goods and services against other companies and get the cutting edge on how to gain more profit from any opportunity since at the end of the day the goals for any business is to make profit. The down side of technology is that there so much competition in the ecommerce industry that companies also lost much profit by investing their capital and was not able to get their investment back. Many people also made a bad career move thinking this was the right way to go many drop school and managers left their careers to pursue the ecommerce innovation path.
One lesson we can all learn is that technology is just part of the business not the whole business in itself and most successful companies integrate both the traditional business concept as well as the ecommerce business. In the restaurant, industry technology brings a new set of challenges especially for people that are not comfortable with technology or are simple the older crowd and are not willing to change their way. Technology for someone like me is the best thing a restaurant can have it makes it creates simpler steps and I can see where my restaurant stands compare to others according to the metrics that we have in place.
Innovation is inevitable for any company in the restaurant industry, we must adapt to the customers demand for new products and with this comes challenges in training and execution if your product is not up to consumer’s standards they will choose one of your competitors which means lost sales for the company and lower more hours for the employees. Innovation is also a great tool for the restaurant industry because now we can advertise our products and services in any social media and people are more aware of what is out there for them. In order to be successful, the restaurant industry must give its consumers what is advertised. In the restaurant industry innovation comes from globalization and gives us a chance to reach out far more customers, as before we only had limited resources. Innovation is the key to keep the restaurant growing in different markets and being more profitable. Innovation is connected to quality, if we don’t execute.