Business Environment

Table of Contents
Task 1: Understand the organisational purposes of businesses...........3
Task 2: The economic, social and global environment.......................................9
Task 3: The behaviour of organisations in their market environment... 12
Task : !ssess the significance of the global factors
that shape national business activities......1"
#eferences........ 19
Page 2 of 16
Task 1: Understand the organisational purposes of business
a$ %ission and ke& ob'ectives of:
University Hospitals Bristol

Mission statement
Our strategic aims in the three core business areas of clinical services, research and teaching
are shown below, along with aims in key supporting areas!
http"##wwwuhbristolnhsuk#about$us#what$we$do#aims$and$ob%ectives#

Ob%ective
&o provide efficient and effective services, affordable to commissioners and desirable to patients
and referring clinicians
&o be the ma%or specialist service provider for the population of 'ristol ( the )outh *est region
&o provide additional services for the local population
&o support the principle of local access wherever possible
&o provide services which are +uick and easy to access and provide an e,cellent patient
e,perience
&o deliver services to the highest standards
(http"##wwwuhbristolnhsuk#about$us#what$we$do#aims$and$ob%ectives#-
Thorpe Park
Mission statement
&o deliver a memorable e,perience to their millions of guest, independent by the view highest
health and safety standard!
(http:))*iki.ans*ers.com)+),hat-is-Thorpe-.arks/-mission-statement$
Page . of 16
Ob%ective
/reate a highly motivated team who remains open and positive to any situation 0 confident
team player with the ability to also work strong as an individual with drive and determination to
succeed with whatever seeks to achieve
0nother ob%ective would be create more attraction and improve their marketing
Primark
Mission statement
&he mission of Primark is to provide people clothes of a good +uality and at the right
prices
Ob%ective
&he Primark ob%ective is to provide product of a good +uality in order to satisfy people
needs and to have the customer they want so they realise that are a good company and to
convince people that if they are cheap doesn1t mean that their products don1t has the +uality
desired 0nother ob%ective would be to have good customer service but also to open more stores
b) Primark stakeholders:
23&45306"
1 4mployees"
4mployees need and e,pectation are %ob security, good pay, clean work environment and good
leadership with understanding 3ow the new e,pectation of employees is also looking for pension
and benefits after retirement &hey e,pect the company to increase their pay according to their
responsibility
4mployees are taking beneficial packages, monetary rewards and have other healthcare
options Primark is proving employees access to voucher for childcare, bonuses, health insurance
and contribute them to pension
Page 7 of 16
Primark is providing a reward and sound of its work environment for its employees and
associates, its workers are en%oying a fle,ible schedule, access to a long career within training
and development programs, competitive wages and so on
2 Managers"
&he main e,pectations that managers have from Primark are to provide them %ob security, good
payment, if they increased profits, the company increase their bonuses, provide them the right
status Primark also claim to have training support for its employees in order to enhance their
skill and to be able to develop new ones
. /ommunity
/ommunity e,pectations are for Primark to engage in some wider community initiatives 2n
2ndia, Primark works with 38O in order to provide people education on a wide range of topics
such as working safety and law on labour the women1s right Other e,pectation community may
have are good stable %obs, ethnics, training and employment
Primark has been engaged in a long$term program for improving the work conditions and
wages in their factories &he aim of this pro%ect is to ensure that all employees are having a living
wage and this is enough to meet all their basic needs as an adult and support their family but also
to provide income on top

