Understanding Business Environment and the Role of Innovation and Technology

Business Environment

Executive Summary
The reports provides an overview of business environment that is sum or aggregation of
all intrinsic and extrinsic elements of business like workers, customers, supply, demand,
management, suppliers, innovation, technology, market trends, economic changes and many
more. The document is based on Lloyds Bank which is Britain foremost financial organisation
that operates globally with the help of financial and insurance commodities. The written report
will define about innovation, technology and the importance of them within a business. Apart
from it, the information will consider regarding corporate governance and its importance for a
business firm.

INTRODUCTION
Business environment refers to that atmosphere in which a business organisation operates and
run its business. It can be an environment of external and internal components that influence how
the firm functions consisting workforce, consumers, administration, supply & demand and
business regulations. A business environment is an effective area in which ventures can
operating in appropriate manner by fulfilling consumers needs & demands and sustain or survive
till long term. Business environment is a vast concept but each of its aspects is equally essential
towards the success of a business (Hamilton and Webster, 2018). The larger a business grows the
more aspects it develops both internally and externally. This assignment is based on Lloyds Bank
Plc which is a British retail and mercantile bank that has its branches in England and Wales. This
firm was incorporated in 1765 and is headquartered in London. The firm operating its business
with the help of its banking and insurance products. The written document will consider
information about innovation and technology and its contribution in development of the
economic system of the nation. Further, will explain that how innovation affect functions, sales
and proceeds of a venture. Moreover, significance of corporate social responsibility and model of
CSR will define context of organisation.
TASK 1
Demonstrate understanding of innovation and the role of technological change in economic
progress
Definition of Innovation
Innovation refers to an activity of converting new ideas and thoughts into a business or
adding something new and valuable in existing products and services of a company that have
value and customers are ready to pay for that. In business, it is a process of commencing new
information, workflows, methodologies, services and commodities. Creation is important for the
growth and development of the business of the firm (Safar and et. al., 2018). The successful
exploitation of new ideas is crucial to a business being capable to develop its activities, bring
new and developed goods and services to marketplace, maximise its effectiveness and most
essentially enlarge its profitability.
Definition of technology
1