SOCIAL, CULTURAL, DEMOGRAPHIC, AND NATURAL ENVIRONMENTAL FORCES
Organizations in all industries are being staggered and challenged by the opportunities and threats arising from changes in social, cultural, demographic and environmental variables. These variables are shaping the way we live, work, produce, and consume. Following are some factor that affects our industry.
CHILDBEARING RATES:
As this variable has decreased about 50% in the last years this means workforce will be reduce in future generations. Aspects such as workforce, unemployment and some social factors will be affected as the actual situation will not be the same in future years.
CIA. (2015). CIA. Obtenido de THE WORLD FACTBOOK: https://www.cia.gov/library/publications/the-world-factbook/geos/co.html
CIA. (6 de JUNIO de 2015). INDEX MUNDI. Obtenido de colombia tasa de fertilidad : http://www.indexmundi.com/es/colombia/tasa_de_fertilidad.html
Knoema. (s.f.). Recuperado el 20 de agosto de 2015, de Colombia - Fecundidad - Edad media de fecundidad: http://knoema.es/atlas/Colombia/topics/Datos-demogr%C3%A1ficos/Fecundidad/Edad-reproductiva
NUMBER OF BIRTHS:
Colombia
16.73 births/ 1,000 population (2015)
CIA. (30 de JUNE de 2015). INDEX MUNDI. Obtenido de COLOMBIA BIRTH RATE: http://www.indexmundi.com/colombia/birth_rate.html
NUMBER OF DEATHS:
In Colombia
5.36 deaths/1,000 population (2015)
These two variables affect in a positive and negative way our industry as if there is a huge number of births there will be more people looking for a job in the future. But also there will be more competence in our environment which will bring us many complications. On the other hand if the death rate increases there will be few people to work in our organization and few people to invest in our company, but more people to get a quickly job as the population is decreasing.
CIA. (2015). CIA. Obtenido de THE WORLD FACTBOOK: https://www.cia.gov/library/publications/the-world-factbook/geos/co.html
INDEX MUNDI. (s.f.). Recuperado el 20 de AGOSTO de 2015, de http://www.indexmundi.com/g/g.aspx?v=25&c=co&l=en
IMMIGRATION AND EMIGRATION RATES:
NET MIGRATION RATE:
-0.64 migrants /1,000 population (2015)
High levels of migration will cause an increment in unemployment as people are coming into the country and besides that a labor force reduction as people are leaving the country. (CIA, INDEX MUNDI, 2015)
CIA. (2015). CIA. Obtenido de THE WORLD FACTBOOK: https://www.cia.gov/library/publications/the-world-factbook/geos/co.html
CIA. (30 de JUNE de 2015). INDEX MUNDI. Obtenido de COLOMBIA NET MIGRATION RATE : http://www.indexmundi.com/colombia/net_migration_rate.html
LIFE EXPECTANCY RATES:
Total population: 75.48 years
Male: 72.34 years
Female: 78.8 years
(2015)
The greater the life expectancy is the more years a human can work and can be physically active during his/her whole life. Nowadays Colombia is located in the 98 place in comparison to the world this means it is a standard life expectancy age. If this life expectancy rate continue increasing this will benefit in some way our industries as there will be more people with a high capacity of knowledge and very skilled in their professions but also with a low productivity level as they will be kind of old workers.
CIA. (2015). CIA. Obtenido de THE WORLD FACTBOOK: https://www.cia.gov/library/publications/the-world-factbook/geos/co.html
PER CAPITA INCOME:
$ 11,960 PPP dollars (2013)
$ 13,400 PPP dollars (2014)
GDP per capita is one of the indicators of a country economic development which estimates the richness of a country, the quality life of the people and their consumption capacity. If this income increases the organization will benefit as there will be more people with more economical resources to invest and to use our service.
BANK, T. W. (2015). THE WORLD BANK .Obtenido de GDP PER CAPITA : http://data.worldbank.org/indicator/NY.GDP.PCAP.CD
CIA. (2015). CIA. Obtenido de THE WORLD FACTBOOK: https://www.cia.gov/library/publications/the-world-factbook/geos/co.html
NUMBER OF SPECIAL INTEREST GROUPS:
Interest groups could be any person or group that have an interest in the organization or that represent any interest or concern like some environmental or social aspects and that will be affected directly or indirectly by the organization. This groups have a very important role in our industry as our company have to follow and have into account all the ideas or concerns people have if not people will not invest or use our service because they are not in accordance with us.
Robert Boutilier, P. (s.f.). Stakeholder 360. Obtenido de ¿Qué es un grupo de interés (stakeholder)?: http://www.stakeholder360.com/A2_esp.htm
NUMBER OF MARRIAGES AND NUMBER OF DIVORCES:
The number of marriages and divorces affect directly our industry as many people without a family wants some kind of company that in this case will be a pet like dogs or cats. The same happens when they get marriage and have a family someone’s prefer to have pets instead of kids or some prefer to have both in order for have a “large family”. This is way this variable affect directly our industry as there could be a huge or small demand of dogs in the sector which may use our service.
LA RED. (05 de MAY de 2014). Obtenido de Mujeres prefieren tener perros antes que hijos: http://www.lr21.com.uy/mujeres/1172502-mujeres-prefieren-tener-perros-antes-que-hijos
SOCIAL SECURITY PROGRAMS:
Is a comprehensive security system which enables people to have a good and a better life quality every single day. In Colombia this system is composed by some norms and procedures in order for people know some of the components this programs refer to, like general pension system, system of social security and health, occupational hazards and social services. This variable could affect our business as these are some basic needs any worker need to know and have during their daily work. It provides them a construction of their future retirement and plans as it is a tax related with labor income.