7 &rade unions and civil society groups
&rade union e,pectations from Primark are" to improve the paying system of their members, the
work conditions and practices, to give training and professional development to members and to
improve their interest
&hese organisations are having a common ob%ective such as protect the employee1s rights
Primark is using different methods to engage with these unions and groups and engage to listen
the perspective of the people involved, learn about their issues and how to overcome and taking
part of the decision process making
Page 9 of 16
9 8overnment
&he government1s e,pectation which Primark meets are to provide people with %obs which
Primark is having supplier in many countries and provide %obs to many people while contributing
to reduce the unemployment, pay its ta,es from their profits and provide a hygienic environment
for their employees to work
Primark is meeting this e,pectation by doing the above
c)
1. Antidis!rimination "e#islation
E$uality A!t %&1& $ &he 4+uality 0ct 2:1: legally protects people from discrimination in the
workplace and in wider society2t replaced previous anti$discrimination laws with a single 0ct,
making the law easier to understand and strengthening protection in some situations 2t sets out
the different ways in which it1s unlawful to treat someone
Primark doesn1t discriminate people when it makes hiring, promotions, compensations,
retirement and employees termination and has no discrimination regarding age, nation, religion,
gender, and disability and so on
Primark doesn1t discriminate against employees with minor criminal records in their past
;http"##wwwprimark$ethicaltradingcouk#how<we<work#our<code<of<conduct$
%. Health ' (afety "e#islation
The Health and (afety at )ork et! A!t 1*+, &he =ealth and )afety at *ork etc 0ct 1>?7
;also referred to as =)*0, the =)* 0ct, the 1>?7 0ct or =0)0*0- is the primary piece of
legislation covering occupational health and safety in 8reat 'ritain &he =ealth and )afety
4,ecutive, with local authorities ;and other enforcing authorities- is responsible for enforcing the
0ct and a number of other 0cts and )tatutory 2nstruments relevant to the working environment
Page 6 of 16
Health and (afety -.irst Aid/ 0e#ulations 1*11 &he =ealth and )afety ;@irst 0id- 5egulations
1>A1 places a duty on employers and the self$employed to make arrangements for first aid
in the workplace &he =ealth and )afety ;@irst 0id- 5egulations 1>A1 further provides
protection to workers should they become unwell or in%ured in all workplaces, including
those with less than 9 employees 2t re+uires that workers receive immediate attention in
these circumstances
Primark is providing a safety and hygienic place to work and is taking ade+uate steps to
prevent in%ury or accidents arising out of or when it occurs in the time employees are at the work
2. Corporate #overnan!e
Companies A!t %&&3 Brepresent a source of information of CD company law
Primark is e,pecting that its staff will act ethically according to the company1s code of ethics
and the company is holding regular sessions of ethics and how to approach the dilemma among
employees
The Corporation Ta4 A!t %&&*$include legislation of the corporation ta, including the changes

Primark conducted their engagement in compliance with 2@0/ /ode of 4thics for Professional
0ccountants! which is re+uiring that members be independent of the assurance client, including
not being involved in writing the 5eport &his include also detailed re+uirements regarding
ob%ectivity, integrity, confidentiality and professional behaviour
,. Customer "e#islation
(ales of #oods A!t 1*+*$ regulate the sales of good which are bought and sold in CD and the
contract between the parties which has a transfer of property from the seller to the buyer
Primark must be looking through its legal constraints before making any sales they must
ensure that are fallowing the legislation of goods bought from trader which should be"
)atisfactory, fit for particular purpose and should be described to the customer
Page ? of 16
Task % The economic, social and global environment
a) The allocation of resources
&he influence of public and private sector of the country is defining in a generic term like
economic system &his system manipulates the production, distribution and resource allocation of
CD&he allocation of resources has three type of method" free market, command economic and a
mi,ture of the two of them
2n the free enterprise economy is more visible and this market is influenced by the private
sector &here is no government intervention &his economy doesn1t e,ist in real life
2n the command economy government has the economy in total control 2t set up the decision
of prices, e,change and interest rates and take all the financial measurements 4,ample of
countries can be 6ibya, 2ran, )audi 0rabia
&he combination of both method result in a mi,ed economy where is a fair interference by
both public and private sector&here is a mutual agreement between the two sector when financial
measurement are taken /ountry with mi,ed economy is C)0, 'ritain and 4uropean Cnion
nations
2n CD the economy in ma%or parts is private but government of CD has a strong interference
in the mi,ed economy&he private sector doesn1t have the total control over CD because the
economy is managed under the concepts of low ta,ing and price and market liberaliEation but
with influence of government
b/
@iscal policy involves changes in ta,ation,if the country has lower ta,es that means more cash
for companies to invest in e+uipment and %obs but also for customers mean disposable
income2ncrease the ta,es and income will decelerate in time the companies activities
&he twin challenges of increasing budget deficits and the ageing population must be
addressed to sustain long$term growth2 suggested such measures as investments in research,
education and new infrastructure! ;@ed /hairman('en 'ernanke,2:11
Page A of 16
Monetary policy influence the business activities such as mortgage rates.Business have
higher profits when there is a combination of lower interest expense for companies and
higher income for customers.The change of interest rates has an impact of customer
spending because if there are higher expenses there will be lower buying.
The government use the two main tools,fiscal and monetary policies for regulating the
economic activities.@iscal and monetary policies are two of the main tools available to
government for regulating most economic &he CD government and 8overnment and the
4uropean Cnion ;4C- established legal and regulatory framework for business to operate
2f the country has lower ta,es that mean more cash for Primark to invest in e+uipment and
%obs and income for consumers but increasing income ta,es means less income for consumers
which mean that they will not be able to spend much money on clothes Monetary policy
influence Primark activities such as mortgage rates 'usiness has higher profits when there is a
combination of lower interest e,pense for companies and higher income for customers &he
change of interest rates has an impact of customer spending because if there are higher e,penses
there will be lower buying
@or Cniversity =ospital 'ristol with fiscal policy if the government has a budget fiscal policy
ta,es can lead to more money for the 3=) @iscal policy measures, such as retraining
unemployed workers in specific %ob skills that are in demand, can help bring the unemployment
levels down over the long term *ith monetary policy, lower interest rates can lead to more
small businesses borrowing money and producing medical products and services that are
innovations for the medical profession and can be used by the 3=)
!/

