Understanding Business: Brexit's Impact and Social Media's Role

This report examines several key aspects of business operations in the context of the UK and the global market. It begins by analyzing the impact of Brexit on three critical areas: foreign investment, procurement and supply chains, and employment, highlighting the challenges and opportunities that arise from the UK's decision to leave the European Union. The report then delves into the effective use of social media platforms for enhancing productivity, boosting sales, and increasing profits, providing insights into leveraging social advertising, improving brand awareness, and optimizing search engine results. Finally, the report addresses the communication issues that arise in international business due to cultural differences, focusing on language barriers and cultural nuances that can hinder effective communication and collaboration. The report concludes by summarizing the main findings and emphasizing the importance of adapting to these various challenges to achieve business success.

Understanding
Business

Table of Contents
INTRODUCTION...........................................................................................................................1
Main Body.......................................................................................................................................1
1. Three areas of business which are influenced by Brexit.........................................................1
2. Use of social media in increasing productivity, sales or profits.............................................2
3. Communication issues for international business which occurred due to cultural differences
.....................................................................................................................................................3
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
A business can achieve success with the help of contribution of an individual or group of
person in order to achieve desired financial goals. The efforts of an individual will decide the
revenue of company as they help in selling products and services to customers in an effective and
efficient manner. Marks and Spencer, a UK company which deals in providing household, cloth
products across worldwide. The project covers the impact of external business environment on
the performance of company. The assignment report also covers the impact of climatic changes
along with the effective use of social media for revival of business (Cuervo-Cazurra and
Ramamurti, 2014).
Main Body
1. Three areas of business which are influenced by Brexit
Brexit described as a situation in which UK government make decision regarding leaving
European Union. In other words, the UK government withdraw their responsibilities from the
European Union. A referendum has been passed in which about 51.9% are voted in favour of UK
to leave European Union thus the prime minister who are against such decision were stepped
down and further elect Theresa May for the purpose of leading the country. It makes huge impact
on the functioning of the business organisation. The influences and effects faces by European
Union after leaving Britain are as follows:
Less foreign investment: The major impact faced by European Union is that the United
Kingdom are longer considered as business Hub. The interest of investors to invest money in
United Kingdom goes down due to which the country faces large amount of financial crisis. To
cooperate and handle such situations, the finance minister of UK put their maximum efforts in
order to stable the economy. The minister has decided to reduce corporate tax by 20% in order to
invite large number of people to operate their business operations in the country. Less interest of
people in operating business in UK will influence the economy of country as well. Decrease in
the number of foreign direct investment will make huge impact on the productivity of the
country and thus failed to introduce new and advanced technology in the country. Thus, it has
been observed that foreign investment brings more difficulties for country to attain stable potions
in business world (Maylor, Blackmon and Huemann, 2016). The government of UK should
required to focus on adopting VAT system in order to pressurize business organisation due to
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which they are automatically increases the price of their offerings (The impact of Brexit on your
business, 2017).
Procurement and supply chain: Procurement means acquisition of inputs used in
production process and final delivery to the final customers. The major implications of the
exiting of European union is that it helps in establishing the free trade agreements between the
UK and EU. The taxation rate on purchasing raw materials from the other nations will restrict
business to go for other countries and motivated them to look local suppliers which enhances the
economy of country.
Employment: The other areas which are influenced on such exiting European union is
related with employment sector. As the large number of employees in business organisation are
from different union nations thus due to economic instability of country the employees may not
show their willingness to work in their country due to which the business organisation may faces
shortage of human resource. Because from this, the business operation may also affected due to
which they can contribute less to the economy. According to international research, it has been
noted that more than 47% of the skilled employees are willingness to leave Britain in coming 5
years. The reason for such situation are occurred due to unsuitable immigrations policy
implemented by the country. But it also have positive impact as the local skilled people gets an
opportunity to get employed in business organisation. This will improves their standard of living
as well as enhance their lifestyle (Shollo and Galliers, 2016).
2. Use of social media in increasing productivity, sales or profits
Entrepreneurs defined social media as important thing which drive business organisation
top the nest level in the present market. Therefore it is important for company to adopt such
online platform to communicate the information regarding their quality products and services to
their customers. According to the internal report, it has been noticed that more than 80% of the
