Challenges Faced by SMEs in UK and Government Support during Covid-19

Circular Flow of
Income Individual
Essay

Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
Explain the key challenges faced by the company from its internal environment......................3
Action of interaction with the outside environment during the Covid pandemic........................5
Investigate the role of UK Government in supporting small scale enterprises during the covid
period...........................................................................................................................................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Business environment of contemporary businesses are increasing the competition and
dynamic environment of the industry. These changes occur by updating the tools and techniques
of business where in the market there are many fluctuations. Thus it is difficult to account the
changes in the business environment. It is important for the business to consume and forecast the
business planning and future decision making. In the following report, it states about the
Business environment of UK which includes key challenges faced by the businesses in UK. It
investigates the internal and external surrounding of the past 2 years. It further helps in
supporting the medium and small size enterprises during the pandemic (Chartier and et.al.,
2019).
MAIN BODY
Explain the key challenges faced by the company from its internal environment.
SMEs have played an important role in the business environment in previous years. In
the UK, some SMEs are never-ending, and given the current political rigor, some of them are
clearly significant. As a result, additional difficulties have arisen affecting businesses, but from
last year, these problems are rapidly expanding as a direct result of the pandemic situation. Some
of the accompanying difficulties are described in the context of SMEs:
Leadership: SMEs don't have to bother with having knowledgeable and talented pioneers to
take control of business companies, which is why the typical talent is equally on SMEs to
manage their business and cultivate their image as business visionaries. However, this training
creates most of the difficulties in running associations and driving representatives due to lack of
information and participation in the field. During the pandemic, everyone or pioneers, whether
they know it or not, are concerned about this issue, because so far, this situation affects the well-
being of the population and weakens the financial position of the country. In any case, this period
also portrays the qualities or abilities of every forward-thinking business person, whether or not
they have adopted the right management methods (Ephraim, 2021).
Tradition: Every SME needs to follow the right way or habits to keep the business running
smoothly and all this will be done with the help of the entrepreneur. The association should have
a very clear objective in order to get the value of the management framework. These qualities