The Competition A!t 1**1 &he 0ct was partly introduced as a result of continued allegations of
Frip$offF 'ritain in areas such as retail sales, particularly by the leading supermarkets and car
manufacturers &he 0ct will be enforced by the Girector 8eneral of @air &rading, however the
utility regulators will also have the same enforcement powers in their respective industries
Primark is abusing from their dominant position which aspect is damaging the competition
*here conduct has an effect on trade between member states there will be applied 0rticles 1:1
and 1:2 of the 4uropean &reaty
Page > of 16
The Enterprise A!t %&&% -EA/ is an 0ct of the Parliament of the Cnited Dingdom which made
ma%or changes to CD competition law with respect to mergers and also changed the law
governing insolvency bankruptcy
3ew law provides that there is now a single overriding purpose which will apply to all cases
of administration which is to save as much of Primark as possible
Primark risks include penalties for failing to comply with 1>>A /ompetition 0ct, the 2::.
4nterprise 0ct, relevant 4C law and all relevant competition legislation
/lear policy direction and close support from specialist in$house legal department and
compulsory awareness training should be done by Primark
Task 2 The behaviour of organisations in their market environment
a/
Organisations can operate in different market structures&his structures influence the level of
profit that the company can generate and the company1s behaviour
&he market in the perfect competition has a great level of competitively,will produce the best
outcomes for customers and will inhibit the barriers into market2n his market the companies
can1t control the prices because there are large numbers of seller and goods have perfect
substitutes and companies can easy access the market
&he monopoly market there is one provider of particular product and services2n this type of
market companies control the prices because of product differentiation,but if the price of a
product rise the costumers switch hi with a cheaper one
0 combination of perfect competition and monopoly create a monopolistic competition in witch
the company sell similar products but not identical&his market is characteriEed by lots of buyers
and sellers and all of them together determine the price
Oligopolies its represented by a few companies but with very large share of the market&he
prices are higher and the output is lower then monopolistic and perfect competition&his
companies doesn1t tend to rise or lower the prices because the demand of higher prices is elastic
and the demand of lower prices is inelastic that would resulting revenue losses
b/
Page 1: of 16
Market forces shapes organisational responses in many ways that include supply and
demand,price,customer perception,etc
*ithout demand the supply will stagnate and if it isn1t sustained the production will slow
down with resultant in loss of profits and unemployment in production and distribution system
4,ample a supply of %uice is greater than the demand of %uiceOrganisation must reach an
e+uilibrium in demand and supply
&he price elasticity show how much the product or services demanded respond to the change
in pricePeople how has less money to spend will have lower price elasticity&he customer
perception represents benefits for companies because it is important for them to understand what
the customers needs are
&he relationship between the market forces and organisational response result in form of
profitability, ultimate success and customer satisfaction &hat1s why companies are constantly
involve in determining the market forces and indulge their staff in market research %ust to match
the customer demand
(o!ial !han#esMany retailers as well as Primark has the source from countries such as
2ndia ,/hinaHietnam and 'angladesh where the labour cost and materials are a bit lower then the
rest/onsumer1s changing tastes plays an important role on the development and success of any
product &o keep up with this issue, Primark will be changing its services according to their needs
and to match their re+uirements, that is why the estimation of the services is not fi,ed to e,act
(o!ial5 !ultural and e!onomi! !han#es$ Primark1s performance was so strong that the
group plans to open an additional seven stores this year at a time when most retailers are scaling
back 0n e,ample can be that people was spending less in the recession time so Primark tried to
make some reductions in their costs and prices to encouraged people to buy their products
!/
2n order to %udge the cultural environment of the organisation, the best way is to conduct
P4)&46 analysisI which stands for political, economic, socio$cultural, technological,
environmental and legal constraints
Political"the government is responsible for maintaining the social market and for providing a
stable and healthy environment for the business to do economic activities
Page 11 of 16
4conomic"the company is performing its activities in the strong economic country so it is easy to
cater the services and operations of the company in the effective manner
)ocio$cultural" it is based on the long term trends and beliefs that people follow while living in a
particular region 2t can bring changes in the company demand in form of policies recruitment,
location and pattern
&echnological"&he company provide products and services to the customers which are made and
sold in a different ways
4nvironmental" the e,isting and physical environment is very important to run the real time
business 2t is also necessary to find out the right form of resources to get the re+uired results
6egal" these are laws and regulations that will support the company to run its operations
Primark has well organiEed strategic target marketing and product marketing approaches in
place )ome of Primark1s customers are switching to rivals because of their +uality products and
good marketing strategies which Primark lacks
Primark does not spend much on advertising, promotional activities and marketing which
represent a big setback in the company management 2f we look at the analysis of their competitor
is clear and there e,ist various treats and weaknesses but also opportunities and
strengths/ompetitive rivalry can be effectively overcome through deployment of cross$selling,
pricing and co$branding and marketing strategies
Task , Assess the significance of the global factors that shape national business
activities
a/
&he economy of CD is dependent on trade &he government has international trade
organisations like *orld &rade Organisation and 4C and support the free and unrestricted trade
&he main significance of CD international trade of business organisation is e,plained by the
concept of comparative advantage 0ccording to this concept, a trade between two countries can
have a mutual benefitI each country in manufacturing products to be traded has a competitive
advantage
@or CD mining companies, there are numbers of reasons for making international trade
profitable, such like, domestic markets are so saturated that push the organiEation to go abroad
Page 12 of 16
and seek other markets outside the boundary, nature of product has a demand to trade it in the
other overseas markets, a lot of commercial buyers are located outside the boundary that creates a
demand so as suppliers provide the products to cater their needs
Gefence /ompanies has significant results in facing the competition such as the CD 0rmed
@orces reduction and the personal service demand have made them reliance
Harious large supermarkets are increasing the influence in the developed countries through
foreign investment and through the imposition of their private standards
&he companies from CD are internationally renowned in the e,pertise delivering across the
entire mining global industry 6ondon is been known as the centre of mining finance
b/
E4!han#e rates
*hen a company in CD is reporting to shareholders and it can have an impact of profits and
losses &he changes can have a positive and negative impact in order to make the company
reluctant to set the figures in the before a deal takes place

