Business analysis simply refers to the process of organized evaluation, identifying and understanding business needs and challenges, then followed by the development of productive solutions. As businesses grow, different factors accrue that make them change and adapt to environmental situations. I will discuss the factors that make businesses change their operations and also how they change over time. Furthermore, this paper converses on Embraer as a perfect example of a global business and a corporation, business forms and business ethics, and social responsibility.

How Businesses have changed over time

The business world has evolved over the years to create a better working environment and respond to external gravity. Immediately after the industrial revolution to the digital world, technology has been the determinant of how businesses would operate in the future. The introduction of computers, the internet, technical devices, communication systems, and data processing has been very fundamental in the business ground. The internet gave birth to e-commerce, changing how companies market and retail their products (Shankar et al., (2021). Businesses now focus more on strengthening their customer relations through; digital marketing, social media, influencer marketing, and the use of ads. Online marketing companies such as; Alibaba, Amazon, and eBay were introduced to reach a worldwide market. The evolution of business has affected both the manufacturing and customer service sectors.

Environmental Factors that Impacting Change

Environmental factors often push businesses to revise their strategies to fit in the current market. Technological advancement has been one of the key purposes as to why the business field was forced to develop. For example, Blockmart, a retail business that operated its physical stores, was forced to develop websites that could be easily accessed by customers using their mobile phones. Economic elements like economic growth, inflation, and unemployment contribute widely to the pricing of commodities or reviewing their strategies. Currently, the world is facing an economic crisis and this has made countries experience inflation. Such challenges affect businesses negatively. Customer demands also grew making businesses expand in the provision of their products and services (Shankar et al., 2021). Additionally, better trade opportunities have risen over the years, enforcing new techniques and markets in the entrepreneurship sector. New products get introduced every day, and this makes entrepreneurs and businesses access new markets. The ability of a business to respond to environmental factors plays a vital role in determining its success.

Global Business

Globalizalization is another crucial aspect that contributes to business advancement. Improvement in technology has made businesses reach global markets in delivering their products and services. Global business simply refers to commercial activities that encompass international trade and investment. Factors such as cultural sensitivity vastly help in ensuring that a business meets its global goals (Kohofiya et al., 2020). A business should adapt its products and marketing strategies to suit the preferences of a targeted customer. Technological and transport infrastructure assists companies to access various global markets simultaneously. Advantages of global business include a wider market, the opportunity to tap into resources not available locally, and diversification. Monetary risks and currency fluctuations may occur as immediate challenges for global businesses in various countries.

Global businesses also tend to face problems such as political instability in various countries, and cultural challenges where the products do not meet the customers’ needs and morals. Coca-Cola, Apple, and Toyota are some of the world-known companies that have succeeded in globalization ( Kohofiya et al., 2020). They provide unique products, making them outstanding and making high sales in the global market. Companies must strategize their business operation so they can venture into the global market. However, global businesses have an advantage of a wide market and availability of resources.

Business Ethics and Social Responsibility

They are two different concepts, but so crucial in the management of a business. For a business to succeed in its objective, these aspects must be considered by all members. They all emphasize a business’s positive impact on the society and environment apart from maximizing their profit. Business ethics refers to the standards and principles held by companies on conducting what is best for their shareholders and stakeholders (Ferrell et al., 2019). It involves all ethical and moral behaviors that should be implemented in a business. These traits include honesty, respect, and fairness. On the other hand, social responsibility in business refers to the need for business organizations to get involved in environmental and societal developments. Businesses must focus on improving the welfare of the community through providing employment, fairness in providing services, conservation of the environment, and supporting community projects. Business organizations that operate in line with these standards are seen to achieve a positive brand image and even attract more customers.

Patagonia is a real-life example of a company that has shown commitment to business ethics and social responsibility and finally succeeded. It is a clothing and gear company that has always shown its commitment to a transparent supply chain. Patagonia maintains a close relationship with its suppliers and ensures suitable working conditions and that they are paid fair wages. The company is also seen to conduct various environmental initiatives, such as ‘Worn Wear’, where society is encouraged to repair and reuse their products rather than purchase new ones (Ferrell et al., 2019). Such a move assists in reducing ecological footprints. Moreover, Patagonia normally donates a percentage of its profit to community-building projects. The company’s relationship with society is seen to grow every time, and profits keep growing all because of its commitment to business ethics and social responsibility.

