The changes from the present times influence more and more in general the national economies and in particular the companies thought the impact on their business environment. We can see how the events from one county have sometimes a global impact and other times have an impact on specific national economies or companies from a specific country. In this way the business environment it is in a continuous change that influences the company’s activities.
If with decades behind, the organization of the company could remain unchanged for a long period of time, even in conditions of economic crisis or economic growth, in present the situation is totally different because of the dynamic rhythm of economic and social life. In order to face and to adapt to all these changes, the companies have to modify their management and organizational structures. The ease with which firms adapt to environmental changes depends on their organizational structures and flexibility.
But why some organizations yield more profit than other ones? Why some companies “survive” to competition and others “die” after a short period of success? These are standard questions of researches on business management. The answer to these questions is their capacity to adapt to changes and to choose the best alternative based on a proper match to the firm’s economic environment.
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See original here: The Organizations and the Challenges of the New Century