Environmental factors are identified and explained as elements within an economic, physical, cultural, demographic, technological or political environment, which has an affect and significantly impacts the operations, growth and survival of an organization or business (Berkowitz, 2016). There are two types of environmental factors: internal which include objectives, value systems or internal relationships of business, and external that can include technological and economic factors (Farooq, 2020). It is important to note that companies do not have control on the external environment. Ignoring any type of environmental factors results in a decrease in the success of a business (Farooq, 2020).
Environmental factors for the example “company clinics that deal with employee medical problems”, open a few options to consider and account for. The first that is deemed essential would be the establishment of better relationships that are made between employees and the company they work for (Bush, 2016). Another factor to consider is significant loss prevention when employees are offered health care facilities within the organization, in the case “Toyota” (Bush, 2016).
A factor to consider when taking account for success factors of urgent care facilities and after-hours clinic a social factor which analyzes the demographic characteristics of a population (Berkowitz, 2016). This will allow full examination of the geographic markets that would be required for the implementation of the urgent care facilities within each community (Berkowitz, 2016).
Different environmental factors in marketing exist that can aid in assessing different scenarios. The main environmental forces that a firm needs to focus on and scan are technological, economic, competitive, regulatory, and social factors (Berkowitz, 2021). To determine how these factors affect the origination target market, it is imperative to conduct environmental scanning. Scanning is essential for helping health care originations modify their marketing strategy appropriately
Firms such as Toyota have created in-company clinics where the medical issues of their employees can be addressed. Keeping medical treatment in-house in organizations helps in addressing the health insurance costs (Berkowitz, 2021). The in-clinics reduce the out-pocket spending since medical attention is acquired on site. Other benefits allied to the on-site clinics in organizations include reducing missing out of work due to health issues and reducing emergency visits. Access to services is also promoted for the employees, which aids in improving their health. Company clinics in a firm such as Toyota are geared towards competitive factors in the scenario provided. Competition is a major factor in the environment. The four forms of competition are an oligopoly, monopolistic, monopoly, and pure competition (Berkowitz, 2021). In the company, clinics fit within pure competition since the services offered can be found elsewhere, but despite being similar, they are not in the company. Clinics give a competitive advantage of convenience to firms since employees do not have to travel to other locations to seek medical attention.
The second scenario entails the success of after-hour clinics and urgent care facilities in metropolitan areas, which is a good opportunity to impact the market’s social factors. Some social factors include population characteristics, income, values, and demographics (Hong et al., 2020). When cultural factors are assessed, many women work outside in significant numbers, making it essential for organizations to respond to their needs. Pediatric hours should be extended to weekends and evenings since most of these women are the breadwinners in their families. Women’s roles are changing in society, and healthcare organizations should also change to ensure that certain services are available at certain hours (Hong et al., 2020). The geographic market will allow the structures to be reviewed and explain why urgent care facilities and after-hour clinics are successful in the areas.
Different environmental factors in marketing exist that can aid in assessing different scenarios.
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