Contemporary Business Environment: Impact on Virgin Money Bank

CONTEMPORARY
BUSINESS
ENVIRONMENT

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................4
Examine the economic environment of business which is operating in the UK.........................4
Examine the global business environment which have a impact on the countries......................5
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
The contemporary business environment is defined as they have an increasing level of the
competitive and dynamic. It may be changing very fast for the new concepts and may occurs the
effective power for the business. It considers the important aspects for the processes and human
impact on the environment. The organization which will discusses in this report is banking sector
which is Virgin Money bank. This bank is UK's 6th largest bank with the innovative digital
structure. The current report will explain description of the situation, with the help of the
examination of the economic environment and their impact in the United Kingdom's
environment.
MAIN BODY
Examine the economic environment of business which is operating in the UK.
Economic environment is defined as organization may have an impact of external factors
which is influence by the economy. This environment divides into the macroeconomic
environment and microeconomic environment. This may affect the business's decision-making
processes which may have on a firm or consumers. The macroeconomic environment affect the
entire economy and business (Altig and et.al., 2020). Economic environment is important for the
businesses for a fast change in globalization which affect the economic markets. The UK
environment may affect the banking sector positively because UK is most independent and
developed country. The increasing in financial improvement may be inspired by the economic
growth. According to this term the economic growth may create the demand for the financial and
banking sector with the help of this it can grow the economic environment. The financial markets
may help economy efficiently by the direct flow of the savings and investments which may
affect the goods and services productivity.
Income is one of the major factor of the economic environment which may affect the
banking sector with the income of customers. This indicates their ability to spend on the products
which is given through the bank. There may have a variation in demand of money in the term of
the collection and deposits of money which may have a surplus of amount of money. The
bankers need to know about the ability of the depositors of which they want to withdraw the
money from the bank which may have a specific limit of the time (Bahoo, Alon and Paltrinieri,
A., 2020). The demand of money can be suddenly risen on the basis of economic environment