Business Environment Analysis and Models

This assignment delves into the complexities of the business environment by examining its key components, influencing factors, and strategic implications. It explores various business models, including those related to corporate-NGO collaboration, service development, and innovation. Students will learn about decision-making processes within integrated business contexts and how simulations can aid in understanding these dynamics. The assignment also touches upon topics like environmental uncertainty, entrepreneurial orientation, and the role of technology in shaping the business landscape.

BUSINESS
ENVIRONMENT

Table of Contents
INTRODUCTION....................................................................................................................... 1
TASK 1....................................................................................................................................... 1
Covered in PPT....................................................................................................................... 1
TASK 2....................................................................................................................................... 1
P3 Relation between different functions of organisation regarding objectives and structure....1
TASK 3....................................................................................................................................... 3
P4 Positive and negative impact of macro environment on business operations......................3
TASK 4....................................................................................................................................... 5
P5 Internal and external analysis of strengths and weakness....................................................5
lP6 Interrelate strengths and weakness with external macro factors.........................................6
CONCLUSION............................................................................................................................ 7
REFERENCES............................................................................................................................ 8

·INTRODUCTION
Business environment can be defined as combination of internal and external factors
which may influence firm's operational condition. It can include various elements such as
clients, suppliers, competitors and owners. Improvement in technologies, laws, legal norms,
market trends, social and economic factors are also impacts on business environment. It is
important to balance it in respect of various kind of components to create smooth working area.
This will facilitate the employees to feel comfortable and generate better outcomes on regular
basis. It is also beneficial to reduce the employee turnover as well. Overall, it will support to
attain better growth in personal as well as professional career (López-Gamero, Molina-Azorín
and Claver-Cortés, 2011.). This report is based on Burger king which is chain of hamburger fast
food restaurants and headquartered in unincorporated area of Miami-Dade country, Florida. This
firm is founded by Keith J. Kramer and Matthew Burns and served its food products al global
level. The assignment includes legal structure of different kind of organisations along with its
size and scope. Relationship between various types of functions in respect of firm's objectives
and structure is also involved. Negative and positive impacts of internal and external factors of
business environment due to identify strengths and weakness will also discuss below.
·TASK 1
·Covered in PPT
·TASK 2
·P3 Relation between different functions of organisation regarding objectives and structure
There are various organisation which are running as per their activities or procedures of
manufacturing particular products or services at domestic, national and global level. Every
enterprise has its own hierarchy of people and job functions whether it is organic or intentional.
It is necessary to operate a specific business efficiently as well as specifically (Agarwal, Grassl
and Pahl, 2012). For this, they have to plan structure which can fits the style, size and operations
of an organisation.
Organisational structure can be described with reference of business as that method by
which firms can arrange people and jobs so that workers become able to perform their tasks.

This will facilitate to attain goals or objectives of the company more efficiently as well as
effectively. Several small groups can make decisions democratically and be productive in an
unstructured arena but larger teams have to use delegation of authority strategy (Aterido,
Hallward-Driemeier and Pagés, 2011). It is very obvious that different kind and size of
organisations with contrary objectives and continual requirement to improve productivity.
Several departments which are necessary to conduct firms are given below:
·Human resource department:- This term refers to that part of company which have major
role to manage manpower of firm in better way to attain various desired goals or objectives. Its
target is to render effective policies, procedures and people friendly guidelines and support
within enterprises. The Burger king have to utilise its human resource in such a manner so that
they become able to provide food service faster to its clients.
·Marketing department:- It may plays as important role in promoting business and mission of
an organisation. This aspect serves face of company, coordinating and producing all goods
represents the business. Thy burger king need to conduct several marketing activities by
initiating attractive logo or slogans or advertisements to improve client count of this firm at
global level. This department have to organise marketing research to make more effective or
innovative strategies based on results of research to develop product to fulfil desires of
customers.
·Finance department:- This team has target to achieve several benefits such as business
support service, lowest cost and effective control of environment. It is necessary to collect mush
funds to implement it for organisation various desirable aspects of firm to gain targets of
production properly (Auzair, 2011). The burger king have to make its budget and forecast
demand of money for completing firm's prospects and make report of various kind of payables
and receivables for future purpose. It is essential for public trading and large company owners
tend to be widely scattered with management sometimes located at different place entirely.
·Research and development department:- It will plays an integral responsibility in life cycle
of specific product. This department ids generally separated from sales, manufacturing and other
divisions. Its functions are related and often require collaboration between different departments.

