Table of ContentsINTRODUCTION...........................................................................................................................1MAIN BODY...................................................................................................................................1CONCLUSION................................................................................................................................3REFERENCES ...............................................................................................................................4
INTRODUCTIONFor a business organisation, it is required to analyse impact of external factors whilediversify in new and target market. This process helps to make effective strategy to reducenegative impacts of these factors (Nakassis, 2013). External environmental elements are beyondthe control, so for this firm requires to make appropriate plan minimise its impact. This report isbased on Sainsbury which is second largest chain of supermarket. This organisation wasestablished in the year of 1869 by John James Sainsbury. This organisation wants to diversifytheir business activities in chines market. For this, they require to analyse impact of externalenvironment factor on their business activities. MAIN BODYPolitical factors – Government of china provide their effective contribution in economydevelopment and growth. They regulate different rules and legislation for different organisationalsector that requires to implement to getting desirable outcomes easily. For Sainsbury, it will bebeneficial if they precede conventional and casual rules of china in business activities. Thisorganisation provide their products and services through online procedure and in Chinagovernment also perused e-commerce activities to enhance trading process in china. Theseactivities will be beneficial for economy development and growth as well. These online activitieswill be helpful for Sainsbury if they provide their effective contribution to expand online servicesin Chinese market with new development strategies in China. These activities maximiseknowledge knowledge of local individual for the uses of online treading procedure. Economical factors – China is determine as one of the most diversify nation. For them itis require to develop small and medium size organisations in their country that helps to providetheir effective and valuable contribution in economy development and growth as well. So forthis, diversified business activities of Salisbury can be a beneficial move for organisation as wellas China (Ariely and Jones, 2012). Through this, they can easily maximise purchasing power ofcustomers by providing attractive and cost effective services to them. In china, some of thefactors will helping to earn higher profit and growth as minimum labour cost, skilled employees,attractiveness of new online procedure and some cost effective techniques. All these activitiesprovide their positive contribution in economy development. In China, there can be some1
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