GERENCIE. (15 de JULIO de 2011). Obtenido de ¿Qué es la seguridad social en una relación laboral?: http://www.gerencie.com/que-es-la-seguridad-social-en-una-relacion-laboral.html
LOCATION OF RETAILING, MANUFACTURING AND SERVICE BUSINESS:
A good and strategic location will give our business to get know and to have a good start in the industry and its environment. On the other hand having a tactical location will also determine the levels of our sales as our location have to be near people who have dogs and who want someone else to take their dogs for a ride in order for gain clients and profitability also having the direct competition near will be a positive factor as we will always be analyzing them and the changes they do in their market strategy.
ENTREPRENEUR. (s.f.). Obtenido de SMALL BUSINESS ENCYCLOPEDIA: http://www.entrepreneur.com/encyclopedia/location
ATTITUDES TOWARD BUSINESS:
In 2014 the industry of pet services in Colombia has been growing and it is expected to grow more in this year 2015. This was encouraged by the combination of GDP and consumptions growths will the lifestyle changes. More people are opting for pets and the trend for pet humanization have outcome in a extensive range of services for pets in Colombia.
It is of great importance for our industry because new competitors will emerged so their will be more options for costumers to select and where to go.
There has been a tendency over the dog industry and each year the amount of dogs as pets grows. As stated in an article publish in “El Espectador” webpage, in 6 of every 10 houses there´s a pet, and to be more specific in an article by “Dinero” it was said that 80% of families from Bogotá preferred a dog as a pet instead of any other animal.
http://www.euromonitor.com/pet-care-in-colombia/report
Dinero.com. (2012). En Colombia ¡Los prefieren perros! Dinero. Obtenido de http://www.dinero.com/pais/articulo/en-colombia-los-prefieren-perros/161464
ElEspectador.com. (2015). En seis de cada 10 hogares colombianos hay mascotas. El Espectador. Obtenido de http://www.elespectador.com/noticias/economia/seis-de-cada-10-hogares-colombianos-hay-mascotas-articulo-540449
LIFESTYLE:
In Colombia, according to the World Bank, total of population is of 48.929.706,0 and most of them live in cities. The city people normally live better than the framers because there are schools, medical facilities and other interests that make life better. The majority of adults in Colombia know how to read and write. It is requisite of the constitution of Colombia nine years of a basic education. The middle class jobs include business mans and lawyers while the working class jobs incorporate teachers, waiters and shop owners.92% of the Colombian population are Catholics and the remaining 8% practice other religions.
The way people live in colombia is an important variable that will affect our industry, because the way the chose to live their life, for example having a pet in their house, will increase the use of services that our industry offer.
http://datos.bancomundial.org/indicador/SP.POP.TOTL
http://kennethschwartz.weebly.com/culture-and-lifestyle.html
http://www.colombia.com/colombia-info/informacion-general/religion/
TRAFFIC CONGESTION:
The market of automobile has been growing hold up by increasing disposable incomes, higher ability of credit and consumer attitudes. At the same time people of the middle class have the opportunity to reach their lifestyle goals with provision of new automobiles, consequently this provide a rise in the numbers of cars in the city that has also create a traffic problem in cities as Bogota, Cali and Bucaramanga. The share of households in possession of a passenger car increased from 10.1% in 2005 to 13.4% in 2014.
This an important variable that affect in a negative way the pet industry. It can affect the distribution of materials needed, and all the transfers that are nedeed to make the industry work.
http://www.portal.euromonitor.com.ezproxy.unisabana.edu.co/portal/analysis/tab
INNER-CITY ENVIRONMENTS:
In Colombia in the urban parts, and especially Bogotá, has obtained a reputation for street crime: their exist pickpockets and thieves that are known as a common problem when you are walking down the streets. Drug trafficking is another problem we see in the inner-city environments on a large scale, and kidnapping that happen for two reasons for political reasons and for profit.
There are various reports of extrajudicial killings and disappearances. Human rights are violated by groups like, guerrillas, narcotics traffickers, paramilitary groups and the military.
http://www.encyclopedia.com/topic/Colombia.aspx
AVERAGE OF DISPOSABLE INCOME:
During 2009-2014 Colombia’s per households annual disposable income came up at an average annual rates of 2.4%, do to the economic expansion. In 2015-2030 Colombia’s annual per household income is predicted to rise an average by 2.8%. The per capital disposable income have rise in the population meaning an expansion of Colombian’s middle class what Immediately have cause drastic changes in consumption.
If the avrage of disposible income increseas, the use of servies in our industry will also increase, so we can see that in this way it will afect in a positive way, in the contrary in the average discrease it will reduce the consumption of goods an services.
http://www.portal.euromonitor.com.ezproxy.unisabana.edu.co/portal/analysis/tab
TRUST IN GOVERNMENT AND ATTITUDES TOWARD GOVERNMENT:
In Colombia, government evaluation, institution images and the perception about the authority is something hopeless. At this recent time Colombian people have a negative vision of the national reality of this time. We can see in the graphic that in the year 2015, only the 23% of the population have trust in the government, and they think that Colombia is in the right track. We can see in the analysis of this graphic that in this era we can see that the government is having problems on managing the country. This was a 2015 survey made by the firm Ipsos Napoleón Franco, hired by La FM, RCN la Radio, RCN television and SEMANA. Only a 13% think that things in Colombia are going to get better, this has created pessimism and a collective discouragement of Colombian society toward the government.
