Supply Chain Agility and Logistics

Responding to the Changing
Business Environment

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Use of various approaches to understand macro and micro environment for business....1
1.2 Business resources and external factors and trends which identify business performance3
1.3 Responses to external trends and factors..........................................................................4
TASK 2............................................................................................................................................5
2.1 Organisational changes to individual businesses that would counteract negative or support
positive business environmental factors and trends...............................................................5
2.2 Impact of responding to business environmental trends or factors..................................6
2.3 Role of management in responding to changing business environment..........................7
TASK 3............................................................................................................................................9
3.1 Changes in the relationship between government, public sector and business................9
3.2 Models and scenario to illustrate changes in relationships............................................10
3.3 Opportunities which may arise due to changes in relationships.....................................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Business is basically an activity of exchanging the products and services in return to the
currency or benefits (Wieland and Marcus Wallenburg, 2013). In this scenario, there is some of
the things concern such as solving and social issues, earning from, serving the goods and
facilities to the targeted population which is present in the market by fulfil their demands and
needs. It is basically a combination of internal as well as external components which influence
the operations of organisation. In the business environment, there are many factors engaged like
clients and suppliers, technology, competition in owners, rules and policies, governmental
activities and social and economic trends. Although the business environment is quite dynamic
and it is change rapidly by various factors such as alteration in technology, development,
changing trends, applications, taste of consumers and many more.
These are the basic things which is changing as the particular period of the time so
accordingly the business organisations need to be flexible and to survive in such market they
need to be very flexible as well as very acceptable in such situation. So, they can improve by
themselves as creative and strong market footing in the business environment. Product
development will be the need at some point of the time and as according to the attitudes,
behaviours and perception of the customers (Vecchiato, 2012). As according to this assignment,
it will going to present all the various approaches of the business environment micro and macro
are involves. In this, they will reviewing the external trends through which they measure and
figure out the performance of the business in positive as well as negative way by recommended
responses. It also evaluate the role of changing environment of the business with the illustration.
They also conceal the relationship between businesses, public sector along with government too.
TASK 1
1.1 Use of various approaches to understand macro and micro environment for business
Macro factors as well as micro aspects have great effect on operational department for
Tesco Plc. by keeping the eminent role of the leaders and head people which has played various
roles for the firm. Basically their production in this field of the organisation which basically
consist of many activities which can be affecting some kind of features of the firm in both ways
positive as well as negative manner. Macro factors include PESTLE analysis of the
establishment and micro factors involve SWOT analysis.
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Macro factors which would be affecting the firm can be as follows:
Political: This basically includes governing body which would be responsible for making
some required law for maintaining peace and order in an organisation.
Economic: There might be some changes in the environment where exchange of taxation
which can be directly affecting the revenue factor of the country (Xue, Shen and Ren, 2010).
There would be various reformation which changes currency rate that can affect economic
aspects of UK.
Social: Society would be required very importantly for making business of Tesco to be
popular by understanding what does general public wants and work in progress of it.
Technological: By using new and latest technologies for this firm it can bring so many
advantages and profit and also help in improving their performance level.
Legal: These legal bodies which basically play very vital role in operational management
for actual implementation of policies and focus on following of rule within the company so that
they work in proper order.
Environment: This involves all the factors that the surrounding has which might affect
natural environment to influence the business operations of the firm in every way possible.
Micro factors which actually affect functioning of Tesco Plc. is given below:
Strength: This basically consist of those factors in which the company is very strong in
and can fight through its competitors by using these features and factors. There are various
supremacy of this firm which includes good labour force and best quality products. The service
provided by them is of great charm and deserves appreciation (Teece, 2010).
Weaknesses: These are those quality which will basically cause the firm to hinder in
achieving their goals and success. This includes competition and pressure which is built because
of so many firms to open up on the same concept and services.
Opportunities: These are those factors which makes the situation in favour of the
company aspect. As much as possible this firm should achieve in this case because these are the
times where company can maximum profit and achieve good status in the society.
Threats: There can be so many times where company would be in a dangerous situations
of losing it position, power financial support and so on. Those cases are said to be threats for the
company which could damage its image and position. Some of the threats can be entrance of a
foreign company, changes in the interest of customer to buy another company's product as their
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