Business Environment and Organizational Growth of Deposit Money Banks in Rivers State, Nigeria

Abstract

Business Environment and Organizational Growth of DepositMoney Banks in Rivers State, Nigeria IntroductionThe Nigeria business environment has been changing rapidly than ever before. As a result, organizations generally and managers specifically must reposition their organizations in order to adapt effectively and efficiently to these changes. In today's business environment, change is inevitable and organizations that does not accept change and adapt accordingly have a higher tendency to underperform and subsequently fail. The factors in the external environment which include political, social, cultural, economical, technological, ecological and legal factors can be more dangerous for an organization due to the fact that they are volatile and cannot be easily predicted. Since manufacturing firms rely on the surrounding environment for continued existence and growth, changes in the environment will definitely influence their operations.Nnamani and Ajagu (2014) expressed that to have a good knowledge of how organizational growth works, one must know the factors that affects the organization both internally and externally called business environmental factors. These environmental factors are elements, circumstances or events that take place in the environment the organization found itself which have the capability of affecting the performance of the organization either positively or negatively. Every business firm has an environment (internally and externally), thus a good understanding of the business environment is very significant to achieving a successful organizational growth. This is because the business environment both internally and externally influence almost every facet of the organization vis-à-vis its product, market location, price, and distribution.Business organizations are faced with challenges ranging from social, political, economic and other factors from the business environment which focus on specific issues that relate to their activities and transactions with its stakeholders (Rainey, 2008). Therefore, the right knowledge of the business environment is very important because changes in any of the elements or factors in the business environment can have a great impact on the organization's growth. Hence, if there are changes in governmental policies, technological changes, cultural changes, economical and social changes, the organization must be able to speedily adapt to this changes to maintain its survivability and growth. Thus, the growth of the firm is predicted on its capability to adapt to its environment. Therefore, Wong and Mohd (2013) expressed that if the organization wants to maintain its existence, it must adjust to changes.All over the world, particularly in Nigeria, the banking sector is been reform on a daily basis so as the sector can be more reliable. However, there is no assurance that the infrastructural facilities of today in the banking sector will be available tomorrow due to frequent changes in the business environment. In today world, the patterns of market disruption a...