British Airways: Impact of External Environment on Business Operations

This report provides an analysis of British Airways' internal and external environments. It explores the various factors influencing the airline's operations, including political, economic, social, technological, legal, and environmental (PESTLE) factors. The report also examines internal factors such as finances, resources, vision, mission, and organizational culture. Furthermore, it discusses the impact of British Airways' activities on the external environment, including the influence of technology, government policies, and the competitive landscape. The analysis is supported by references to academic research on business environments and strategic responses. This report aims to provide a comprehensive overview of the factors affecting British Airways and its interactions with the external environment.

INTRODUCTION
The business environment can be referred
to as the external forces and factors which
are not in control of the enterprises and
affect and influence their working. There
are various internal factors that influence
the operations of the business that involves
customers, government, competitors and
suppliers.
BRITISH AIRWAYS
INTERNAL AND EXTERNAL ENVIRONMENT
EXTERNAL FACTORS
External factors are those which consist of
situation, circumstances and influences which are
beyond the control of the organization and places of
major impact in its decision making. Pestle analysis
is a framework that is used to analyze the impact of
external environment that is discussed below in
relation to British Airways-
• Political
• Economic
• Social
• Technological
• Legal
• Environmental
IMPACT OF BUSINESS ON
EXTERNAL ENVIRONMENT
The business environment is influenced
from the functioning of company and
every business is required to operate
within the external environment so it is
very important for it to pay attention to it
and take measures to analyze its impact.
The activities of British Airways that
influences the external environment are
narrated below-
• Technology
• Policies of government
• Competitive environment
INTERNAL FACTORS
These include the weakness and strength of
the organization that affects the functioning
of business so that it can achieve its targets.
Some of the internal factors that affect the
working of British Airways are discussed
below-
• Finances and resources
• Vision and mission-
• Organizational culture
REFERENCES
• Huang, Z., Gao, W. and Chen, L., 2020. Does the
external environment matter for the persistence of
firms' debt policy?. Finance Research Letters, 32,
p.101073.
• Njoroge, P.M., 2017. Strategic Responses to Changes
in the External Environment by Private Tvet
Institutions in Nairobi County (Doctoral dissertation,
University of Nairobi).