This is a critical factor in our industry because the trust in government is an important variable because the government is the one who regulates each item within the country. When people trust the government, they can trust what companies are doing, with prices and legal work. It is difficult for industries to get opportunities because people doubt of the governments and investments are reduced.
http://www.semana.com/nacion/articulo/gran-encuesta-santos-esta-la-baja/42626
ATTITUDES TOWARD WORK:
In Colombia attitude toward work has been changing, people are more committed to their work because they want to become successful, and entrepreneur people. They study hard before graduating; to get good jobs and each day grow more.
This has a relevant effect in our industry because attitude of the workers toward their work will affect the industry in the way the costumers are treated.
BUYING HABITS:
Young adults in Colombia show consumption patterns directly related to disposable income.
There are times of the year that people tend to buy more things, like gifts, for example: mother’s day, valentine’s day, Christmas. Due to the rising income buying habits have change, the rising incomes of people have change purchasing decisions their now based on quality rather than necessity.
This factor is of critical importance for our industry because buying habits can affect the purchased of good and services depending on the income of people, preferences.
ETHICAL CONCERNS:
In Colombia development can be considered as unethical, million people has been killed, violence, drug trafficking, corruption, suppression of human rights. Colombia is position as one of the most violent countries in the world. Colombia is concern about cleaning this image and develops without ethical concerns.
This has a very important effect in our industry because the country is having ethical concerns, that means that the industry is going to have absence of ethical other countries will not want to make businesses or invest in the industry, meaning less opportunities to grow, affecting the Colombian economy.
ATTITUDES TOWARD SAVING:
According to “EL BANCO MUNDIAL” (March 6, 2014), most Colombians doesn’t know how to save a portion of their income. It stated that only 2 of 10 Colombians save part of their income and use it when they have an unexpected waste. However, “Portafolio.com” said in a recent article that the usage of bank accounts were people can save money has decreased it was only used to safe increasing a 1,7%, but there are others who prefer saving not with banks and that’s how their doing it. This variable affect our industry since there´s not only saving for families but for companies too. As a company we need to save a portion of our incomes to prevent future difficulties and be prepared if crisis appears.
Portafolio.co. (16 de March de 2015). Recuperado el 2017 de August de 2015, de http://www.portafolio.co/finanzas-personales/el-ahorro-los-colombianos-las-alcancias
MUNDIAL, E. B. (6 de March de 2014). EL BANCO MUNDIAL. Recuperado el 17 de August de 2015, de http://www.bancomundial.org/es/news/feature/2014/03/06/colombia-financial-education
SEX ROLES:
This social variable is important for all industries since there are stereotypes in some kind of assignments. For example, companies of dog care we communicated too, the majority of their workers were men. Some women were part of the companies too but almost of all them were secretaries or veterinary. For the service we want to provide which includes giving a ride to our customer’s dog, most of the people that do this jobs are men. This is important in the time we begin to hire staff and trained personal for the other services we will provide. As every society, there are some expectations of our customers that some jobs are done by a specific kind of sex. However, as years pass by these differences and expectations that a women must be in charge of something and men on other things, are decreasing and equality is increasing.
Source: competitive intelligence. Data extracted from interviews with companies from the industry.
In an article published by Maite Garaigordobil and María Rosalia Donado, they stated that men occupied more important assignments than women. The rates stated for example that in Colombia only 4% of the women could be presidents in a company and 10% occupied higher charges in decision making of the company. However, Colombia have been imposing laws for sex equality and making women more important in companies.
Garaigordobil, M. (June de 2011). EBSCOHOST. Recuperado el 17 de August de 2015, de http://web.b.ebscohost.com.ezproxy.unisabana.edu.co/ehost/pdfviewer/pdfviewer?sid=f94e4f9f-9d4d-488f-aef3-1e3746675e49%40sessionmgr112&vid=14&hid=115
ATTITUDES TOWARD INVESTING:
According to Yanhass which is a market research companies, the most attractive stock for Colombians is ECOPETROL but most of the population claim they don’t have the sufficient knowledge to invest. Most of the population that invest their money (34% of the population) claim to say that the best way to earn returns is to invest in a business rather than in a stock. As shown in the next table, these are the companies were colombians will invest more:
Source: FINANZAS PERSONALES. http://www.finanzaspersonales.com.co/ahorro-e-inversion/articulo/como-ahorran-invierten-colombianos/37051
This variable affect the dog care industry since if population invest their money and received more incomes, they will have more money to spend in goods and services. Also it will affect us in the beginning when we will probably need people that invest in the business.
RACIAL EQUALITY:
Racial discrimination has been a polemical and strong topic all around the world. In Colombia, there were racial discrimination and nowadays it’s been eliminated. In 2010, Colombia and United States signed a plan called CAPREE (Colombia Action Plan on Racial and Ethnic Equality) which pretend to promote racial equality by recognizing contributions from African-descendent and indigenous and sharing knowledgement (U.S Department of State 2010). In April 28, Colombia was the host to take action of the plan in Bogotá. This variable affect our industry since we are committed to the population and racial equality is one of the countries objectives. Doggy Buddy promotes racial equality by hiring and attending all human being.