Types of Business Forms

A sole proprietorship is a widely-spread form of business that is operated by many business owners. It is mostly common among small businesses. Sole proprietorships are usually owned by a single individual, running the daily activities of the business. The business owner is in control of the business and entitled to all the risks and liabilities. A partnership is a form of business where two or more individuals share the ownership of a single business. According to Pidun et al., (2019), a legal agreement must be put on the table to elaborate on how the business will be operated. Partnerships are further divided into two; general and limited partnerships. Partners have unlimited liability in general partnerships, while in limited partnerships, some have limited liability. They are accompanied by the advantage of bringing together a diverse group of business people and contributing towards the success of a business. However, when profits are not shared equally, some partners might feel to be unfairly treated in the business.

A corporation is also a form of business owned by shareholders. A board of directors is usually selected by the shareholders to oversee the corporation. Members have limited liability. A corporation does not dissolve when ownership changes (Pidun et al ., 2019). Corporations have an advantage over other businesses since they can acquire loans easily. The choice of one’s business depends on their business goals, business structure, taxation, and management.

Accounting, Finance, Financial Markets

Accounting is the course of recording, summarizing, and reportage of the financial transactions of a business. Its main objective is to ensure, proper financial information is delivered to the stakeholders. Accounting is further broken down into financial accounting and managerial accounting. Finance deals with money management, the discipline of money, capital assets, and investments (Reboredo & Ugolini, 2020). It comprises various measures of obtaining and utilizing funds to maximize returns and minimize risks. Public finance, corporate finance, and personal finance are the three disciplines of finance. Furthermore, financial markets include platforms where traders are provided with means to interact and trade financial assets, commodities, stocks, and derivatives. Financial markets include; the stock market, bond market, foreign exchange market, and commodity market. Financial markets work as the determinants of economic conditions and interest rates.

Accounting and finance play a huge part in the development and operation of a business. Accounting assists in a company’s decision-making since managers and other business staff rely on it to set goals and allocate resources for the business. Accurate accounting also helps in the calculation and reporting of tax. On the other hand, finance plays a huge role in capital management, risk management, and financial planning in an organization. Financial markets also play a vast role in providing and maintaining liquidity in the markets (Reboredo & Ugolini, 2020). They provide a space where traders can buy and sell financial instruments such as stocks and bonds. Financial investments are also facilitated in the financial markets since a platform is provided for investors to invest in a variety of assets, like stocks, commodities, and real estate. Financial markets contribute significantly to economic progress by ensuring that money flows to where it is required.

Embraer

Empresa Brasileira de Aeronautica S.A (Embraer), is a multinational corporation based in Brazil that provides tremendous value in the design and production of aircraft and other related technologies. The company is a significant provider of aircraft to the military services of the US, Latin America, and Asia. Some of the military aircraft that it has produced include; EMB 314 Super Tunaco, and a turboprop light attack. Embraer was established in 1969 with assistance from the federal government. Its headquarters are in Pinheiros, Brazil (Dias et al., 2018). The foundation was built on the immediate need for technological transformation in the aviation field.

The company is focused on manufacturing and selling commercial, military, and executive aircraft up to date. It has grown to renown for the quality aircraft that it designs. Since its establishment in 1969, Embraer has produced some famous jets, such as E-Jet E170 and E190 (Teles and Dias, 2022). It is also involved in global business, including executive aviation. Embraer produces business jets, such as; Legacy series and Phenom. It provides reliable global aviation services in almost sixty countries in the world.

Embraer is a Brazillian company that operates as a corporation. The aerospace company is listed on the stock exchange market and it is divided among shareholders. It is an aerospace corporation that is publicly traded (Teles & Dias, 2022). Moreover, it is a company that works in line with societal ethics and legal standards. Embraer published code of ethics requires employees to work following every rule and ensure they follow internal principles. Ethics and integrity are the core of the company’s values making them provide the best to society. Under the UN global compact, the company is committed to promoting and respecting human rights, operating against corruption, working in eliminating environmental challenges, and ensuring no discrimination in employment.

