Contemporary Business Environment: Challenges and Government Support for SMEs during Covid-19

Contemporary
Business Environment

Table of Contents
INTRODUCTION ..........................................................................................................................4
TASK 1............................................................................................................................................4
Determine the key challenges that affected the internal environment of the company..........4
Plan of action of interaction with the outside environment during a period of Covid-19
pandemic.................................................................................................................................6
Investigate the role of UK government in supporting the SMEs during the Pandemic.........7
CONCLUSION ...............................................................................................................................8
REFERENCES................................................................................................................................9
INTRODUCTION.........................................................................................................................10
TASK 2..........................................................................................................................................10
Examine the economic environment within which Virgin Money business operate in the
United Kingdom...................................................................................................................10
Inspect the worldwide business climate and its effect on nations with an accentuation on the
United Kingdom...................................................................................................................11
Use relevant theories and models to properly analyse the case study and support your
arguments.............................................................................................................................13
Theory in context to Virgin Money:.....................................................................................13
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................15

INTRODUCTION
Contemporary business surroundings are always shows the upward trend of competitive
and vital market in the economy. These changes are occurs by updating techniques and tools in
the business world that includes the quick fluctuation in the accounting control concepts in order
to increased the motions (Abuselidze and Slobodianyk., 2019). Therefore, it is important for the
organization or firms to control and develop the logical and useful values for business
forecasting or consuming accounting methods in order to support the business planning,
directing and future decision making. In this report, the discussion are related to the business
environment of SMEs in the nation UK that include analysis of key challenges which effected
the internal surrounding of the firms and their methods of communication with the external
surroundings within past 2 years. Moreover, it investigate the role of legislative of UK in
supporting the small and medium sized enterprises during the pandemic. The report is followed
these points in the form of essay.
TASK 1
Determine the key challenges that affected the internal environment of the company
The SMEs are play a big role in business environment from the past years. In UK, some
SMEs are everlasting and some of them are specifically relevant because of the present political
roughness. Due to this the challenges are also generated which effected the business firms but
from past year these issue are increasing quickly because of Pandemic situation. In the following
some challenges are described in Context of the Small and medium-sized enterprises:
Leadership: The small and medium-sized enterprise do not need a knowledgable and skilled
leader to regulate the business firms that why the average skilled people also regulates its own
business on SMEs and develop its profile as an entrepreneur. But this practice generate most of
the challenges at the time of running the organization and leading employees because of
acquiring lack of knowledge and experience in the field (Oey and Lim., 2021). During the
pandemic time this problem are faced by every peoples or leader whether knowledgable or not
because at this time the situation impacts the population health and decreases the economic
position of the country. But this period also describes the quality or capability of every
entrepreneur whether they are using right techniques or not in running the management.

Tradition: Each and every SMEs needs to follow the right path or tradition to run the business
enterprises smoothly and this will all done with the help of the business owners. It is important
for the organization to make a crystal clear objectives for bringing the value in the management
system. These values generally include four types are honesty, gives best services to the
customers, time to time innovation and the respect. All these value are the key to well run the
enterprises (Koh., 2020). In the period of Covid business hits badly but it is important for the
companies to assure that values are regulated accordingly and works towards creating a lively
tradition.
Plan of Action: The less degree of knowledge in SMEs leaders effects the entire organization
because their planning are not well and planned. Presently, the innovation are take place in a
very huge level where the enterprises are helpful in making the good plan. These innovated tools
does not take a more time to getting the ideas and spent its time in thinking about where the
business position in 3 years period and how the ideas can be accomplished.
Strategy Carrying out: The strategic plan are always helpful for the SMEs to achieve a strategic
goal by executive the proper plan, strategy and ideas. After meeting the objectives in every 3
months, entrepreneur facilitative in keeping the advantages of marginal gains which are acquire
by meeting every target.
Implementing an “A” group: It is the one such challenge which is most appropriate and useful
in every SMEs because they all search for the candidate who have a lot of knowledge in growing
and expanding the business (Nah and Siau., 2020). These functional areas are production,
accounts, sales and business operation. For running the business firms smoothly, it is important
to manage or maintain the daily operation activity and this will only done by the business
owners and directors.
Making the business concern Stand out: It is hard for the company to detect the competitive
edge because the market of the economy are very broad in the present time. This practice are
important for the SMEs but takes lot of time, cost and resources for examining and assuring
everything it can be stand out. To make a position in the market business needs to maintain
quality, convenience, price and customer services.
Putting the Employees first: The business organization need to be done it practices according
the demand of the consumers and this will only done by when the company puts its candidate
who are well trained and experience.