bussiness and enviroment (ICS)

Business and environment
(ICS)

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
1. Two key issues affecting chosen subsector.............................................................................1
2. PESTEL Model........................................................................................................................2
3. Discussion................................................................................................................................3
a. Positive impacts.......................................................................................................................3
b. Negative impacts......................................................................................................................4
4. Challenges faced and overcome in preparing reports..............................................................4
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................7

INTRODUCTION
Business environment is characterised to all internal as well as external factors that have
huge possibilities to impact organisational functions. Sub sector is said to the small section
within larger sector. The report is based on Bristol Cars Limited that operates within auto mobile
sector and is has headquarters at London, United Kingdom. At present there are 173 sub sector
that plays crucial function in making contributions towards turnover as well as adds values
towards improving economic position of a country (All about sub sector, 2019). The report
discusses about key issues that affects the sector, usage of PESTEL model, positive and negative
impacts of the issues on the business and challenges faced while preparation of report.
MAIN BODY
1. Two key issues affecting chosen subsector.
Auto mobile sector is said as the sub sector that makes passenger vehicles like sports
utility vehicles, light trucks as well as cars (Capon, 2009). Within the sector, companies gets
involved in designing, manufacturing, promoting together with selling motor vehicles in the
competing market place. It do not involve firms contribution towards maintaining auto mobile
delivery to end consumers. The sub sector do not manufacture heavy trucks addition to
recreational vehicles. Various issues that are affecting the sub sector are as follows:
No deal Brexit: It has been considered as major issue within auto mobile sector due to
exit of United Kingdom from European Unions which resulted in clear as well as presents danger
towards the sector. Prior to Brexit, Eu represented around 81 percent as well as 52.8 percent of
imports and exports of vehicle volumes of UK. But after this, there was introduction of
automotive tariffs such as 10 to 22 percent connected with commercial vehicles, 10 percent with
passenger cars and around 3 to 4 percent on automotive parts. In addition, the production level of
vehicles within the sector has also fell due to no deal Brexit that has threatened the viability of
such sector the most (Brexit affecting automobile sector, 2019). The drop has also fallen down
the exports due to which relationships among countries did not remain same and impacted on
hitting the auto mobile market. Such move has resulted in ending frictionless trades that has
added billions to vehicle manufacturers for importing or exporting as well as put uncountable
jobs in risk. In addition, Brexit has also resulted in falling value of Pound against Euros which is
threat for auto mobile sector as companies has to now add their costs on costs on the prices and
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