Global Business Environment

This assignment explores the global business environment and its impact on organizations. It focuses on the purpose and value of marketing and IT functions in ASDA Stores Ltd and Rolls Royce motors cars Ltd. It also discusses the link between marketing and other functions of the value chain.

Global Business
Environment

Table of Contents
INTRODUCTION...........................................................................................................................3
PART 1 ...........................................................................................................................................3
Activity 1.........................................................................................................................................3
Background of organisation selected .........................................................................................3
Main Purpose of marketing .......................................................................................................4
Value of marketing functions .....................................................................................................5
Link of marketing function with other function of value chain .................................................5
REFERENCES............................................................................................................................6
Activity 2 .....................................................................................................................................6
Background of organisation selected .........................................................................................6
Main Purpose of IT function ......................................................................................................7
Value of IT function....................................................................................................................8
Link of IT function with other function of value chain .............................................................8
REFERENCES............................................................................................................................9
PART B ...........................................................................................................................................9
Key learning and personal development ....................................................................................9
REFERENCES..........................................................................................................................11
CONCLUSION .............................................................................................................................11
.......................................................................................................................................................11

INTRODUCTION
Global bushiness environment basically represent the wider and larger external
environment that exists around a world and is generally beyond the boundary line of domestic
nation. Global business environment is mainly related with operations of an organisation in
different sovereign countries having exogenous factors than the home environment thus, extra
efforts and analysis of global environment is essential. The different factors like political, social,
regulatory, economic, cultural, technological etc. have significant effect on operations and
functions of the organisation and also influence the decision making of a firm.
This assignment includes two activity. For the first activity selected organisation is
ASDA stores Ltd that is an organisation belongs to retail sector. This part of assignment includes
purpose and value of marketing and link of marketing function with other functions of value
chain are also included. For second activity of this assignment the chosen organisation is Rolls
Royce motors which is a well known company in automotive sector. This activity include a
description about IT function and its purpose and value. Link among IT function and other
important parts of value chain is also provided.
PART 1
Activity 1
Background of organisation selected
For this activity the chosen Organisation is ASDA Stores Ltd which belong to retail
industry of UK. ASDA is basically a British supermarket retailer which was founded by a
Asquith family in 1949 and its headquarter is in Leeds, West Yorkshire, England (ASDA, 2019).
ASDA is a the second largest supermarket of Britain and apart from being a chain of
supermarket it also deals in providing financial services and also a mobile phone provider that
make use of EE network. ASDA is having more than 525 store across the UK and is a associated

with Walmart. The various products provide by ASDA includes chilled, fresh and frozen food
drinks, laundry and household product, health and beauty products, clothing, outdoor,
entertainment products, pet products and many more. The financial services provided by ASDA
includes credit card, travel money, travel insurance, personal loans, etc. To remain among the
top retailers of Britain many efforts are made by ASDA which includes mass selling at cheap and
reasonable pricing strategy to attract maximum number of customers (Perdiguero and Borrell,
2019). Thus, to remain ahead of its competitors and to have a better image in the market the most
important function of ASDA is marketing.
In every organisation there are some important function which includes production,
logistics, finance, management of human resource, marketing, distribution,etc. The main purpose
of all theses functions is to ensure timely and effective services and supply of product to
customers. Being a retailer organisations, ASDA is facing tough competition from big brands
like TESCO, Siansbury's, Morrisons and many more (Tischner, 2019). Thus, to face this
competition from rival companies and to stand firmly in the retail market much importance is
provided by ASDA store Ltd to its marketing function. It is vital functions that helps an
organisation to identify most suitable target market and also provide helps in providing
potentially successful products in marketplace and lead to effective promotions and
differentiating products of ASDA from other similar products exists in the market place.
Main Purpose of marketing
Marketing is basically a prices which includes identifying, anticipating and satisfying
customers needs to earn better profit and to have a goof a brand image. The main purpose of
marketing functions in ASDA store Ltd are as follow:
Understanding ideal customers- The first and foremost purpose of marketing functions
is to get all the relevant information about the target customers. To fulfil this purposes of
marketing, timely market research are conducted by ASDA so that it can understand taste,
preference and latest trend of its customers and market so that product and services provided
should meet that demand (Deakin and Markesinis 2019).
Create brand awareness- The brand of an organisations act as a foundations for all the
products and services provided by a company. Timely market campaign and use of other
marketing tools are made by ASDA to create and build awareness for its brand. It also includes