The Brazilian Aerospace company is vastly involved in positively impacting society in many ways. The company is involved in various community developments such as; education, health, and infrastructure. Environmental sustainability has been on top of its list since it focused on manufacturing more environmentally friendly products. An example is the E-jets E2 series, an aircraft that is fuel efficient and reduces environmental emissions. It provides STEM education programs, especially in the aviation field to increase knowledge and employment rates in different communities. Ethical business practices have always been key in the company’s operation, transparency in the supply chain, and integrity in governance are upheld in the company (Teles & Dias, 2022). Embraer is listed in the stock exchange market and its shares are traded on the open market.

The evolution of the business sector has led to the expansion of many businesses, making them achieve their objectives. Aspects such as technology are the biggest contributors to such achievements. Businesses have gone global due to the elevation of infrastructure all over the world. Financial markets have also enabled businesses to run smoothly via the platforms created. However, when operating a business, ethics, and social responsibility is highly needed. A company such as Embraer has implemented all the required aspects in its operation, thereby maintaining its status and achieving its goals. A business should always review its strategies so it can be successful and obtain a positive reputation.

Embraer Marketing Strategies

The vision of the company since its inception was to be the leading quality service provider for its clients across the global market. In this case, the company became a leading player in the aviation industry by focusing on three essential elements such as offering high-quality services and products, value to consumers, and focusing on building customer experience in its marketing strategy (Maculan, 2013). In other words, the company employed a marketing strategy that covers all the 4Ps of the marketing mix for an effective promotion of its aerospace products.

Product

The company’s product line encompassed a diverse series of aircraft such as commercial and executive jets including military planes. In the long run, its reputation has been steadily established by its E-Jet series and recognized for its unique fuel efficiency and outstanding versatility in operations.

Place

The company’s distribution channel involved collaborating closely with various airlines, governments, and private clients globally. With its established network of sales agents, representatives, and dealerships, the company had a well-established and solid global presence.

Price

The pricing strategy at Embraer is typically tailored to the needs and budgets of its loyal consumers. Aircraft costs over the years depended on the size, range, configuration, and other unique features (Maculan, 2013). However, the company is known to offer flexible pricing options that accommodate market conditions and consumer needs.

Promotion

The firm utilized a mix of promotional strategies that have increased its outreach and demand for its products. According to Maculan (2013), over the years Embraer has participated in major aviation industry events, exhibitions, and airshows in the global market to showcase its latest tech innovations and product models.

Embraer Management Type

The company has had a structured and hierarchical management approach that reflects a clear chain of command and division of roles and responsibilities. At the apex of its organizational chart is the company's chief executive officer (CEO) responsible for setting its strategic direction and vision (Organizational Structure, n.d.). Reporting to the CEO are the key executive managers from various departments such as sales, engineering, finance, and operations with designated responsibilities. However, each division is further subdivided into various teams such as research and development, marketing, production, and customer support to junior employees with specific roles in the day-to-day operations. In other words, its structured organization permitted efficient communication, decision-making, coordination, and accountability.

Company Leadership

Based on its recruitment strategies over the past decades, Embraer’s leadership structure has always exhibited a blend of strategic and visionary leadership. In other words, its leadership structure is characterized by its emphasis on technological advancement, innovation, and consistent adaptability within the airline industry (Organizational Structure, n.d.). Its visionary leadership outlook arose from the progressive search for new opportunities and growth and expansion by company leaders in various departments of its operations. For example, Embraer was known for its commitment to furthering the boundaries of technological advancement in the aviation industry. This is evidenced by its creation of advanced aircraft designs and solutions in the industry. Similarly, the organization also demonstrated strategic orientation in its leadership. For instance, its ability to compete effectively in the global airline marketplace showcased its potential for strategic and effective planning in decision-making.

Lessons from the Company’s Operations Management

From the comprehensive research about the Embraer company above, valuable insights on the company’s operations management resurfaced. Firstly, its operational proficiency extends across several sectors such as military, commercial, and executive production and sales of aircraft. The company is well-recognized for its unique aircraft designs such as E-Jet E 170 and E190 which further strengthens its stature. With its involvement in global executive aviation events, its leadership and governance are admired globally in the airline industry. Secondly, social responsibility and ethical conduct are some of the renowned pillars of Embraer’s operational philosophy. For instance, the company is guided by a code of ethics while also emphasizing upholding internal principles and the company rules among its employees.

