Positive and Negative Impacts of Macro Environment on Business Operations

Business & the
Business Environment

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 3............................................................................................................................................1
P4 Identify the positive and negative impacts the macro environment has upon business
operations, supported by specific examples................................................................................1
TASK 4............................................................................................................................................4
P5 Conduct internal and external analysis of specific organisations in order to identify
strengths and weaknesses............................................................................................................4
P6 Explain how strengths and weaknesses interrelate with external macro factors...................5
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Business is regarded as the practices which are performed in order to develop money
through producing or purchasing or selling goods and services. Moreover, business environment
is define as sum total of overall internal and external factors that effects business functions.
Therefore, this is crucial for all entities to know about these factors that aids them to formulate
effective procedures of decision making. By this, organisation may able to obtain many benefits
like increase profitability, strategic plan development and others (AGBOLADE, 2014). As per
the project report one, the undertaken organisation for this report is FORD. It is a best-selling
auto mobile brand. It offers a line of electric and hybrid electric vehicles. They also invested
heavily into the self-driving car market. Its headquarters is in Dearborn, Michigan, U.S. This
report covers macro environment positive as well as negative impacts as well as internal and
external analysis by using SWOT. Apart from this, the interrelationship that strengths and
weakness have with external factors are also described in this report.
TASK 3
P4 Identify the positive and negative impacts the macro environment has upon business
operations, supported by specific examples.
This is significant for entities to analysis external macro aspects for conducting its
practices in profitable as well as efficacious way. Macro environment is a board and wider set of
economical situation. This includes an influences that impact the overall business economy as
well as this environment can not be controlled through organisation as this is very much large
and unpredictable to control. Moreover, it assists to monitor and analyse atmosphere through
using PESTEL model that may has affects on entities growth. PESTLE Analysis is a tools that is
applied for examining as well as monitoring external factors which may have a profound effects
upon firm's performance (Charter, 2017). There are other factor which makes the organisation
great are there value in service provided to the respective customers. But they fail to identify the
needs and wants of the customers which leads towards slow down of the sales in the company.
Here is the PESTLE analysis of Ford Motors explains these points further in the detail manner.
Political factor: Ford have strong sales in the Asian counties. In fact in the year 2016
they had made the profit which was more than other big brands present in the market. This
market continues to be both strong and stable for Ford Sales. One reason for this is because the
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