creating of optimized content through blogs , e-books and various press release and use of social
media networking is also made by ASDA to gain better brand image in the market.
Engaging with target audience- Another main purpose marketing for ASDA is having
better and long term relation with its target audience and customers. Marketing functions plays a
crucial role in enhancing ability of organisation to connect and engage its customer through
having participation at social media network and also includes monitoring and responding to all
comment and feedback of customers to make them feel satisfied and important thus, make more
influence on customers.
Value of marketing functions
Marketing create a significant amount of value for an organisations through making it
more profitable and also provide competitive advantage to a firm. The main values created by
marketing functions for ASDA store Ltd are as follows:
Provided more competitive advantage- The biggest value or advantages created by
marketing function is it provide better competitive strength to organisations by the way of
creating awareness about its product and brand (Perdiguero and Borrell, 2019). Use of eye
catching commercial advertisement through newspapers, leaflets, hoardings, billboards, TV,
radios, etc. are made by ASDA to make its presence feel in the market. Use of celebrity
endorsement and numerous famous personalities is also made by ASDA to have a better market
presence and unique marketing for its product than other competitors.
Enhance profitability and sales- The another important role played by market that
create value for organisations is it lead to increase in level of sales thus, yield better probability.
Use of efficient marketing attract larger number of customers for ASDA which improve its
productivity and reduce cost of operations. Thus, the profit margin are also enhanced by
marketing function for ASDA.
Better global presence- Marketing also facilitates a better opportunity for an
organisation to expand at global level through providing deep information about various factors
of global business environment and also provide an effective communication among organisation
and customers at international which encourages organisations like ASDA to expand their
business operation at global level (Tischner, 2019). This ensure wider market share and larger
customers base to improve the overall profitability and sales revenue of an organisation.

Link of marketing function with other function of value chain
The value chain which is provide by Porter in 1979 includes a chain of various primary
and secondary activities that focuses on creating more value for an organisation. Below a link
between marketing and other function of value chain is provided to understand how it lead to
better results and creating of value for ASDA store Ltd:
Marketing and Human resource management- The main purpose of marketing is
creating brand awareness and goodwill for ASDA or any other organisation. Human resources
management is related with acquiring and employing best and most suitable candidate for an
organisations. Thus, the good image created by marketing attract a larger number of poll of
talented candidates for HR thus, makes it easy for HR to select and choose a better candidate.
Thus, a link between marketing and HR function ensure more efficient and skilled workforce to
add the value in various operations of an organisation.
Marketing and technology development- Marketing functions makes an organisations
aware about on going and latest trend of market. It also provide information about new
technological improvement and enhancement. Thus, creates an opportunity for ASDA and all
other organisation to adopt and make use of better technology to have improvement and more
efficiency in its operations (Deakin and Markesinis 2019). This creates value for organisations
through enhancing its productivity and also lead to achievement of target of cost efficiency for
ASDA store Ltd.
REFERENCES
Deakin, S. and Markesinis, B., 2019. Markesinis and Deakin's Tort law. Oxford University
Press, USA.
Perdiguero, J. and Borrell, J. R., 2019. Driving competition in local markets with near-perfect
substitutes: an application on the Spanish retail gasoline market. Empirical
Economics. 57(1). pp.345-364.
Tischner, A., 2019. Lost in communication: a few thoughts on the object and purpose of the EU
design protection. In The Object and Purpose of Intellectual Property. Edward Elgar
Publishing.
Online :
ASDA. 2019. [Online]. Available through: <https://www.asda.com/>

