The Changing Business Environment Theory 2022

Reading Head: THE CHANGING BUSINESS ENVIRONMENT
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April 13
2020

THE CHANGING BUSINESS ENVIRONMENT
1
Contents
Introduction................................................................................................................................2
Role technology in Creative Destruction...................................................................................2
Impact of Technology................................................................................................................4
Examples....................................................................................................................................5
Conclusion..................................................................................................................................6
References..................................................................................................................................7

THE CHANGING BUSINESS ENVIRONMENT
2
Introduction
Technology is considered to be an essential part of every business. Technology helps
the business in achieving a competitive advantage in the market. Technology also helps
companies in updating their business environment and it will also create new jobs for the
people. Technological change is also considered as a major driver that drives social change.
Technological change also creates a new opportunity that helps in economic growth.
Technologies also help in adapting to new cultures of the country. Creative destruction is the
process through which an organization can create a new environment. Many theories are
linked to this concept. This concept is also adopted by many organizations because they want
to implement changes in their organization. Technology adaption is done by the companies so
that they can fulfil the changing requirements of the people. Adaption to new technology has
some challenges as well. This is because it will directly affect the employment of the
employees that are working in the organization (Australia School Search, 2020). In this
discussion, the role of technology in creative destruction with its impact and examples will be
discussed.
Role technology in Creative Destruction
Creative Destruction is also known as Schumpeter’s gale. This concept was developed
in the 1950s and it was developed by Australian economist Joseph Schumpeter. Technology
plays a major role in this concept it is because technology has an important role in the
organization and it also impacts on operations of the organization. Innovation is also
considered to be a factor that can help the organization in achieving a competitive advantage.
Technology and innovation are interrelated concepts. Innovation is only possible because of
technological advancement. It will also help the organization in controlling their quality and
minimizing the cost of production of the products. With technological Change, Company can
effectively compete with other organizations that exist in the market (Howells, 2020).
Quality is also important to meet the requirements of the people because people are now
more focused towards quality and innovations that are involved by the company in their
products. Technology Helps Company in thinking of new ideas for innovation and it also
help in maintaining quality of the product.
Technology and innovation involve new ways through which an organization can
operate. This will also help the organization in putting their old approach aside. There are