Burger king have to conduct various kind of research so that they can enlace their product,
strategies and techniques of manufacturing or organising desirables aspects of an organisation.
·TASK 3
·P4 Positive and negative impact of macro environment on business operations
There are various kind of internal and external factors which may impacts of desired
activities as well as processes in positive and negative ways in attain different targets of the
company. Burger king may described as most well known fast food brands in the world. They
have an impressive global presence to provide its delicious food products quickly as per order
placed by its clients (Avramenko, 2012). It is also putting its efforts for investing in international
expansion and better quality of customer service to attain more effective as well as efficient
profits for the organisation. PESTLE analysis have an important role to identify various kind of
factors and their impacts. And this will facilitate to expand positive aspects and support to
reduce the impact of negative prospects as well. Several factors of pestle regarding Burger king
are explained below:
·Political:- This factor of macro environment plays central role in business and can have major
effect on profitability as well as profitability. A business have to try for expanding overseas
which can come across political barriers. It is very important to observe such negative aspects
and clear such issues to run or conduct various necessary activities of an enterprise to achieve
desired profits. These factors have direct connection with business environment of Burger king
and they have to consider such aspect to organise manufacturing procedures. They are trying to
grow in continent Asia and due to this its political environment matters because it will help to
promote its product for that particular firm. Every organisation have to follow norms of political
parties related to that area in which the firm operates (Burns and Winter, 2011). By this, they can
easily survive in market otherwise not.
·Economical:- This firm operates world wide and it may effected by inflation rates of different
economies as if people in certain market are dealing with inflation. Then they might not have
power to spend on Burger king. The negative impact is that it will affects sales in domestic as
well as global market scenario of changing trends. At the other hand, factors such as wage

rate,lifestyle, spending power may impacts on sales of Burger king. The positive impacts is that
various kind of activities or processes of manufacturing specific product or services including
its pricing may get affected. This will results in decreasing sales and profits of the company
along with decline of market shares.
·Socio-cultural:- There are so many people belongs to their different kind of culture having
own criteria of thinking and generate contrary thoughts and views about particular thing.
According to this people are more acceptable and diverse in their choices which may support
Burger king in its business. And remains factor in most of markets in which it operates. Its
positive impact is that it reduces risks and uncertainties due to different preferences of people
(Chow and et. al., 2011). If single group of people reject any product then many others may
accept it very happily. Its negative impact is that the firm become able to attract new clients but
helpless to retain current or loyal customers due to new concept.
·Technological:- There are various kind of technologies and software which are used by many
of firms as it will facilitate easy to work. People become able conduct several tasks in few
minutes which may consumes several hours. Its positive impact is that it will provide to place
order easily. And clients do not need to waste their time in long queues for just an order. Burger
king can render home delivery of its various fast food products to their clients more effectively
and expand it market share rapidly. It have few of negative impacts also like is there is lack of
internet connectivity then every process will stopped at the moment. And without it they cant do
anything.
·Legal:- It is important for every organisation to follow rules and norms of legal authorities of
the nation where they operates. They have to make contract of permission from such legal
people so that they are able to run their business at particular place to provide desired services
(Commander and Svejnar, 2011). It is also necessary to make sure that they render their products
within limits of legal rules. Its positive impact is that, firms will not serve any harmful thing to
people for just their profits. Another thing, its negative impact is that they can solve issues of tax
department or local authorities very easily and run their business smoothly.
·Environmental:- Besides of political, legal, technological and many more issues, the
organisations have an essential responsibility towards environmental issues. The firms have to

take care of its activities or procedures that it will not hark the climate or other natural factors
because they have en important role in human lives. The negative impact is that burger may face
cleanliness notice from local authorities of that area and apply several restrictions to it.. Positive
impact can be defined as that they may recycle their raw material which reduce cost of
manufacturing of products. It is necessary to put efforts for well being of natural environment
because it is an important aspect of human lives.
·TASK 4
·P5 Internal and external analysis of strengths and weakness
Burger King is an American fast food chain specialist in hamburger. This well renowned
fast food organisation has an ability to achieve its position as a leader in the competitive world.
They have analyse their strength and weaknesses as well as opportunities and threats by
implementing scientific proof business model within their organisation which is formerly called
as SWOT Analysis. Burger King must uses its strength sector as as tool for competing its
rivalry's like McDonald's, Wendy's, Starbucks and Yum. In addition to this, organisation must
also focus on threats which may face in future or may be faced right know also from big fast
food chain company's strategies and policies (Cronan and et. al., 2011). Burger king need to
grab strengths and opportunities to attain better profits and identify weakness and threats to take
desired actions to reduce negative impacts of them on firm's activities. SWOT analysis may
impacts on decision making of organisation in various aspects. They can identify strengths and
opportunities and capable to make better innovative strategies or policies to make effective
decision for desired process or techniques to be utilised. Along with it it is also mandatory to
observe and analyse impacts of weakness and threats so that it will become easy to make
efficient methods to avoid such negative aspects and their impacts on decision making of an
enterprise. It is necessary for burger king to make various kind of strategies and policies by
effective decision making. This facilitate to conduct its several activities of manufacturing its
fast food for its clients and deliver it in time. Because it is also essential to provide product on
time otherwise people will prefer the other fast food firm to fulfil their demands or preferences
(Dahan and et.al., 2010).