REPORTEROS ASOCIADOS UN NUEVO ESTILO DE PERIODISMO. (24 de April de 2015). Recuperado el 17 de August de 2015, de http://www.reporterosasociados.com.co/2015/04/colombia-anfitrion-de-la-reunion-del-plan-de-accion-para-la-igualdad-etnica-y-racial-capree/
US. DEPARTMENT OF STATE. (2010 ). Recuperado el 17 de August de 2015, de http://www.state.gov/p/wha/rt/social/colombia/
USE OF BIRTH CONTROL:
According to a national survey of demographic and health done by PROFAMILIA, each year women and men use birth control to control their sexual relationships. On the other hand, some couples use only birth control but no condoms to prevent transmitions. The survey showed that 61% of women who´s ages are between 15 and 49 years use birth control. Also, 1% of the women between these ages said that they were forced to use birth control in a determine point while 25% of them were force by their parents, 15% by their ex- partner, and 19% were forced by their current couple.
PROFAMILIA. (s.f.). Recuperado el 17 de August de 2015, de http://www.profamilia.org.co/encuestas/Profamilia/Profamilia/documentos/boletines/prensa/Conocimiento_y_Uso_de_Metodos_Anticonceptivos_en_Colombia.pdf
This use of birth control variable affect our industry since most of the families have a pet and most of the time they choose a dog. If there are more families in Bogotá there are more possibilities to have more customers for our industry.
AVERAGE LEVEL OF EDUCATION:
The Colombian Ministerio de Educación Nacional has imposed some challenges for education in this 2015: kids from 6 to 17 years has to attend to school in the grade they must be as in this moment only 74% of this kids to it and the failure of the academic year to be 0 and decrease the illiteracy rate to 0. The average level of education in Colombia is of 8,6 years taken and it must be 10,6. For this to happen the ministry needs that the actual rate of failing the academic year 6% decreases to 3%. This variable affect our industry since we want to offer a high quality service to our customers and for that we need well prepared employees with good level of education.
Ministerio de Educación Nacional. (s.f.). Recuperado el 17 de August de 2015, de http://www.colombiaaprende.edu.co/html/home/1592/article-87521.html
GOVERNMENT REGULATIONS:
Government regulations are laws that each government from each country imposed so different business must follow in order to operate. This is an important variable that affect all industries because when a business is about to start, it must follow the government regulations to be safe and can do things right. As Doggy Buddy is starting in an industry it must operate accordingly the laws of the government to guarantee the well-functioning in the market and avoiding future damages to the society. There are some basic rules that govern whichever entity that is on the market.
These rules are in the SUPERINTENDENCIA DE SOCIEDADES webpage:
These rules control the financial aspects of every company, promotes leisure time for workers, and others. They assure that the society´s and evironmental´s wellness.
ATTITUDES TOWARD RETIREMENT:
The retirement ages is increasing each year one more year and that have effects on attitudes toward retirement because population now feel that they will never retire. In this actual year, 2015, the retirement age is 65 years with 35 years and 9 months of cotization, but if they have not achieved the years of work, they can retire with more than 65 years. In Colombia, the retirement affect negatively some people lives since they have nothing to do without their job. This are the kind of people who live to work. The other kind of people, have a more positive attitude toward retirement and use this time to relax, travel, spend their money on themselves and some of them go to live outside the cities. This variable affect our business in a small way that our young employees probably will never retire as the retirement age is increasing. In an experiment made they found out that after beign retire the group which was interviewed 51% of them had an unfavorable attitude, 13% were neutral, and 36% of them had a favorable attitude. They explain that the higher percentage of people had an unfavorable attitude because their salary was decreased, they don’t have more opportunities to work and keep themselves busy.
Feijóo, N. R. (s.f.). EBSCO HOST. (I. R. Afines., Ed.) Recuperado el 17 de August de 2015, de http://web.b.ebscohost.com.ezproxy.unisabana.edu.co/ehost/pdfviewer/pdfviewer?sid=f94e4f9f-9d4d-488f-aef3-1e3746675e49%40sessionmgr112&vid=6&hid=115
Te Cuidamos. CanalJUBILICACION. (29 de April de 2015). Recuperado el 17 de August de 2015, de http://www.jubilacionypension.com/jubilacion/guia/que-cambios-habra-en-2015-sobre-jubilacion/
ATTITUDES TOWARD LEISURE TIME:
Human Rights stablished since 1984 that all human beings have the right of leisure time in their lives. In the leisure time, individuals choose what to do according to their personal preferences and that take them out of their routine. Activities that Colombians do in their leisure time are sports, movies, travel programs, theater, music, parties, family time, friends time, etc. the ONU (2005) stablish that the leisure time of the young kids is very important in their personality development. This variable affect our industry since most of the times that families leave their dogs in “dog hotels” and daycare is because they have to travel for the weekend or fore some days as they are using their leisure time traveling.
García, V. E. (June de 2013). (IEMP, Ed.) Recuperado el 17 de August de 2015, de http://www.mineducacion.gov.co/cvn/1665/articles-340716_archivo_pdf.pdf
ATTITUDES TOWARD PRODUCT QUALITY:
For a company to be successful, it’s not enough to make a good marketing promotion but its quality is an important factor nowadays. Customers are interest more in the product quality than years before. Is important for companies that they have the ISO certification because this make customer’s perception of the company be better. Also, if they buy that product or service because they perceived quality, it’s expected to generate satisfaction for them so they can consuming again. This is a very important variable that affect our industry because we pretend to offer the more complete and high quality service in the dog care industry.
