In the current times businesses have become very competitive due to changing external and internal compulsions. The external factors significantly influence business outcome and decisions and therefore necessitate flexible approach in business decision and new procedures that meet the changing demands of the time. The various external issues like environment, government policies, competition, changing socio-cultural environment, economy, technology etc. become important factors that influence organization’s productive outcome. The same is true for non-profit organizations also which broadly refer to collective work of people who help other people (Bornstein, 2007). They are distinct in their vision and mission with social objectives and goals and meet them through creatively evolved mechanisms that rely on shared vision, empowered teamwork and innovative ideas that facilitate achievement of social goals. Consequently, cross-cultural understanding has evolved as crucial factor that helps to exploit cultural competencies of diverse populace to meet new challenges effectively.

Flexible approach that may encompass the changing environment helps to transform obstacles into new opportunities of growth (Ashworth, 2001). It helps non-profit organization to adopt constructive changes like technology to improve and improvise their performance and meet new challenges with high degree of success. Most importantly, conservation and preservation of environment has become the need of the hour, As such, sustainable business practice becomes one of the most important elements of external environment that needs to be incorporated within the broader goals and objectives of the non-profit organization for the wider welfare of the society. The recessive economy has also emerged as vital ingredient that impacts business decisions and promotes innovative inputs that meet the need and requirements of the customers.

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Reference

Ashworth, Kenneth H. ‘Re Bona fide bureaucratic behavior.’ Caught Between the Dog and the Fireplug, Or, How to Survive Public Service. Georgetown: Georgetown University Press, 2001.121-133.

Bornstein, D. How to change the World: Social entrepreneurs and the power of new ideas.