Change Management Questions

[Noblesse]

Hey guys,
Just doing some practice questions, what do you think of this answer and how could I improve it?
Identify and briefly explain any two forces for change from the external environment that are currently affecting Australian businesses.
One force from the external environment (competitors, globalization) is international competition. International competition is rivalry coming from overseas. Typically Australia only needed to complete domestically for customers and market share. However with Globalisation causing reduced tariffs, free trade agreements and the increased access to the Internet, the world markets have opened up with subsequent increased competition in all areas. For example, Australian car manufacturers, such as Holden now have to compete with product offerings from all around like world like Toyota from Japan. Generally these other countries can produce their products a lot cheaper and therefore Australian businesses need to increase productivity and subsequently efficiency to compete in the new global market.
Another force from the external environment (economic) are economic pressures. Economic pressures are forces for change from economic factors such as inflation, interest rates and the value of the Australian dollar. For example, if interest rates increase then consumers may reduce their spending especially on non-essential items, such as soft-drinks etc. This would impact unfavourably on many different Australian businesses.

[shinny]

I was thinking whether it might be better to just leap straight into 'One force from the external environment is globalisation/interest rates', rather than giving the overall macro environment factor that it comes under. Since it's just asking for forces for change, it'll save you alot of words (and hence time) and I'm pretty sure it won't lose you a mark since you've identified an actual force, not a generic macro factor. Any ideas on this?

[jsimmo]

What I would do is identify the two pressures in the first sentence.. I find that it would just add a bit of structure to your response and outlines the broad area for which you will be writing in the next sentences. So for example:

"Two pressures for change that affect the way organisations operate are increased competive markets (through globalisation) and economic factors such as inflation and interest rates."

Having your pressures listed at the start can also save effort as you don't need to mention them seperately after you have outlined the first pressure (hence, it reduces the word count as well).

It's good that you have used Holden as an example for increased competitive markets, however you could also maybe mention an example for the economic factors and how the increase in interest rates has slowed down profit levels for many organisations.

Your answer is also fairly long so it might be a good idea to focus on the main points and direct response to the question.

Overall your response is good.. just fix up the grammar mistakes and it will be a lot more clearer.

[Odette.]

I WOULD DEFINE WHAT A FORCE IS FIRST ROFL XD

[costargh]

"Generally these other countries can produce their products a lot cheaper..."

Maybe say why they are able to produce them cheaper...

I like your structure. I have done a very similar question in a practice SAC and I approached it in almost the exact same way. My question was worth 8 marks so if this was a similar marking scheme, I don't think its too long.

[Noblesse]

Thanks guys, some good tips there! Sorry about the grammar mistakes I was typing this up rather quickly and didn't check it that thoroughly