The Business Environment

The Business Environment
Title: The nature of national environment in which organisation operate
National environment is the environment corresponding to national
territory such as surrounding area covered in exclusive economic zone agreement
as well as airspace over country. Organisations get affected or influenced through
their own national conditions along with the ways they operate within the field.
Explanation of importance of national entrepreneurship strategy
National entrepreneurship strategy refers to key input for generating
situations to link education system along with human resources requirements to
country in order to address the matching of abilities, aspirations and skills for
devising sustainable self employment choices.
In case with Tesco, the strategy is significant to encourage socially together with
economically productive operations or activities by employees acting
independently in company. Principal objective of the strategy is to enhance
entrepreneurial activity level that are considered to be down the social optimum.
Some of importance of national entrepreneurship strategy are as explained:
Fostering innovation: National entrepreneurship strategy is important to
foster innovation on high level and putting them on attaining economic and social
policy agenda. The strategy motivates organisations to offer unique merchandise
and reduce dependence on obsolete technologies addition to systems. By
adhering the strategy, managers of Tesco improves quality of life along with
morale and provides greater economic freedom.
Community development: The aim aim of national entrepreneurship
strategy is to navigate community from continuity to change, specialisation to
diversity, stability to turbulence through developing suitable entrepreneurial
skills. With the strategy, entrepreneur of Tesco emphasis towards contributing in
community development and increasing overall efficiency of economy.
Tackling growing concerns: In a country, growing concerns of
unemployment issue in an environment in which higher uncertainty levels puts
bigger question on employment generation potentials of large companies are
tackled with the help of national entrepreneurship strategy. By using the strategy,
entrepreneur of Tesco help the national environment to deal with unemployment
situation wherein it operates.
Explanation of role of monetary as well as fiscal policy and the possible impact on
companies addition to their activities
Monetary policy:
It is defined to macroeconomic policy which is laid down by central bank
and includes management of interest rates, money supply, demand side economic
policy which government of nation uses for attaining macroeconomic objectives
such as liquidity, consumption and growth. It is responsibility of central bank of a
nation.