Since it is a publicly traded entity and with its presence on the stock exchange market, the company has been entirely focused on increasing transparency in its supply chain and integrity in its operations and governance. Its firm commitment to ethical business practices highlights a solid consumer base that enhanced its reputation in the global market. In the midst of an ever-evolving global business landscape, the company’s achievements are attributable to unwavering devotion to social responsibility, ethical standards, and its well-structured operational management approaches.

Technology/ Automation at Embraer

The operational structure of Embraer is effectively shaped by its skillful adoption of technology and automation which reflects its commitment to innovation and efficiency. The company has integrated cutting-edge tech and automation processes into its operations, resulting in the successful positioning of the company as the global leader in the airline industry. Secondly, the company leverages advanced engineering software and design for the creation of complex aerodynamically optimized models of its aircraft products (Barbosa et al., 20916). Similarly, automation stands as a fundamental pillar of its manufacturing process resulting in efficiency and production of quality products. In other words, the company utilizes robotic systems to fabricate and assemble components of aircraft with absolute precision.

Quality Management Programs

The company has put more emphasis on quality management by adopting comprehensive programs and practices. In other words, the company implemented quality control processes in all stages of its production, service, and aircraft design. For instance, the company follows the international aviation safety standards and guidelines especially those set in place by the European Union Aviation Safety Agency and the Federal Aviation Administration (Kos et al., 2018). Meanwhile, the company also adopted quality management systems in the airline industry such as ISO 9001 that focuses on progressive improvement of the company and customer satisfaction.

Conclusion

The Embraer company has effectively established itself as a key player in the aviation industry since its establishment in 1969. Its strategic focus on marketing mix, governance, ethical standards, and social responsibility aligns well with the fundamental principles covered in the course. Despite its positive trajectory in terms of operations, further emphasis on progressive vigilance and adaptation to evolving global issues could effectively enhance its long-term success. In addition, fostering innovation in customer experience along with its business model could potentially aid the company in maintaining its competitive edge. In general, the company seems to be in a positive direction for long-term success. Its firm reputation, quality assurance, ethical standards, and technological innovation provide a solid foundation for future success.

References

Barbosa, A. M., Neto, A. C. R., Pinto, C. E. C., Moreira, M. A. M., & Nogueira, T. P. (2016, September). Design for testability concepts applied to product development: An EMBRAER aircraft. In 2016 IEEE AUTOTESTCON (pp. 1-6). IEEE.

Dias, M., Teles, A., & Duzert, Y. (2018). Will Boeing succeed with the Embraer acquisition operation, despite the Brazilian Federal Government's golden share veto? International Journal of Business and Management Review, 6(2), 55-64. https://www.researchgate.net/profile/murillo-dias/publication/328414970_will_boeing_succeed_with_the_embraer_acquisition_operation_despite_the_brazilian_federal_government_golden_share_veto/links/5bcc8619a6fdcc03c799ae7c/will-boeing-succeed-with-the-embraer-acquisition-operation-despite-the-brazilian-federal-government-golden-share-veto.pdf

Ferrell, O. C., Harrison, D. E., Ferrell, L., & Hair, J. F. (2019). Business ethics, corporate social responsibility, and brand attitudes: An exploratory study. Journal of Business Research, 95, 491-501. https://www.sciencedirect.com/science/article/pii/S0148296318303588

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Kos, J., Greene, G., Jentink, H. W., Hodgkinson, J., Lourenço, C., Oliveira, M., ... & Weeks, M. (2018). On-board air quality–Final report on the effect of new materials. European Commission, Future Sky Safety. Document D, 7.

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Organizational Structure. (n.d.). Embraer RI. Retrieved August 25, 2023, from https://ri.embraer.com.br/en/governance/organizational-structure/

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Shankar, V., Kalyanam, K., Setia, P., Golmohammadi, A., Tirunillai, S., Douglass, T., ... & Waddoups, R. (2021). How technology is changing retail. Journal of Retailing, 97(1), 13-27. https://www.sciencedirect.com/science/article/pii/S0022435920300695

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Business Analysis