Impact of Business, Cultural, and Natural Environment on Marks and Spencer

Contemporary business
environment

TABLE OF CONTENT
INTRODUCTION...........................................................................................................................2
TASK 1............................................................................................................................................2
Business environment..................................................................................................................3
Cultural environment...................................................................................................................4
Natural environment....................................................................................................................5
Pestle Analysis ............................................................................................................................7
SWOT Analysis...........................................................................................................................8
CONLUSION..................................................................................................................................8
RFERENCES.................................................................................................................................11

INTRODUCTION
Business environment is an analysation of internal and external factors of environment
that effects on smooth functioning of business. Business environment shape the behaviour of
selected organisation by impacting on its functioning. It includes economic, culture and natural
factor in environment that impact on functioning of business. Economic and Non economic are
two business environment in which Marks and Spencer operates its business. Economic
environment includes economic condition, policies and system of country that impact on
operation of M&S in the industry. On the other hand non-economic environment refers to
natural, demographic, legal, social, political and technological factors in the environment.
Natural resource are limited in nature so needed to be protected by company for effective
operations of business. Business is affected by natural factors such as availability of natural
resource, location, weather and climate of country and topographical factors. Trade between
countries is important as it helps in effective utilization of scare resource for achievement of
organizational goals. Companies can expand its business operations by understanding global
environment. Due to Brexit UK economic is facing situation of recession that is low disposable
income and high employment rate. Thus, all such impact on performance, productivity and
profitability of M&S. It impacts on decision-making of company as due to unstable political
situation and high employment company has to reduce cost of its products to attract large
customers. Company is able to expand its business by considering various internal and external
factors of environment that impact on its functioning. This report explains about business
environment and its various factors that impact on functioning of business. It also explains
function of market economy and government intervention in the operations of organization. This
report also describe about various benefits of trade between countries such as increase in
employment, availability of resource and enhance productivity of companies to UK. It evaluates
and analysis impact of European Union on business operations and import and export of country.
TASK 1
Business, cultural and natural environment has large impacts in shaping the behaviour of
organization,its position in market share and how it arrests the customer segments in highly
volatile business world where new companies are emerging every day. Business environment
consists of economic environment and non-economic environment where various factors such
economic conditions of country, policies which regulate business in country and availability of

various sources (Kasemsap,2020).All these factors have direct bearing on M&S business
structure which is one of the biggest retailer clothing brand in UK and its global performance
among other countries where it has large number of clothing stores. Global business managers
have huge responsibilities to increase company performance level according to volatile business
environment, expand its business scale overseas into new countries. It is imperatively important
for companies to build operational structure strong and dynamic with changing cultural
environment and social standards. Natural environment is also an important area of concern for
companies as changing climate changes have high implications on working structure for long
term growth in market share.
Business environment
Global business environment is going through dynamic changes with new companies and
brands coming up on global platform with innovative technology, advanced fashionable features
according to changing customer preferences. Countries have large benefits in trading with each
other and enhancing its partnerships with other brands globally to occupy large market share
percentage and reach new segments of customers. M&S organizational behaviour is highly
impacted due to global business environment where company tends to take corporate strategies
to increase global expansion and deal the impacts of European union on business operating in
countries of Europe positively (Newman, Rand, and Trifkovic, 2020). Economic environment of
UK is going through a tough phase where the slowdown and economic crisis due to partition
from European union has brought large implications on country performance levels worldwide.
M&S organizational behaviour plans to implement the operational structure of company with
high efficiency performance standards to reach set financial foals by taking certain business
decisions which are as follows-
 M&S has planned its business structure operation into new countries where there are
large growth potentialities to reach untapped market share globally. It is one of the
biggest retailer clothing brand rooted in UK where company has large share of
contribution in country economy share. Countries face large benefits from business trade
overseas and companies have large pressure due to increased competitiveness and high
consumer preferences (Le Nguyen,2020).
 European union has large implications on business operating in EU countries as the
business structures have been highly impacted due to changed economic situations, taxes