Linton, I. (s.f.). eHow. Recuperado el 17 de August de 2015, de http://www.ehowenespanol.com/importancia-calidad-productos-negocio-info_231567/
ATTITUDES TOWARD CUSTOMER SERVICE:
All companies to be competitive in the industry they operate, must count with trained employees in attending their customers. Customer service is almost the most important factor to the customers since if they are treated well they will continue consuming that product or service, but if they didn’t like the attention they received they will never be back. Increasingly, the customer service is becoming more important each time and companies should operate toward it and most of all since Colombia signed the TLC and foreign companies which customer service it’s their pillar are coming to the country. Therefore, customers value more the customer service sometimes than the actual product. This variable affect our industry since is a key to success and we need to focus on providing a good customer service to maintain long value relationships with customers and not just one time transactions.
Portafolio.co. (s.f.). Portafolio.co. Recuperado el 17 de August de 2015, de http://www.portafolio.co/finanzas-personales/una-nueva-era-del-servicio-al-cliente-se-vive-colombia
POLLUTION CONTROL:
Colombia has been facing serious problems of pollution and traffic congestion, which is why the government has found a way to control both problems by adding in the price to the consumer the specific tax, control and restrictions on traffic flow by the prohibition of traffic in a few hours or in certain places. This has also led to new technologies for the care and environmental control such as hybrid engines and the use of non-fossil energy sources generated source. Air pollution from vehicle emissions is also a problem, especially in Bogota. Safe drinking water is available to 99% of urban dwellers and 70% of the rural population.
The controls for the transportation and vehicle taxation, road pricing, congestion and parking rates influence the demand for transport, through the ownership and use of vehicles, the use of and access to infrastructure, use of space and fuel demand. In order to control the economic, environmental and social impacts generated by this demand.
ATTITUDES TOWARD FOREIGN PEOPLES:
Colombia is a very traditional country with many tourist places, where most towns and cities remain economically from tourists who go to see these places. Foreigners in Colombia are included favorably within this society and bring many benefits, such as investing, bringing new knowledge to companies with the country's development.
Any national or foreign citizen who works in Colombia, are subject to the Labor Code regulates the standards of individual and collective labor law. To avoid discrimination and achieving employment equity, foreign people in Colombia have the following rights:
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Conclusion of a contract.
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Payment of wages for service delivery
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Membership of the General Social Security System (Health, Pension and occupational hazards).
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Affiliation to a family compensation fund.
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Payment of social benefits.
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Holidays.
ENERGY CONSERVATION:
Colombia is betting the forests, and water. According to the Energy Regulatory Commission and Gas (CREG), 77% of electricity generation in the country, in normal years comes from hydro plants and other thermal plants using fossil fuels like coal and gas. In other words, the light of the most recent Colombian households provides in forest. For this reason the resources of forests and water must be well managed and used, since most of the energy is produced by hydroelectric, hoping to reach a tune of 50% hydroelectric and 50% thermic plants (vivir, 2013).
SOCIAL PROGRAMS:
Social projects in Bogota are in charge of the district secretary of social integration, with the intention of better Bogota according to their social priorities, there are:
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Comprehensive Care for Persons with Disabilities, Families.
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Feeding skills: skills development and food support to overcome conditions of vulnerability.
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Comprehensive early childhood development.
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"Constructions: worthy suitable and safe".
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For violence-free relationships and families in Bogota.
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Capacity building for developing people in prostitution and street residents.
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Adoption of an organizational development model for human talent.
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Strengthening and innovation of information technology and communication
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Comprehensive protection and capacity of children and adolescent.
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"Young activating its Citizenship".
NUMBER OF CHURCHES:
In Colombia, new requests for openings churches are received every day. Today there are nearly 5,000 churches throughout the country (Aguirre, 2013).
NUMBER OF CHURCH MEMBERS:
There is no exact number of members within the churches; everything depends on the religion because there is so much (Aguirre, 2013).
SOCIAL RESPONSIBILITY:
A socially responsible company turns out to be one that, in addition to offering products and services, generate profits, jobs and pay taxes, identifies problems afflicting their community and proposes alternatives for resolution. The concept of Corporate Social Responsibility essentially is framed within a series of voluntary agreements that companies undertake to comply and which generate a "Plus" or added value on them. Corporate Social Responsibility in our country was born out of concern for the violation of human rights, negative environmental impacts, the decline in the quality of life of the population, corporate scandals by the lack of business ethics and child labor, among others. Also care about human rights, labor standards, environment, fight against corruption (Legal, 2013).
ATTITUDES TOWARD CAREERS:
The 15 most demanded careers in Colombia are:
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Business Administration
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Marketing
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Computer Engineering
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International Business Administration
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Industrial Engineering
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Financial Management
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General Accounting
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Civil Engineering
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Advertising
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Quality Management Systems
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Sales Management
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Computer Engineering
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Business Administration and Marketing in Digital Comunication.