marketer trusted on using such platform in order to market their product and services in an
effective way. It is considered as an effective tool which helps business in achieving growth and
success within limited period of time. Some of the approaches are as follows:
Leveraging social advertising: It has been clearly identified that social platform always
brings positive outcome to company in future. The revenue generated from advertisement on
social media is about 9.16 billion which clearly indicates that business organisation must
required to use such platform regarding marketing their products and services. The another
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reason of adopting such platform is that it consumes less cost and time due to which the
company can easily reach to their targeted customers and know their preferences so that they can
produce accordingly.
Brand awareness: Through using such social platform, the business organisation can
able to improve their existing brand image in competitive market. Promoting products through
using social media help the customers to know about the quality, price and other characteristics
of product of company which attracts and influences the interest of lots of customers to buy their
product and services. According to the CMO's, it has been identified that about 82.3% out of
total respondents thinks that it is more helpful for company to expand their brand name through
using social media platform. This will help in retaining loyal customers and gets a chance to
collect feedbacks and opinions of customers regarding the features of products.
Improve search engine optimisation: It helps company to direct customers to pay
attention on the company's products and its features while searching for another similar products.
The company's products and services are mentioned in google search results due to which the
customers should willing to visited at their shopping websites at once. This will help company in
generating huge revenues and attain string brand image in market.
Increase conversion opportunities: It allows company to reach large number of
customers and identify their needs and requirements regarding the quality and features of
product. Within minimum time and cost the company can able to make good relation with
different class of people through answering their queries and provide products at their doorstep
(Wirtz, Schilke and Ullrich, 2010).
3. Communication issues for international business which occurred due to cultural differences
There are various challenges which may faces by business organisation while expanding
their business to other countries. It is important for the management of company to identify the
culture of countries first and accordingly motivate its workers through providing them training
and development program so that they can easily adjust in new cultural environment and can
able to interact with others without facing any difficulties. The factors which causes
communication issues occurred for international business are as follows:
Language barriers: The business organisation cannot survive in other countries if their
employees doesn't know the native language due to which they failed to deal with local people
regarding providing them products and services. Thus the manager of company need to conduct
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learning programs and training session with a motive of sharpening their employees' languages
so that they can easily communicate and coordinate with native people. This will help company
in getting familiar with local people which brings trust and confidence among them ((Webb,
JIreland and Ketchen, 2014).).
Cultural differences: As different countries have different cultures which creates
problems for business organisation while expanding their business operations in other countries.
Thus it important for company to understand their culture if they want to survive for longer
period of time. For example In UK the shaking hands with others is not considered as a good
sign whereas in some countries it is a good sign. Thus, all the aspects need to be properly
examined so that they can able to adjust in new cultural environment. The employees comes
from different backgrounds and culture due to which they feels hesitations while contacting with
other remember Therefore proper communication channels need to be established which helps in
avoiding culture differences (The Importance of Social Media in Business, 2017).
CONCLUSION
It has been concluded from the above project report that there are various aspects which
can affects the business operation of company. Leaving European union by Britain will brings
difficulties for country to maintain their economic and political stability. In addition to this,
social platform will also one of an effe4ctive tool which help business organisation to reach their
targeted customers by incurring minimum cost and time. Using social media platform helps in
identifying the needs and requirements of customers through which they can able to modify their
existing products accordingly and generate huge revenue. Cultural and language differences are
also causes communication issues while expanding business to different countries.
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REFERENCES
Books and Journals
Cuervo-Cazurra, A. and Ramamurti, R. eds., 2014. Understanding multinationals from emerging
markets. Cambridge University Press.
Maylor, H., Blackmon, K. and Huemann, M., 2016. Researching business and management.
Palgrave.
Shollo, A. and Galliers, R.D., 2016. Towards an understanding of the role of business
intelligence systems in organisational knowing. Information Systems Journal. 26(4).
pp.339-367.
Webb, J. W., Ireland, R. D. and Ketchen, D. J., 2014. Toward a greater understanding of
entrepreneurship and strategy in the informal economy. Strategic Entrepreneurship
Journal. 8(1). pp.1-15.
Wirtz, B. W., Schilke, O. and Ullrich, S., 2010. Strategic development of business models:
implications of the Web 2.0 for creating value on the internet. Long range planning.
43(2-3). pp.272-290.
Online
The Importance of Social Media in Business. 2017. [Online]. Available through:
<https://www.lyfemarketing.com/blog/importance-social-media-business/>.
The impact of Brexit on your business. 2017. [Online]. Available
through:<https://www.iod.com/news/navigating-brexit-for-business/articles/the-impact-
of-brexit-on-your-business>.
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