Moreover, decision making is an important criteria for every firm. Because a single
wrong steps will leads to huge loss but various correct actions do not attain great profitability as
well as productivity of an organisation.
Strength: Their strengths are completely based on business strategies and policies. They
are now 2nd largest fast food hamburger restaurant chain in world just after McDonald's as they
have operated around 13K franchises and company owned outlets in 80 countries. Their strength
are their product line. They serve different variety of fast food products at affordable prices with
so many offers and vouchers like beverages, hamburgers, chicken items, shrimp kebabs and
many more. Burger King is equally powerful and fully focus on its branding and advertising
strategies and policies.
Weaknesses: They have very little weaknesses but for competing as well as maintain its
goodwill among customers, small weaknesses will create huge difference among this
competitive market. They have to more conscious or focused on hygiene and natural ingredients
in their products. Because nowadays peoples are more concerned about their health (Fernando,
2011). They have to upgrade their old recipes as well as reduce use of artificial ingredients as
possible as. Major problem arises in Burger King organisation is that, their maximum outlets are
franchised which is difficult to manage and handle in a more productive manner. Which
negatively impact in their brand image as well as on their customers perception towards
company.
Opportunities: There are tremendous opportunities are available in this innovative and
high tech world. Market expansion in different economies and developing countries by using and
adopting different innovative strategies and tech. Through collaboration with small health
conscious and ozone-friendly entrepreneurs, change their recipes and style of producing
products. In today's high tech world, they have to adopt E-commerce and online platform for
advertising their brand, for taking direct feedbacks and suggestions from valuable customers
and experts, available their products on online platforms and improve their delivery system by
using different technology equipments and collaborating with high tech logistics (Gebauer,
Paiola and Edvardsson, 2010).

Threats: There are so many new threats arises, as a company grow day by day.
Tremendous competition happens because of local streets fast food shops as well as international
and national players like KFC, Subway, Wendy's, Yum, McDonald's and many more. In addition
to this, government and NGO's health awareness campaigns and programs aware citizens about
health and side effects of fast food products. These programs negatively impact on company's
economic growth as well as on customer perception.
l壱P6 Interrelate strengths and weakness with external macro factors
It is necessary to conduct SWOT analysis for observe and analyse the strengths and
weakness of particular organisation. It firms are unable to identify these factors then it will
become a very serious problems for burger king. In this case, SWOT analysis can be considered
as best technique to facilitate firms to identify internal and external factors to evaluate them as
per need of company. They can know about the firm's strengths and weakness to work on them
effectively. This will results in easily reducing negative impacts of weakness. Along with it, they
can utilise their strong points in proper manner to achieve better profits or benefits for an
organisation (Halbert and Ingulli, 2011). Strengths and weakness are linked with external macro
factors because in many cases, enterprise may get affected by outside elements. It is possible that
firms are not able to identify such components which may affect management decision making
of an organisation directly as well as indirectly. Sometimes the companies have to know about
such external factors which may provide them support to enhance their business and those also
which become threat for them.
The burger king have to know about local political and legal authorities of specific area
in which they operates to achieve advantage from them by certain aspects. On the other hand
they have to be careful from several elements which may have negative impacts on their
operational procedures are necessarily avoided by some means (Hamilton and Webster, 2015).
Many times, social factors may affects business in negative way like CSR responsibility of
company thus it is liable to do social activities. Due to government pressure, it mat increase its
weakness of business which affects productivity of enterprise as well. Overall, it is mandatory to
do SWOT analysis to know about positive and negative external macro elements which impacts
on firms operations to evaluate and control them.

l壱CONCLUSION
The above report had concluded that there are various kind of business belongs to public,
private and voluntary sector with their won unique purposes having their legal structures. The
firms are necessarily conduct SWOT analysis along with internal and external macro factors to
know about their negative or positive impacts. Because it will helps to control them and reduce
negative impacts facilitating to improve positive aspects of them.
l壱REFERENCES
Books and Journals
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