2. External analysis
According to Marcus & Van Dam influence external factors an organization, whether an organization can only limited influence external factors. Therefore is important to analysis the external factors of a company, as they have to be informed about the macro environment in which they cooperate. The macro environment includes the external factors environmental, technological, economical, social, political, cultural, demographical, regulatory, general competitive and legal.
There are many different models for an external analyses one of them called PESTEL model it involved political, economical, social, environmental and legal factors. The PESTEL model illustrates is most important factors, which are relevant for a Media company like TMF. TMF is based in the Netherlands due to the analysis is mainly about the external factors in the Netherlands.
“Technological developments are often called the motor of our economy” (Van Dam, N., & Marcus, J., page 51, 2007) “The technological environment is a force that creates new technologies that create new products and also market opportunities.” (Kotler, page 107, 2009)
New technologies getting introduced all the time, because of the hugh competition between the companies. Technological innovation do not only exist because of completion moreover because to the pursuit “demand for more environmentally friendly goods and services of a higher quality with lower cost price which can be delivered faster and more conveniently.” (Van Dam, N., & Marcus, J., page 51, 2007) Furthermore, is there a continuous improvement of products. As a result is the life span of existing products increasingly shorter than years or decades ago. Which has consequents in the environment and economy.
In the last decade they’re many new digital applications introduced which opened a new market only for digital technologies. Due to it is a market, which has a big target group many competitors are trying to raise attention. TMF has therefore many competitors due to their also collaborate into the new media sector.
Nevertheless, due to the introducing of the smart phone and tablet people are more likely into digital applications and online communication.
Climate change is one of the worst factors, which will effect or effect the world’s environment. The Netherlands will be effected due to it is a coast country and the Netherlands is lower than the sea level, rise the sea level because of the melted Antarctica the Netherlands will be flooded. Till now the changes are limited, but it is going to change in the next few decades. Moreover, the temperature will change to extremely dry and warm.
The Netherlands are going to protect their environment due to several political plans like the “Holland´s National Environment Policy Plan” (NEPP) which target is pollution reduction. TMF as an new media and print company will be effect as when the Netherlands is flooded they will need a new location but due to the fact it is not in the nearly future it would not effect them.
Secondly, business like TMF needs to have certain standards to reduce adverse which effects the environment. Due to such standards the environmental factors can be regulate such as clean water and air. It is important as a company to respect their surroundings. Furthermore, as a print company like TMF it is important to look for new technologies like they already work with e-media , which can reduce the actual paper usage.
Dutch people are familiar with making business with foreigner due to a long history of international trade. The Dutch business community is very close due to the fact that of the size of the country. It is very important for Dutch people to have to opportunity of an own opinion in business, even when the decision is already made by someone else, they will try to strive for consensus. (Netherlands (Holland), Language, 2012)
For the Dutch population is the family the highest standard. Normally don´t work women with children full-time, they are staying at home and raise the children. A typical Dutch family has 1 to 3 children. Dutch people are know has very tolerant and individual they raise their children without gender biases. Moreover, are Dutch people very direct in their communication. Nevertheless, are Dutch people very self-controlled in the business life, they don´t like to show their private life to the outsiders. Therefore, keep Dutch people separate private and business life.
Their, are very reserved and formal when they are dealing with outsiders. The Dutch population, have according the Dutch law a maximum of 9 hours work per day and 45 a week. They have a minimum of 20 days vacation a year but furthermore, many public holidays which give them many extra days. (Netherlands (Holland), Language, 2012)
The Kingdom of the Netherlands has a population of 16,730,329 people by a density of 495 per km2. The increase in population is 0.49% (2010). The main target group in the Netherlands is people in the age between 14-64%, which conforms 67.7% of the Dutch population. (Population, HollandTrade, 2012)
TMF´s clients are mostly in the Netherlands or Germany therefore it is important to know how the Dutch society is built and which are the main target groups for new and print media.