(Universia, 2014)
ATTITUDES TOWARD AUTHORITY:
According to Juan Carlos Ruiz, associated professor and director of the master in political and international studies at the University of Rosario, nowadays Colombia has one of the most high percentages in confidence towards the police, as stated by his studies, 45% of Colombian people trust the police, obviously there are several discrepancies about this information on the different regions of the country because the more away from the cities, the less confidence people has on the police, meaning that people from small towns, peasants and displaced, have the lowest trust on the institution, while people living in cities have the highest trust in terms of security. This phenomenon as explained by Dr. Juan Carlos Ruiz, is due to the fact that people living in cities rely too much on the TV news, newspapers and magazines information, in which the reality of facts many times is manipulated and the truth is hidden so people don’t know what the authority is really doing, another fact (again from the mass media) is that currently police is shown on the TV news a minimum of 5 times per broadcast performing their labor incredibly well, this cases affect mostly people of 30 years and older while younger people rely more on internet information that is less manipulated.
This information is not relevant for the industry because, the industry in which the company works, is not related to security services or something similar, the operations of the industry shouldn’t be affected by the opinion of people towards the authority since that issue is for the government to be solved and not for the industry.
POPULATION CHANGES BY RACE, AGE, SEX, AND LEVEL OF AFFLUENCE:
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POPULATION BY SEX:
The total Colombian population 51.2% is women and 48.8% men.
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POPULATION BY LEVEL OF AFFLUENCE:
Colombia, which has historically been among the most unequal countries in the World. Income poverty declined from 54 percent to just over 45 percent between 2002 and 2009, while the inequality index remained stable. These are not numbers, are people: 45 percent of poverty are twenty million Colombians in the pot.
In Colombia, the richest 10 percent of the population is left with half of GDP while the poorest 10 percent barely fall from the table crumbs 0.6 percent of GDP.
(Semana, 2011)
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POPULATION BY RACE:
3.4% of the population was recognized as indigenous. From it, 49.6% are women and 50.4% are men.
0.001% of the population was recognized as Romor Gypsies. From it, 48.0% are women and 52.0% are men.
10.6% of the population is recognized as Afro, of which 50.5% are women and 49.5% are men.
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POPULATION BY AGE:
Women represent more proportion of the population in all population groups except in the group of 0-14years where 51% are men and 49% women.
POPULATION CHANCES BY CITY, COUNTRY, STATE AND REGION:
With the previous graphs, first it can be noticed that Bogotá is Colombia`s first city in growth of population, during last year the population has increased but not in a great variation. It means that each year the amount of population is just a little amount more than the year before.
This means that each year there are more people to attend in the industry. More customers can enter the market but it cannot be seen as a great and big opportunity and just focused on that, because the amount is not that big and it can just be an estimate.
Robert. (23 de Mars de 2012). bogotá: first impressions. Obtenido de Endlessmile: http://endlessmile.com/bogota-first-impressions/
VALUE PLACED ON LEISURE TIME:
Article Nº 52 of the Colombian constitution recognize the right for all people to recreation and the well use of leisure time; meaning that even the state recognize how important is for Colombians a space for leisure. Under a study of Fedesarrollo, with the main topic of labor participation in Colombia, it has been concluded that leisure time is a basic request in any kind of job and also it is a key point for comparison between different works. The study find out that people will not consider to agree a job where the salary they will obtain is less than the reserve salary, meaning the salary from another member of the family and the leisure time they obtain.
This is critical important in the industry, because possible workers would take into account the amount of time it is given for their own benefit. None Colombian worker will agree to work under conditions where leisure time is not taken into account.
Arango, L. E., & Posada, C. E. (June de 2003). La participación laboral en Colombia. Recuperado el 16 de August de 2015, de Fedesarrollo: http://www.repository.fedesarrollo.org.co/bitstream/11445/1063/1/Co_So_Junio_2003_Arango.pdf
Constitución Colombiana de 1991 (con reforma en 1997). (s.f.). Recuperado el 17 de August de 2015, de Unesco: http://www.unesco.org/culture/natlaws/media/pdf/colombia/colombia_constitucion_politica_1991_spa_orof.pdf
REGIONAL CHANGES IN TASTES AND PREFERENCES:
Colombia is a country where it can be found different types of preferences and tastes between regions, due to the fact that each region has developed its own way to live life and has pass it through generations. The Caribbean regions do not have the same dish as the Andean region, or the beliefs in the pacific are not the same as the amazon; but it is not only gastronomy and religion, there are more facts and variables that distinguish regions in Colombia. According to DANE, Colombia is one of the most ethnic diverse countries, meaning not only native groups but all kind of communities that can be distinguish.
However, El Tiempo has developed a study for the last trends in 2015 for all Colombians. “The crescent number of small supermarkets in residential zones, environment friendly articles and the high amount of products and services that can be bought online are the biggest trends for the year” publish El Tiempo. David Fiss, commercial director of Kantar Worldpanel in Colombia, sums up the aspiration of having a better communication and the releases of innovative products that will get to the real necessities of buyers, understanding social classes and regions.
This is studies are big importance for the industry because it insists on having different perspectives depending on the region, due to Colombia’s great amount of diversity. It also resembles on the great vision of the trends that will came up each year and how as a company and the whole industry can take advantage of this.
El Tiempo. (7 de February de 2015). Lo práctico y lo verde marcan el consumo. El Tiempo. Recuperado el 17 de August de 2015, de http://www.eltiempo.com/economia/finanzas-personales/las-preferencias-de-los-consumidores/15213192
NUMBER OF WOMEN AND MINORITY WORKERS:
The labor observatory for education made a research of the percentage of workers by gender in their period of graduation. As shown in the graphic, for all year the percentage of women is less than the percentage of men; however the difference is not so wide and the last shown years, this gap has decreased a lot.