Activity 2
Background of organisation selected
For this activity of assignment the chosen organisation is Rolls Royce motors cars Ltd
which basically belongs to automotive industry. Rolls Royce is a famous British luxury
automotive maker and is headquarter is in England, UK (Rolls Royce, 2019). It is basically a,
engineer, designer manufacture and distributor of luxury vehicles and auto part and provide a
unmatched style and engineering perfection. The some of ultimate model provided by Rolls
Royce include Rolls Royce Phantom, Rolls Royce Ghost, Wraith, Dawn and many other SUVs
and Luxury cars. Being in the automotive sectors and for manufacturing and designing of best
features, design and model of car, the most important function is IT function.
The main operation of automotive industry includes development, design,
manufacturing , marketing and selling of motor vehicles thus, an effective information
technology become most essential and necessary function as it facilitated better use of computer
devices and technological software and systems for having better automation and efficient
operations (Wachob, 2019). IT functions has facilitated use of CAD (computer aided design) and
other software in Rolls Royce motors cars Ltd which has provided great aid in creation,
optimisations, modification, analysis and more effective design of various products, new feature
and stylish models of motor vehicles with the use of computers. Use of IT and other digital
technology has improved quality of design and communication through effective documentation
and creating a database for manufacturing.
Main Purpose of IT function
The main purpose of IT function in Rolls Royce motors cars Ltd are as follows:
Effective data-management- The main purpose of IT function is to facilitated effective
data management as provide an easy way for keeping past records related with the information of
features and technology used in previous models of Rolls Royce motors cars Ltd and also keeps
record for employee's salary, income and other HR and financial details. Apart from this,
efficient IT function also facilitates back up of important files and boost security of organisations
to effectively mange and secure valuable data and information of organisation (Grilo and
Schurch, 2019).

Improve decision making- The other purpose of having an effective IT function in
Rolls Royce motors cars Ltd is that it facilitated effective decision making through different
digital tool like Microsoft CRM dynamics, google analytics, etc. which enable a firm in tracking
its progress and development so that effective decision can be taken on the basis of its
performance. Function of video conferring, reviewing public comments on social media and
other industry forums and online surveys and feedback contribute in better decision making and
goal setting.
Value of IT function
The IT function creates significant value in betterment of production and manufacturing
operation of Rolls Royce motors cars Ltd. Apart from this the other value creation lead by
effective IT function in Rolls Royce motors cars Ltd are described below:
Improve productivity and cost efficiency- The biggest advantageous and value created
by IT function is improvement in productivity through automation of various operations and
manufacturing process. Automation of process lead to better efficiency and also reduce the
amount of wastage of resource thus, facilitates cost efficiency in production process of Rolls
Royce motors cars Ltd (Sjödahl and Hallböök, 2019).This facilitate an organisation to have mass
productions of product thus, aid in value of Rolls Royce motors cars Ltd through making at able
to work at global level through improving its productivity to cater the needs of clients and
customers at international level.
Effective communication ad reduce barrier of location- The another advantage lead
by IT function as it facilitated effective communication not only with customer but also within
the organisations so that better decision making and coordination can be maintain among
employees working at various branches. For Rolls Royce motors cars Ltd it has facilitated
reduction in barrier of location through providing facility like video conferencing, social media
networking which makes it easy to effectively operate at global level as it provide better link and
interaction among different employees and mangers working at different location of world.
Link of IT function with other function of value chain
The different functions included in Value chain provide by Porter are logistics, operations
, marketing and sales, human resource management, technological development etc., which are
necessary to aid value and achieve objectives of an organisation (Khan and Ebner, 2019). A link-

up between IT function and other function of value chain is provided with below in context of
Rolls Royce motors:
IT function and logistics- A connection or link up between IT and logistics facilitate
better flow and control over use of raw material. IT facilitates better management and processing
of information related with receiving and storing of raw material and also keep a check on how
efficiently it is used in manufacturing process. Thus, a link between IT function and logistic
facilitated better cost efficiency in Rolls Royce motors through keeping a control over wastage
of inventory in production process.
IT function and operations- Use of IT facilitates automation and effective use of
computer in operations which improve efficiency of manufacturing and production process
(Wachob, 2019). In Rolls Royce motors link between IT and operations provided a
transformation of in activity and operations related with change of inputs into outputs that
facilitate operational system to lead value for Rolls Royce motors.
REFERENCES
Grilo, N. and Schurch, B., 2019. Renal Function Evaluation 21. Neurourology: Theory and
Practice, p.195.
Khan, M. A. and Ebner, N. eds., 2019. The Palgrave Handbook of Cross-Cultural Business
Negotiation. Springer International Publishing.
Sjödahl, R. and Hallböök, O., 2019. Incontinence and normal sphincter function. Colorectal
Physiology: Fecal Incontinence.
Wachob, T. A., Rolls-Royce Corp, 2019. EMI-compatible mechanical temperature threshold
sensor. U.S. Patent Application 10/197,450.
Online :
Rolls Royce. 2019. [Online]. Available through:
<https://www.rolls-roycemotorcars.com/en_GB/home.html>
PART B
Key learning and personal development
This assignment is based on the understanding of global business environment which has
facilitated many key learnings and personal development for me. I got the help of my teacher for
developing better understanding about various functions of an organisation and also got a deep
understanding of value chain which was developed by Porter foe adding efficiency and value in
an operation of a firm. Beside this, the research conducted by me on ASAD store Ltd has made
me aware about the retail industry and the important role played by marketing functions in
creating value for organisation. It had been learned by me that marketing lead to creation of

