Evaluating the Contemporary Business Environment - CBE Project Template

CBE PROJECT TEMPLATE
Executive Summary
The business environment is basically defined as various factors or forces which is
analysed by organization for maintaining positive atmosphere in workplace area. With help
of keeping positive work atmosphere employees within organization are able to do their task
with full passion and interest. The report will cover the details explanation of effect of
COVID 19 in the economy of UK. It further covers the economic effect of the war in Ukraine
on the UK, major recommended economic responses of UK government and their
implications. Due to the effective response of government small and medium organization
easily developed their infrastructure strongly and also enhanced their portfolio within short
duration.

Table of Contents
1. Introduction..........................................................................................................................................3
2. Discussion and Analysis......................................................................................................................3
2.1 Impact of COVID-19 on the UK’s Economy –.............................................................................3
2.2 Economic Impacts of the War in Ukraine on the UK....................................................................4
2.3 Major Recommended Economic Responses of the UK’s Government and their Implications –..5
2.4 Major Responses of the Bank of England and Their Implications to the UK’s Economy............7
3. Conclusion...........................................................................................................................................9
4. Recommendations..............................................................................................................................10
5. References..........................................................................................................................................11

1. Introduction
The term business environment is basically defined as combination of various factors
and forces which is utilized by many organizations for run their activities smoothly. Due to
keeping effective and positive business atmosphere the various companies are able to deliver
high and standard services and goods to users for long duration. With help of positive
business environment firm is able to identify the requirements of user in quick manner. But at
the time of COVID 19 there are various impacts which are produced on the economy of UK
on various aspects and due to this various organizations are not able to run their activities in
smooth manner. Due to the impact of COVID the market of UK is totally get disturbed
(Alajoutsijärvi, Kettunen and Sohlo, 2018). The report will cover the details explanation of
effect of COVID 19 in the economy of UK. It further covers the economic impact of the war
in Ukraine on the UK.
2. Discussion and Analysis
2.1 Impact of COVID-19 on the UK’s Economy –
There are various impacts which are produced in the economy of UK due to the impact
of COVID 19. The impacts are damage in company goodwill, enhancing unemployment,
increase of prices in goods and services and others. The main reason for occurring these types
of issues is that the demand and supply of product are highly decreased in market which leads
to decrease the sale and productivity of various organizations. The main reason for enhancing
unemployment rate in the economy of UK is that due to the impact of COVID on employee's
health many employees’ loss their job. Due to this many organizations’ loss their skilled
workers. But for solving the issue of COVID 19 the government of UK initiated strategies
such as lockdown and other. But real fact is that due to implementing this type of strategy
companies with in UK and other locations loss their potential clients and need to fix huge
price in their goods and services. The main aim of fix heavy price in their goods and services
for balancing the level of profit margin and demand and supply of products in market. But
due to enhancing heavy price lower- and middle-class segments are not able to buy the goods
and services of various companies within low time.
The other major impact which is produced on the employees within various
organizations is that their salaries are become half. Due to this they are not able to survive
their life in decent and proper way. It leads to enhance conflict between employee and

employer at higher rate because the satisfaction level of employees in the job are highly
reduced. Due to this the overall performance and productivity of company are highly
decreased for long duration. During the time of COVID 19 social work and human health
activities facilities the largest negative contribution in the UK economy and market. Because
they are coming in the category of emergency services and their activities are highly essential
for protecting the life of people. The main reason for producing negativity in the health
services is that at the time of COVID company faced lot of shortages in their vaccines (Farah,
Ramadan and Harb, 2019). Due to the shortages of vaccines many companies are not able to
protect the health of their employees. In COVID when company is collapsing then they
decided to establish new type of strategies and policies which is highly beneficial for
employees regarding their safety within organization and also for enhancing the sale of their
goods effectively. The most important strategy which is used by various companies as per the
guidelines of government for enhancing their profit and revenue at higher rate are keeping
cleanliness and hygiene in workplace area. In aspect of service industry monthly service
resulted by 0.3% in August 2021, with the food service sector and accomodation faacilitates
the strongest contribution in positive manner by 0.28 percentage points of positive growth to
GDP, and social work and human health functions provides the largest contribution in
negative manner by 0.42 percentage points of negative growth to GDP.
2.2 Economic Impacts of the War in Ukraine on the UK
During the time of war in Ukraine on UK various kinds of economic impact are
produced which are described below -
 Inflation – During the time of war prices of various company products and services
are highly increased in form of inflation. Due to occurring this kind of inflation the
citizens of the UK is not able to fulfil their basic needs in time which leads to
decrease the goodwill of company effectively. At that time the price of goods are
raised around 30% - 50%. Due to occurring inflation in the price of products the reach
of company product and services are effectively reduced. Due to high inflation rate
distribution channel or supply chain of various companies are not worked in
systematic manner.
 Unemployment – At the time of war in Ukraine unemployment are highly increased
in various organizations. Because during that time companies faced huge financial in