In the general environment there are six components: international, technological, natural, sociocultural, economic, legal/political. The following questions focus on the general environment.

-Within the general environment is the international dimension.Currently there is quite a bit of uncertainty in this area.Read section 2.2b Adapting to the Environment and select one of the methods to mitigate uncertainty described in the section.Describe the method you have selected and why you believe it would be effective in reducing the level of uncertainty.

-What strategic issues have the potential to create environmental uncertainty in the automobile industry?Refer to as many dimensions in the general environment as you can.These can be brief descriptions but be sure they are clear to the reader.

this is the section 2.2b

2.2b Adapting to the Environment Environmental changes may evolve unexpectedly, such as shifting customer tastes for video and computer games or social media sites, or they may occur violently, such as the devastating Japanese earthquake and tsunami in 2011. The level of turbulence created by an environmental shift will determine the type of response that managers must make in order for the organization to survive. Managers continuously scan the business horizon for both subtle and dramatic environmental changes, also called strategic issues, and identify those that require strategic responses. But sometimes those conclusions on environmental changes are biased in favor of some natural inclination of the managers, as shown in this chapter's Business Blooper on NBC's Today Show. Strategic issues_(Strategic issues are "events or forces either inside or outside an organization that are likely to alter its ability to achieve its objectives.") are "events or forces either inside or outside an organization that are likely to alter its ability to achieve its objectives." As environmental turbulence increases, strategic issues emerge more frequently. . Managers use several strategies to adapt to these strategic issues, including business intelligence applications, attempts to influence the environment, creating interorganizational partnerships, and mergers or joint ventures. Business Intelligence Organizations depend on information, and companies that most effectively acquire, interpret, disseminate, and use information come out as winners. Managers have learned the importance of not only being aware of what's going on inside the organization, but also getting a handle on what's going on in the external environment. Boundary spanning (Boundary-spanning roles link to and coordinate the organization with key elements in the external environment. Boundary spanners serve two purposes for the organization: They detect and process information about changes in the environment, and they represent the organization's interests to the environment.) links to and coordinates the organization with key elements in the external environment. 3. One area of boundary spanning is the use of business intelligence, which results from using sophisticated software to search through internal and external data to spot patterns, trends, and relationships that might be significant. The fastest-growing segment of business intelligence is big data analytics. As described earlier in this chapter, big data analytics refers to searching and examining massive, complex sets of data to uncover hidden patterns and correlations and make better decisions. .25. Big data analytics is becoming a driving force in many organizations, with 85 percent of Fortune 500 companies reporting in 2012 that they have launched big data initiatives. .* One of the best-known examples of the use of data analytics among the general population is in the sports world. The popular book Moneyball: The Art of Winning an Unfair Game, later made into a movie starring Brad Pitt, tells the story of how the Oakland Athleticsgeneral manager Billy Beane built a winning team by analyzing previously ignored player statistics. .3 Today, most sports teams use sophisticated data analytics programs to analyze player statistics. Similarly, businesses use big data analytics to gain insights that can improve performance. Some airlines use a service called FlightETA, from PASSUFi Aerospace. a provider of decision support technologies for the aviation industry, to eliminate gaps between estimated and actual flight arrival times. PASSUB collects a wide range of multidimensional data and can analyze patterns spanning more than a decade to understand what happens under specific conditions. The company says that enabling airlines to know when planes are going to land and plan accordingly can save several million dollars a year. 1'. Banks such as Capital One analyze customers based on credit risk, usage. and multiple other criteria to match customer characteristics with appropriate product offerings. Kaiser Permanente collects petabytes of health data on its 8 million members. Some of that data was used in a study sponsored by the U.S. Food and Drug Administration (FDA) that identified a greater risk of heart attacks among users of the pain medication 'v'ioxx. 1?. Business Blooper NBC's Today Show Brought in with much fanfare from ESPN, Jamie Horowitz was named top executive and general manager of the Today Show at NBC in September 2014. He put himself at odds immediately with the managers who hired him by suggesting for too many changes too quickly. NBC executives said Mr. Horowitz did not grasp the fine nuances of the \"Today" culture. When he was hired, Horowitz was considered as a replacement for the President of NBC News, Deborah Furness, who had actually hired him. Instead, he got fired a mere 10 weeks after he started. SOURCE Bit! Gamer, \"Executive's Aggressive Push to Revamp Today' Prompts His Dismissal, ' November 19, 2014, p. 33. Business intelligence and big data analytics are also related to the growing area of boundary spanning known as competitive intetiigence (Ci), which refers to activities to get as much information as possible about one's rivals. 