Emer#in# markets
&he emerging markets did not carry enough weight 1? years ago to immediately impact the CD
real estate market and investors had to be concerned that the crisis was turning systemic and
global in order to take money off the table, albeit only briefly
&he company offers various products and services, including loans and deposits to consumers,
small and medium enterprises, and borrowers1 agriculture sector 2t also provides commercial
banking services and bills of e,change, as well as collects deposits from corporate customers
Te!hnolo#i!al development
&echnological development has a positive impact because provides economic opportunities to
the rural and urban population and make a contribution in increasing the productivity and making
the market more efficient
Page 1. of 16
&he company needs to take the latest technological innovations in order to become aware of the
potential threat and business opportunities 0n e,ample of innovation is represented by the digital
technology which has made transformations in the photographic industry
!/
Environmental poli!ies
=as a positive impact by delivering programmes of high +uality which has a small effect on
the companies1 environment and the targets and ob%ectives from the environment are set with the
aim for a continuous improvement
4uropean environment policy is to ensure sustainable development of the 4uropean model of
society &hese ones have also negative effect on the globaliEation of the environment
.isheries poli!y
&he 4uropean /ommunity agreed that fishermen have certain rules for fishing in the countries
water and decide to create the /ommon @isheries Policy &his affects CD businesses because they
are allowed to fish only certain types of fish and in certain times of the year, in order to conserve
the stocks
0 negative aspect is those pay little attention to the uncontrolled movement of a+uarium fish
and apply control to a+uaculture
Human ri#hts poli!y
&he human rights policies are set out by 4uropean /onvention on =uman 5ights! and all
business must recognise and follow these rights 4C is focusing its actions in order to combat
the discrimination and racism so that can protect vulnerable people such as women, children and
other minorities
Page 17 of 16
REFERE!E"
=unt, 4D ( 6autEenheiser, M ;2:11- =istory of 4conomic &hought" 0 /ritical Perspective!
0fonso,0 and )trauch,5 ;2::?-, @iscal policy events and interest rate swap spreads" some
evidence from the 4C!, Journal of 2nternational @inancial Markets, 2nstitutions ( Money, 1? ;.-,
261$2?6 26
'eetsma,5IJensen,=;2::9-, Monetary and fiscal policy interactions in a Micro$@ounded Model
of a Monetary Cnion!, Journal of 2nternational 4conomics, 6?, .2:$.92
)=02D=), ) 2:1:, 0usiness 1nviornment,2nd 4d, 2ndia" Pearson 4ducation
http"##wwwrichardchangassociatescom#pdfs#/O12:9<takingthe6eadpdf
http"##wwweconomicsonlinecouk#/ompetitive<markets#4conomic<systemshtml
http"##wwwprimark$ethicaltradingcouk#how<we<work#our<code<of<conduct
Page 19 of 16
Page 16 of 16