brand awareness and also helpful in engaging and resting customer for a longer span of time.
Apart from this, it has been also understand by me that marketing is helpful for ASDA group in
making it unique and different from its customer thus, attract more consumer for its product.
Thus, it had been evaluated by me marketing lead to increase in profitability and sales of
organisation. It has also been learned by me that marketing function also plays a crucial role in
expanding business at global level through facilitating better communication and interaction of
organisation with international customers. Marketing function also make organisations aware
about existing opportunity and threat in global environment through the proper analysis of
market research.
The research made by me on Rolls Rouse motor Ltd enhanced my knowledge about
automotive sector and how important role is played by IT function in increasing efficiency of its
operations and manufacturing function. It had been learned by me that the main functions of
automotive industry is related with manufacturing, design and developing better feature and
stylish motor vehicles which can be effectually done with the help of IT function. The key
learning accrued by me while this research include a better understanding about the purpose and
role of IT in developing nad designing new products with the help of CAD (computer sided
design) software which yield better use of computer and other technology to have better
productivity and cost efficiency. Thus, it has learned by me that IT function create automation in
process of an organisation which reduce the chances of wastage and yield better productivity
together with cost efficiency. Along with this, it has been learned by me that, IT function
facilitates better communication among different branches of organisation that eliminate barriers
of location. IT system yield better use of digital technology and social media networking that
provide facility of video conferencing, email and many other ways to establish a better
communication which lead to effective coordination and mutual decision making.
This assignment not only improved my learnings over various topics but also to lead to
my personal development. This research has developed many analytical and soft skills in me like
my communication and intellectual skills are improved. Beside this, my time management and
leadership skills are also get enhanced as this assignment and research is completed by me on
time without any consequences and delay. This research has also lead to business acumen in me
and makes me able to quickly and efficiently understanding and dealing with various business
situation in a way that will yield and lead to better outcomes in future. Along with this, proper

care is taken by me to follow all the business manner that are accepted and refried in this
profession of research thus, my Business etiquettes are also got improved. A better level of
information gained by me about the important business functions of retail and automotive sector
and there role in creating value for an organisation and facilitating and encouraging it to operate
efficiently at global level, together with enhanced communication skills and effective business
acumen and etiquette will yield better opportunity for me in future.
REFERENCES
Enderwick, P., 2019. Understanding cross-border crime: the value of international business
research. critical perspectives on international business. 15(2/3). pp.119-138.
Schwartz, H. M., 2019. States Versus Markets: Understanding the Global Economy. Macmillan
International Higher Education.
Brenkert, G. G., 2019. Mind the gap! The challenges and limits of (Global) business
ethics. Journal of Business Ethics. 155(4). pp.917-930.
CONCLUSION
From the above assignment it can be concluded that global business environment
represents the international market that is having different characteristics and features from
domestic environment of an organisation. There are various business function of an organisation
which includes marketing, HRM, IT, etc. which are necessary to meet and achieve the desired
objectives and targets of organisation through value additions. Marketing functions is very
essential and crucial for retail sector as it makes an organization different and unique from its
customers and also facilitates better communication and relation with customers. Thus,
marketing function lead to increase in profitability and sales revenue. Interrelation of marketing
with HRM and technology lead to balance between current trends and functioning of
organisation and also facilitates selection of talented and skilled employees in the organisation.
Beside this, it can be concluded that IT functions is essential for automotive industry as it
facilitates better use of computer for improving efficiency of operation of an organisation. At last
it can be concluded that link of IT with logistic lead to achievement of cost efficiency through
reducing wastage of resource in production process.