Faculty of Business and Management

Semester May 2011

BBHI 4103

Industrial Relations

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Introduction
Social or Societary environment of business means all factors which affects business socially . Every business works in a society , so societies ' different factors like family , educational institutions , demographic factor, increase in female workers, increase in part time and temporary workers and religion affects the industrial relations in an organisation.

Influence of Social Environment Factors.

Demography is the study of the characteristics of human populations. Todays demographic environment shows a changing age structure shifting family profiles geographic population shifts a better educated and more white-collar population and increasing diversity. The economic environment consists of factors that influence buying power and patterns. The demography of a region includes population size and composition, as well as key socio-economic attributes such as literacy levels and wide or narrow disparities in a society's distribution of income. Theoretically, the larger the total population in a region, the larger the potential market that will exist. In addition, the composition of a population in terms of age and sex will also influence the potential demand for specific products. For example, if a company wishes to market disposable nappies abroad, the number of women in a particular target market who are of child-bearing age is an important influence on the potential demand for that product. In effect, demographic factors such as literacy levels serve to stratify the total population into two different segments - those people who are likely to be potential consumers and those who are not. An overall increase in population size is therefore relevant to potential demand. Stratification of the overall market by demographic characteristics also helps to identify significant changes in potential marketing opportunities. For example, the ageing of the post-War 'baby-boomers' is creating a growing worldwide market for products and services geared to affluent and middle-income families

Population size influences the demand for spatially universal service infrastructure (though influenced by economies of scale): Water and sanitation Basic social services infrastructure (number of schools, health facilities Age structure of population: Young population: obvious bias toward demand for educational infrastructure Working age group: public infrastructure to provide complementary inputs for private sector productivity and job creation Elderly population: need an elderly-friendly infrastructure

Evaluations of Influence of Social Environment Factors

Recommendations to Improve social environmental factors in Industrial Relations of an Organisation.

Conclusion

References