3?. Influence the Environment Boundary spanning is an increasingly important task in organizations because environmental shifts can happen quickly in today's world. Managers need good information about their customers, competitors. and other elements to make good decisions. Boundary spanning also includes activities that represent the organization's interest in the environment and attempt to influence elements of the external environment. .1 General Electric (G E) spends more than $39 million on political lobbying to influence government officials to take actions that positively affect the company's business performance. GE's political lobbyists span the boundary between the organization and the government, a critical aspect of the external environment. .15. lnterorganiantlonal Partnerships Organizations often join together to adapt to or influence the environment. With tough global competition, constantly changing technology, and shifting government regulations, few companies can compete effectively unless they join with other firms in various partnerships. Organizations around the world are embedded in complex nefvmrks of confusing relationshipscollaborating in some markets, competing fiercely in others. The number of corporate alliances has been increasing at a rate of 25 percent annually, and many of those have been between competitors. 1"- For example, in the auto industry. General Motors (GM) and Honda compete fiercely, but the two joined together to develop a hydrogen fuel cell that would be shared by both automakers for vehicles they would produce around the end of the decade. Hyundai, Chrysler, and Mitsubishi jointly run the Global Engine Manufacturing Alliance to build four- cylinder engines. Volvo is now owned by Zheiiang Geely Holding Group of China, but it maintains an alliance with its previous owner, Ford, to supply engines and certain other components. 1': in a partnership, each organization both supports and depends on the others for success, and perhaps for survival, but that doesn't mean they don't still compete ercely in certain areas. 3!! Managers in partnering organizations shift from an adversarial orientation to a partnership orientation. The new Ftead the \"Ethical Dilemma\and production, and they are committed for the long term. It is not unusual for business partners to help one another, even outside of what is specified in the contract. . Exhibit 2.5 The Shift to a Partnership Paradigm From Adversarial Orientation To Partnership Orientation . Suspicion, competition, arm's length . Trust, value added to both sides . Price, efficiency, own profits . Equity, fair dealing, everyone profits . Information and feedback limited . E-business links to share information and conduct digital transactions . Lawsuits to resolve conflict . Close coordination; virtual teams and people onsite . Minimal involvement and up-front . Involvement in partner's product design investment and production . Short-term contracts . Long-term contracts . Contracts limit the relationship . Business assistance goes beyond the contract Mergers and Joint Ventures A step beyond strategic partnerships is for companies to become involved in mergers or joint ventures to reduce environmental uncertainty. A frenzy of merger and acquisition activity, both in the United States and internationally, in recent years is an attempt by organizations to cope with the tremendous volatility of the environment. . Look at the health care industry, where a sweeping national trend toward joint operating agreements and mergers reflects the tremendous uncertainty in the industry. More than 100 hospital deals took place in 2012, twice the number just three years earlier. Moreover, Gary Ahlquist, a senior partner with Booz & Company, predicts that of the 5,724 hospitals in the United States in 2013, about 1,000 will have new owners within the next seven years. Concept Connection FLOBAL STOCKS SURGE _ NOW APPEAR Walgreens Michael Leccisana/Getty Images for Heidi Klum/Getty Images Michael Loccisano/Getty Images for Heidi Klum/Getty Images Already the largest drugstore chain in the United States, Walgreens decided to expand its business through a major acquisition. The company paid nearly $400 million to purchase the online health and beauty care product retailerDrugstore.com. Mergers and acquisitions are one way organizations adapt to an uncertain environment. A merger (A merger occurs when two or more organizations combine to become one.) occurs when two or more organizations combine to become one. For example, car rental conglomerate Avis Budget Group recently bought Zipcar, the popular car-sharing company based in Cambridge, Massachusetts. ._ A joint venture involves a strategic alliance or program by two or more organizations. A joint venture typically occurs when a project is too complex, expensive, or uncertain for one firm to handle alone. Sikorsky Aircraft and Lockheed Martin, for example, teamed up to bid on a new contract for a fleet of Marine One helicopters. The joint venture would have Sikorsky building the helicopters and Lockheed Martin providing the vast array of specialized systems that each one uses. Although the two companies have previously competed to build presidential helicopters, they joined together to be more competitive against rivals such as Boeing, Bell Helicopters, and Finmeccanica SpA's Agusta Westland. ._ Joint ventures are on the rise as companies strive to keep pace with rapid technological change and compete in the global economy. Remember This . When external factors change rapidly, the organization experiences high uncertainty. . Strategic issues are events and forces that alter an organization's ability to achieve its goals. As environmental turbulence increases, strategic issues emerge more frequently. . Boundary spanning links to and coordinates the organization with key elements in the external environment. . Big data analytics (Technologies, skills, and processes for searching and examining massive, complex sets of data that traditional data processing applications cannot handle to uncover hidden patterns and correlations.) uses powerful computer technology to search and examine massive, complex sets of data to uncover hidden patterns and correlations so managers can make better decisions. . Interorganizational partnerships (Inter organizational partnerships reduce boundaries and increase collaboration with other organizations.) reduce boundaries and increase collaboration with other organizations. . A merger occurs when two or more organizations combine to become one. . A joint venture is a strategic alliance or program by two or more organizations. . Sikorsky Aircraft and Lockheed Martin teamed up to bid on a new contract for Marine One helicopters