1. THE SOCIO-CULTURAL FORCES
Businesses operate within societies.
Each society has some principles and standards which need to be considered by businesses in their day to day operations.
Aspects to consider under socio cultural forces include culture, lifestyles, demographic trends and pressure groups.

2. CULTURE
Culture refers to the shared beliefs, norms and values of a society.
Businesses must operate in ways that are acceptable in the societies that they live.
What members of a society value and desire as they pass from one life stage to another has an effect on what they purchase.
eg increased popularity of tattoos among teens in USA.

3. LIFESTYLES
Lifestyles in general look at the way people live and aspects to consider here include:
the percentage of women in the workforce
dual income families
the prevalence of single parent families
increases in the number of temporary workers

4. LIFESTYLES CTD Greater concern for healthy diets and physical fitness
Greater interest in the environment
Postponement of having children
Levels of education among the people in a society e.t.c

5. LIFESTYLES CTD
Such forces enhance sales of products and services in many industries but depress sales in others.
For instance the increased number of women in the workforce has increased the need for business clothing merchandise but decreased the demand for baking products since people would have less time to cook.

6. Lifestyles CTD
Furthermore, a greater concern for health and fitness has also had its differential effects
Eg. Industries that manufacture exercise equipment and healthy foods have been promoted whilst industries that produce unhealthy foods have been harmed.

7. Demographic Trends Demographics is the study of human population.
It includes elements such the population structure, the geographic distribution of the population, changes in ethnic composition, migration of the population, rising or declining affluence and many others.
Demographic trends refer to changes in the above variables over time, and the impact of demographic trends on the business environment varies across industries.

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For instance, the aging of the U.S. population has had a positive effect on the health care industry but a negative impact on the industry that produces diapers and baby food.
Another example of changes in demographic trends is the increasing number of younger wealthy Americans.
This has important implications for the producers of luxury goods and services such as sports cars, clothing and state of the art homes and home furnishings.

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Another important issue to consider here is the migration of the population, both locally (rural to urban migration) and internationally and its impact on the business environment.
Rural to urban migration usually results in increased demand for goods and services in the urban areas, and this tends to benefit some businesses.

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International migration often results in skills flight and this tends to threaten many local companies in the form of skills’ shortages.
However some businesses may benefit from migration when emigrants send money back to their home countries which can be used for the purchasing of goods and services locally produced.

11. Demographic Trends Ctd
The prevalence of the HIV and AIDS pandemic should also be considered and the impact that it has had on the business environment.
For instance some businesses in the health sector have benefited a lot as a result of the disease.
Some organizations and institutions have been established in different countries with the aim of easing some problems created by this disease.

12. Demographic Trends Ctd
Such efforts have gone a long way in creating employment in the country which in turn has also helped the business sector.
However production and productivity have been negatively affected by the disease since the age group that was hardest hit is the productive group with ages between 18 to 40 years.
Although the advent of Anti Retro Viral drugs has tried to ease some of the problems caused by HIV and AIDS, the effects of the disease are still being felt in the Zimbabwean economy.

13. Pressure Groups
Pressure groups are organizations of people who believe in the same cause.
They have strongly held views and wish to influence some aspects of the society.
Thus their main aim is to raise awareness to the public.
These groups working together usually have more effects than individuals.
Pressure groups activities can result in the change of consumption of certain products or services.

14. Pressure Groups
They can also exert pressure on organizations by seeking publicity, holding protests and in extreme cases criminal activity, if they feel strongly against the action of an organization.
Pressure groups can have both negative and positive impact on a firm’s products and its overall performance and hence firms must consider pressure groups in the areas they operate their businesses and try to avoid activities that clash with their views and interests.

15. Pressure Groups
Examples of pressure groups in Zimbabwe are the Affirmative Action Group (AAG), the Consumer Council of Zimbabwe, the Standards Association of Zimbabwe, Children’s Rights, various trade unions and many others.
For instance the work of the Consumer Council of Zimbabwe is to monitor the welfare of people especially in consumption of products and to stand for the rights of consumers against unscrupulous sellers and producers.

16. Social Responsibility of Small Business
SR is the managerial obligation to take action to protect and improve society as a whole, while achieving the goals of the business.
The manager of a socially responsible business should attempt to make a profit, obey the law, act ethically and be a good corporate citizen.
The culture and values of a business are demonstrated by its socially responsible actions.
There are 4 levels of social responsibility.

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These levels are:
Economic responsibility
Legal obligations
Ethical responsibility and
Philanthropic goodwill

18. Economic Responsibility
A business person in a free enterprise system does not only have the fundamental right but also the responsibility to make a profit.
Without making profit it is impossible to stay in business.
Thus the economic responsibility is the foundation upon which all other levels rest.

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Economic responsibilities of a business include a commitment to:
Being as profitable as possible
Making sure employees, creditors and suppliers are paid
Maintaining a strong competitive position
Maintaining an efficient operation of the business.

20. Legal Obligations
Above making a profit, a business is also expected to comply with the state and local laws that lay the ground rules for operation.
Laws can be seen as society’s codes of right and wrong.
They exist to ensure that businesses do what is considered right by society as a whole.
These codes change continually as laws are added, repealed or amended to match changes in public sentiments.

21. Legal Obligations ctd
Laws regulating business activity generally involve four areas:
Consumer protection
Trade protection
Environment protection and
Employee protection

22. Ethical Responsibility
Ethics are the rules of moral values that guide decision making by groups and individuals.
Ethical responsibilities of a business encompass how the organization's decisions and actions show concern for what its stakeholders consider fair and just.
These stakeholders are employees, customers, stockholders and the community.

23. Philanthropic goodwill
This includes the participation of businesses in programs that improve the quality of life, raise the standard of living and promote goodwill.
This is the level of social responsibility in which a business does good without the expectation of anything in return.
It differs from ER in that it is not so much of an obligation but a contribution to society to make it a better place.