Contemporary Business Environment

Contemporary Business
Environment

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Business environment and Micro economic concept...................................................................1
External Audit .............................................................................................................................7
Insights about Micro Economic environment within which mobile phone business operate......9
RECOMMENDATION...................................................................................................................9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
The meaning of contemporary is to belong to the same period of time and better
understand which helps which helps to deal with changes effectively. In dynamic business
environment there are different types of internal and external factors which are important to
focus or consider while running a business (Antonaras and Dekoulou, eds., 2019).
Contemporary business environment is said to be a continuous changing environment that
accepts the changes while running a business effectively. In business, changes occurs in demand,
supply, taste, employee engagement, customer preference and other which affects on business.
To deal with changes organisation also consider suppliers, customers, buyers and rival firms
which helps to perform a business properly. To understand about changing business environment
Binatone has been taken that is mobile phone company provides different types of mobile set to
customers. This report is about some topics such as demand and supply, price elasticity, internal
and external factors, demand curve etc. in context to selected organisation. Moreover, this
consider SWOT analysis to get the strength and weakness of organisation.
MAIN BODY
Mobile phone company is require to audit internal and external business environment that
helps to gain knowledge about micro economic environment
Overview of company - Binatone is one of the largest brand in telecommunication
sector. This organisation was formed in the year 1958 in UK by two brothers Gulu Lavani and
Pratap Lavani who import and distribute consumer electronics. Such organisation manufactures
baby monitors, Pet monitors, car accessories and headphones under the Motorola brand. This
serve worldwide area by providing products and services. The products are Landlines, Senior
phones, mobile phones, baby monitor, GPS, Tablets and two way radios. This is leading
organisation that offers different types of mobile phones and other products by bringing changes
in their manufacturing process and procedure. Such organisation operates business in consumer
electronic industry that sales products at economic price.
Business environment and Micro economic concept
A combination of internal and external driven forces are those factors which are
important to consider by business organisation while running a business. This involves
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government regulations, economic changes, market trend, employees, technological innovation,
social trend and management which affects business activities.
Demand – This reflects the actual quantity of products which is required by customers
for the purpose of fulfil their existing demand. A business get profits if products are in demand.
In other words, demand is the specific order which are required by people to complete the needs
and wants. This helps to increase the productivity of an organisation. Standard demand is created
by customers who buys products and services as per their perception (Prowle and Lucas, 2016).
Demand is related with quantity, price and quality of products which helps to rise the business
performance. It do not constant because of contrary business environment. Needs and interest of
people are changing day by day that increase the demand of new and attractive products. This is
important for business organisation to focus on customer demand and produced that kind of
products and services. In context to Binatone, demand of products is increasing because it
provides products as per customer wants after modification in existing products. Demand is
highly connected with price which make sure that organisation is earning profits. This is vital
principle of demand that states increase in demand in case of decreasing prices of products and
decrease in demand in case of incremental in price of products (Bitkowska, 2019). For instance,
Binatone is telecommunication company that provides products at economic prices which helps
to increase the demand. If organisation has adopted high pricing strategy then demand will
decrease.
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