Business Environment

BUSINESS ENVIRONMENT

Table of Contents
INTRODUCTION...........................................................................................................................................3
TASK 1..........................................................................................................................................................3
1.1 Identification of various types of business and their objectives........................................................3
1.2 Analysing Primark's policy that up to which level it able to meet with objectives of stakeholders...4
1.3 Explaining different responsibilities of the Primark which helps to achieve objectives of
stakeholders............................................................................................................................................5
TASK 2..........................................................................................................................................................6
2.1 Explanation about different economic system and their impact on the countries............................6
2.2Implication of fiscal and monetary policies on the different business................................................7
2.3Importance of competition policy and its types.................................................................................8
TASK 3..........................................................................................................................................................9
3.1Explaination of decisions of pricing as well as output decsions of enterprise is measured in the
various type of market that are discuss below-.......................................................................................9
3.2Relationship among the demand and supply of product and services...............................................9
3.3Implication of culture in the business organisation..........................................................................10
TASK 4........................................................................................................................................................10
4.1Explaination of international trade on the UK business organisation...............................................10
4.2Implication of global factors on UK business organization...............................................................11
4.3 Evaluation of the policy of EU in the UK..........................................................................................12
CONCLUSION.............................................................................................................................................12
REFERENCES..............................................................................................................................................13

INTRODUCTION
In order to survive in the competitive environment, every business organization have to
analyses various environmental components effectively. Business environment consist with two
major parts that is internal and external environment. These two part largely influence the
business activities and function of the corporation (Cai and Yang, 2014). In the external
environment, various components are consisted such as political, legal, social economical,
technological. On the other and in the internal environment, various internal components
includes such as employees, customer, suppliers, investors etc. It is very important for business
enterprise to analyze and assess the business environment because these mentioned factors
largely affects the organization practices and function. In this project report, influence of various
environmental components on the business has been critically discussed. Beside this, impact of
fiscal and monetary policy with context of Primark has also studied in this report. Primark is a
famous cloth retail corporation based in Ireland with most of the operation in UK. This company
is a subsidiary of Associated British Foods and has its manufacturing sources from different
countries. Various economic system and its importance in the various countries has addressed in
the following report. The major objective of this project is to understand the impact of business
environment on the organizational function and activities.
TASK 1
1.1 Identification of various types of business and their objectives
Primark- Primark is a famous subsidiary corporation of the associated British foods group.
Organization was launched in the year 1969 in the Ireland as trading of Penny. by 2000, there
were over 100 stores across Britain and Ireland. Further, by the year 2012 Primark able to
establish 238 branches in the country UK, Ireland as well as in the Europe continent. Primark has
become distinctive for offering unbeatable value whilst never losing its innovative, fashion-
driven edge. Primark is world famous brand because of its innovative product and reasonable
prices (TEbert and et.al., 2014). The leading products of this cloth retail corporation are clothes,
shoes and home ware products. In order to produce innovative products and services, Primark
uses resources from India, china, Bangladesh and Turkey and by this it provides employment
opportunities to other countries. In addition to this, company effectively fulfills its responsibility
toward society and impressive contribution toward corporate social responsibility. Cited venture
have more than 68000 employees who are continuously providing their best efforts to attain the
company objective and satisfying the needs of customers. The respective business organisation
selling clothing items sat the lowest prices and below the average prices which settled out by the

regulatory body. Further, the company has different retailers like as H&M and Zara in its
respective industry. Primark Plc contributes in the fashion trend and provide cloths to consumers
according to their requirements.
Public sector company- The public sector company concerned with rendering diverse range of
governmental services. These types of corporations are generally controlled by the government
and works for the society. The Primark Plc is operating in public sector which uses different
types of rules as well as regulation which are framed by government of UK. National health
service is the best example of public sector company that is offer medical services to society and
administrated by government.
Charity- A charitable organization I a kind of nonprofit organization which differs from other
types of NPO’s. This type of organization is working for the common welfare of the society.
1.2 Analysing Primark's policy that up to which level it able to meet with objectives of
stakeholders
For every firm or organization, Stakeholders play a very crucial role in order to attain desired
objective. In the absence of stakeholders company cannot survive its business activities and
function. They are those individuals who have interest in the business and they are always
wanted to connect with company. Any changes in the policies, practices, strategies, action may
largely affects the activities of stakeholder. In order to meet the objection, company has
responsibility to share each information related to business share with stakeholder and maintain
an effective relationship with them. In the context of Primark, there are various stakeholders such
as employees, government, investors, suppliers and customers. Following are major obligation of
Primark towards its stakeholders-
 Employees-Employees are most important stakeholder for Primark because in the
absence of them company cannot survive its business activities and functions. In every
field of corporation like production, operation, marketing requires an skilled and talented
personnel’s (Chow and et.al.,2012). In order to make business effective and successful,
corporation requires to maintain an effective and healthy relationship with personnel’s.
Primark have 68000 employees so it have responsibility to provide better working
condition, develop effective policies and practices, pay salary and effective incentives
and provide better welfare schemes so as they can motivate and encourage for higher
performance and productivity. By this, employees may retain in the company for long
time.
 Customers-Customer are another important stakeholder for the Primark. Cited venture is
a retail outlets so its success is largely depends upon the customer satisfaction. Customer
requires an effective and high quality products from company so it is major responsibility
of Primark is to deliver expected product and services to them. They also wants an