Ministerio de Educación. (s.f.). Vinculación Laboral General. Recuperado el 16 de August de 2015, de Observatorio Laborar para la Eduación: http://bi.mineducacion.gov.co:8380/eportal/web/men-observatorio-laboral/ingreso-promedio-por-genero;jsessionid=CFCE784903DDC11EC8F40F92F840AA0F
NUMBER OF HIGH SCHOOL AND COLLEGE GRADUATES BY GEOGRAPHIC AREA:
With results from the labor observatory for education, from the education ministry the total amount of high school graduates are 2.642.709 between 2001-2013. The area that has more number of graduates is Bogotá, the Antioquia and in third place Valle del Cauca.
This means that in this regions the amount of students that graduate and are willing to start a new career and search for job is higher than in the rest of the Country. This are possible candidates to enter in the labor force and help within the industry.
Ministerio de Educación. (29 de November de 2014). Caracterización de Graduados por Departamento 2001-2013. Recuperado el 16 de August de 2015, de Observatorio Laboral para la Educación: http://bi.mineducacion.gov.co:8380/eportal/web/men-observatorio-laboral/ubicacion-geografica
RECYCLING:
According to Semana magazine, in 2012 62% of the paper produced was recovered and there was an investment of 13.000 million pesos for programs of environmental impact. In a national study of recycling, made by CEMPRE, it is said that every year there are more than 25,000 tons daily, which means a recuperation of 16.54% recyclable material. A study made in 22 cities determine that 59.6% were organic residuals, 4.7% paper, 3.6% cardboard, 12.8% plastic, 2.3% glass, 1.1% metals and 15.7% diverse inorganic materials
These studies led us to conclude that Colombia is becoming a country with more sensitivity to recycling and knowing the importance of this act. The industry must be conscious of the contribution they can make by recycling what they can.
¿En qué va el reciclaje en Colombia? (13 de November de 2013). Semana. Recuperado el 16 de August de 2015, de http://sostenibilidad.semana.com/negocios-verdes/articulo/reciclaje-colombia/30070
WASTE MANAGEMENT:
Colombia has developed a good waste management in which more than 60% of the population is attended by private or mixed companies which commit to give a good management in this manner. For 2005, there where at least 1206 providers of solid waste management, and with this graph it is evident that for 2005 the percentage of urban population with a waste collection service was high.
Nowadays it is important to recognize that the waste management service is almost evident in urban sectors, which means that for the industry there is a service that will help to collect the wastes that are produced so there in no concern for knowing what to do with wastes.
Correal Sarmiento, M. C. (26 de September de 2012). Solid Waste Management in Colombia. Obtenido de D-Waste: http://www.d-waste.com/new-infographics/item/download/5_a50f76fca802a3fb1ffa1fa18d7ec593.html.
AIR POLLUTION:
The amount of Greenhouse Gas that has been emitted in Colombia is increasing through the years. This can be evident by the graph shown before, and in daily life when someone goes outside and see the amount of smog that is being produced.
This is preoccupying the industry because there will be some normative to the amount of gases permitted to emit (depending of the work it is being made) and also the amount of time someone is outside, due to the fact that air pollution is bad for the respiratory system and it also has consequences on the ozone layer.
Bremer, C. (10 de April de 2014). Colombia must do more on environment for sustainable economic growth, says OECD. Recuperado el 16 de August de 2015, de OECD: http://www.oecd.org/environment/colombia-must-do-more-on-environment-for-sustainable-economic-growth-says-oecd.htm
WATER POLLUTION:
Colombia is one of the richest countries in water resources but it has not a good management and treatment and that it why a high percentage of water is polluted. Based on Gustavo Galvis, president of Andesco, 70% of the sewage is not treated. Meaning that this contaminated waters go to rivers and lakes where the amount of pollution increase more and more.
The amount of water pollution affects all the ecosystem and principally for our industry some of the natural resources that we must want to obtain. Also it is self-conscious and a stimuli to help the environment and care for each animal and living being that habits in the country.
RCN la radio. (27 de November de 2012). El 70% de aguas residuales de Colombia no se trata y se usa para cultivos. Recuperado el 16 de August de 2015, de RCN La Radio: http://www2.rcnradio.com.co/noticias/el-70-de-aguas-residuales-de-colombia-no-se-trata-y-se-usa-para-cultivos-35263
OZONE DEPLETION:
Colombia has not suffered yet from consequences in ozone depletion in its geographical area. However, the government has different policies in control of the gases that are produced and can affect the ozone layer. In Portafolio, one of the last news has that due to a displacement of the ozone layer to the poles, Colombia will suffer of a great impact of ultraviolet rays.
This changes will specific limit how much time people spend on the outsides and really how much time it is safe for someone to be without suffering from an overexposed in ultraviolet rays.
El agujero de la capa de ozono se mantiene estable en los últimos díez años. (17 de Septembre de 2010). Recuperado el 16 de August de 2015, de Portafolio: http://www.portafolio.co/archivo/documento/CMS-7918380
ENDANGERED SPECIES:
There are over 808 listed species (including plants and animals) that are classified as endangered. Colombia is a country with a high amount of richness in the variety of species, but pitifully these species are not preserved as they should. The most recognizable species that are threaten are marmosets, ocelots, margay, as well as golden lion tamarin, toucans and macaw.
For our industry, the knowledge of this amount of cases is important because there are different government and non-government groups that seek for the benefit and well-being of the species and also the good care of all animals.
Amazon. (12 de Septembre de 2012). Colombia’s Endangered Species. Recuperado el 15 de August de 2015, de Interactive Jungle: http://interactivejungle.com/colombias-endangered-species/
Endangered Species Search by Area Selection. (4 de November de 2008). Recuperado el 16 de August de 2015, de Endangered Creatures: http://www.earthsendangered.com/search-regions3.asp
ANALYSIS/CONCLUSION:
In conclusion, for a company to penetrate an industry needs to asses key Social, Demographic, and Natural Environment variables and analyze how they will affect them and plan strategies and objectives to be proactive and prevent future difficulties. As being part of the dog care industry, here are mentioned the most important variables that affect our industry and how they will affect it.
It was of critical importance to research about “attitudes toward customer services” This is a crucial variable for the pet industry to work because it is essential to provide a good customer service, to have a successful industry. Steadily we found the importance of “Attitudes toward investing”. If population invest their money and received more incomes, they will have more money to spend in goods and services.
Additionally, another important variable is the “ Average Disposable Income” provided the average of disposable income increases, the use of services in our industry will also increase; at the same time if the average decrease it will reduce the consumption of goods and services. One of the must important factors is “trust in government” and “Attitude toward Government” .The government is the one who regulates each item within the country. When people trust the government, they can trust what companies are doing, with prices and legal work. It is difficult for industries to get opportunities because people doubt of the governments and investments are reduced.
Proceeding with the most important variables we also can see the importance of “population chances by city, country, state and region” In this manner each year there are more people to attend in the industry. More customers can enter the market. The last key variable is “regional changes in tastes and preferences” This is studies are big importance for the industry because it insists on having different perspectives depending on the region, due to Colombia’s great amount of diversity. It also resembles on the great vision of the trends that will came up each year and how as a company and the whole industry can take advantage of this.
These entire factors can affect in a negative or positive way to the Pet industry. It is important to investigate an analyze all of them, and in that way the industry will succeed.
REFERENCES:
Amazon. (12 de Septembre de 2012). Colombia’s Endangered Species. Recuperado el 15 de August de 2015, de Interactive Jungle: http://interactivejungle.com/colombias-endangered-species/
Arango, L. E., & Posada, C. E. (June de 2003). La participación laboral en Colombia. Recuperado el 16 de August de 2015, de Fedesarrollo: http://www.repository.fedesarrollo.org.co/bitstream/11445/1063/1/Co_So_Junio_2003_Arango.pdf
BANK, T. W. (2015). THE WORLD BANK . Obtenido de GDP PER CAPITA : http://data.worldbank.org/indicator/NY.GDP.PCAP.CD
Bremer, C. (10 de April de 2014). Colombia must do more on environment for sustainable economic growth, says OECD. Recuperado el 16 de August de 2015, de OECD: http://www.oecd.org/environment/colombia-must-do-more-on-environment-for-sustainable-economic-growth-says-oecd.htm
CIA. (2015). CIA. Obtenido de THE WORLD FACTBOOK: https://www.cia.gov/library/publications/the-world-factbook/geos/co.html
CIA. (6 de JUNIO de 2015). INDEX MUNDI. Obtenido de colombia tasa de fertilidad : http://www.indexmundi.com/es/colombia/tasa_de_fertilidad.html
CIA. (30 de JUNE de 2015). INDEX MUNDI. Obtenido de COLOMBIA BIRTH RATE: http://www.indexmundi.com/colombia/birth_rate.html
CIA. (30 de JUNE de 2015). INDEX MUNDI. Obtenido de COLOMBIA NET MIGRATION RATE : http://www.indexmundi.com/colombia/net_migration_rate.html
Constitución Colombiana de 1991 (con reforma en 1997). (s.f.). Recuperado el 17 de August de 2015, de Unesco: http://www.unesco.org/culture/natlaws/media/pdf/colombia/colombia_constitucion_politica_1991_spa_orof.pdf
Correal Sarmiento, M. C. (26 de September de 2012). Solid Waste Management in Colombia. Obtenido de D-Waste: http://www.d-waste.com/new-infographics/item/download/5_a50f76fca802a3fb1ffa1fa18d7ec593.html.
El agujero de la capa de ozono se mantiene estable en los últimos díez años. (17 de Septembre de 2010). Recuperado el 16 de August de 2015, de Portafolio: http://www.portafolio.co/archivo/documento/CMS-7918380
El Tiempo. (7 de February de 2015). Lo práctico y lo verde marcan el consumo. El Tiempo .
Endangered Species Search by Area Selection. (4 de November de 2008). Recuperado el 16 de August de 2015, de Endangered Creatures: http://www.earthsendangered.com/search-regions3.asp
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LA RED. (05 de MAY de 2014). Obtenido de Mujeres prefieren tener perros antes que hijos: http://www.lr21.com.uy/mujeres/1172502-mujeres-prefieren-tener-perros-antes-que-hijos
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MUNDIAL, B. (July de 2013). Recuperado el 17 de August de 2015, de http://www.bancomundial.org/content/dam/Worldbank/document/LAC/Capacidades%20Financieras%20en%20Colombia.pdf
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RCN la radio. (27 de November de 2012). El 70% de aguas residuales de Colombia no se trata y se usa para cultivos. Recuperado el 16 de August de 2015, de RCN La Radio: http://www2.rcnradio.com.co/noticias/el-70-de-aguas-residuales-de-colombia-no-se-trata-y-se-usa-para-cultivos-35263
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