Business Environment Report: Innovation, CSR, and Financial Issues

This report delves into the intricacies of the business environment, focusing on the impacts of innovation and technology on sales, profits, and growth, with a case study on Aston Martin Lagonda. It assesses the importance of corporate social responsibility (CSR) within the context of a chosen organization, incorporating Archie Carroll's CSR framework. The report also identifies financial and ICT issues that impact key business functions. It explores the role of technological change in economic progress, the relationships between innovation and economic development, and the application of CSR principles, highlighting how companies can engage with their stakeholders. The report concludes by emphasizing the importance of innovation and CSR in achieving business goals and contributing to economic development.

Business Environment

EXECUTIVE SUMMARY
Business environment is broader concept which is required to be carried out with
appropriate understanding. The report includes importance of innovation and how it can change
the view of business. Then, it depicts the importance of corporate social responsibility which is
needed to be adopted every organisation. Therefore, by going through this report investigator
will be able to analyse the importance of business environment at market place.

Table of Contents
EXECUTIVE SUMMARY..............................................................................................................2
INTRODUCTION...........................................................................................................................4
TASK 1 ...........................................................................................................................................4
Assess the impacts of innovation and technology and how it has affected the sales, profits and
growth of one of the chosen organisation...................................................................................4
TASK 2 ...........................................................................................................................................7
Explain importance of Corporate Social Responsibility in relevance with given organisation.7
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12
Books and journal:....................................................................................................................12

INTRODUCTION
In present competitive market, this is vita to ascertain and evaluate the environment at the
working place as well as to execute policies and strategies appropriately (Belás, Belás, Čepel and
Rózsa, 2019). The business environment described as the set of outer as far as inner variables
that have an effect on business operations. Aston Martin Lagonda, a British car maker based in
the Netherlands; has been selected for the study purpose. This is a pioneering corporation that
makes luxury and sporting cars all across the globe. The study consists of two topics, one
involving innovation as well as impact on technical progress, technological transformation, fiscal
and ICT problems, and the other involving CSR and Archie Carroll 's CSR framework. The study
offers a brief summary of how creativity and CSR have influenced the business sector over an
evolving time-frame.
TASK 1
Assess the impacts of innovation and technology and how it has affected the sales, profits and
growth of one of the chosen organisation
Advancement and innovation have always been crucial part of market that leads to
progress and total growth. This is important that new concepts or innovations are implemented
such that the transition is made in an effective manner. They pursue current developments in
creativity of relation to Aston Martin.
Knowledge and understanding of technological innovation
The composition and other aspects of new companies is growing and is therefore leading
to competitiveness. Organizations are focused on their progress, but their progress is sluggish
owing to the absence of technological innovations or the introduction of something technological
on the marketplace. It is important that company be creative in order to be ready to contend with

its rivals. information is needed throughout every field, particularly when it relates to
technologies & innovations.
Impact of technological innovation on growth of nation
 Different technological effect has a profound influence on the development of the
economy, as it improves productivity as well as makes newly updated technologies
informed of them (Nikitina, and Lapiņa, 2019). Technologies has been seen in the United
Kingdom as a deciding factor leading to the development of entire economy.
 London is considered as a centre for technology, creativity and growth. Despite the
abundance of engineering, standards of livings of people is also changing despite their
position.
 The extent of technologies possessed by countries portrays the strength of their usages
within environment.
 However, techniques and methods are used to consider technical progress or whether it
could be developed on a higher level.
Understanding of the relationships between innovation and economic development.
Economic growth is imperative for each country, such that people of the nation feel more
secure and empowered to accomplish their ambitions. All are reliant on one another, since they
are leaders of the growth of the country. In line with selected brand, they are also based on their
revolutionary vehicles, like new cars Aston Martin DBX, which will be introduced in certain
nations with latest upgraded technology. economic development is the direct product of progress
that helps to achieve targets over time. These would be essential to the preservation of country'
economic development and the advancement of near future.

These are important factors of progress and development, which demonstrates that it is the duty
of companies to make periodic improvements and ensure that adjustments are implemented in
the most suitable manner. This demonstrates that the partnership between such two principles
allows al business sector to achieve its goals by adding a substantial contribution to economic
development.
Abilities to appreciate the role of technological change in economic progress
The constant transition in technology is contributing to higher economic growth.
Researches and development performs a critical function in the idea of businesses spending large
sums of money (Tóth, Nieroda and Koles, 2020). It is feasible for using capital and energy in the
most acceptable manner through advanced usage. It also relies ondegree of technical transition in
the period that defines economic growth. However, if the cycle of development is persistent, it
slows things down or ceases.
Role-
 Technology development is a phase wherein economies continue to shift and
grow. This is also regarded as the main source of overall economic growth.
 89 % of overall population of the United Kingdom uses technologies for their
professional as well as personal jobs on a regular basis.
The involvement of technology transition in economic developments have therefore been
established and strengthened at a broader scale. This shows that awareness of technology-related
people has grown at a better elevation.
Identify financial and ICT issues for key business functions
The industry consists of small, mid & large enterprise marketplaces with specific
business roles and procedures. In regard to the selected company, they have specific business
roles, such as output control, researches and developments, HRM etc. It is the responsibility of
the managers to ensure that all these tasks are performed out properly. although there are other
problems and also obstacles facing such organization are mentioned below-
Financial issues-
Insufficient working capital- Aston Martin has already been in debts for several years
mostly owing to shortage of funds mostly working capital for start development in several

countries. That, too, led to the closing of their manufacturing plants and shops in United
Kingdom.
(Information and communication technology) issues
Such issues are due to technical difficulties, connectivity problems, restricted resources,
etc. data and communications technologies are the essential components of every business, since
they are accountable for quality improvements. Therefore, there are several concerns related to
business operations and described below-
Lack of efficient manpower’s with advanced technical knowledge- In the background
of the chosen company, these are the key challenges they have encountered in company's HRM
system since they have fewer experts who understand the process, operations and other usage of
vehicles. This is impossible for them to recruit professional workers because of them.
Limited accessibility & network connection- The organization is reluctant to reach
many of regions owing to lacking of connectivity or reach to the appropriate infrastructure
(Khan, Çera and Netek, 2019). It causes them find themselves in a precarious position that
affects their business operations.
It is also evident from above that problems are portion of the company operations which
have to be worked out with due regard. Such problems are slowing down economic growth.
Aston Martin faces above mentioned issues on a broader scale. All fiscal and ICT are important
to the business operations without whom the tasks could not be performed effectively.
TASK 2
Explain importance of Corporate Social Responsibility in relevance with given organisation
In this competitive world, it is not easy to run business by motive of earning profit and
neglecting other things or factors. The concept of CSR has taken place with changing period of
time and is becoming crucial for everyone to consider mostly in business sector. Corporate social
responsibility is defined as marketing and management concept in which organisation is
committed towards fulfilling its social or environmental duties (Belás, 2019). It is often seen
that 92 % of consumers expect business to fulfil their the social responsibility and which also
means that by focusing on CSR in proper way, it is possible for Aston Martin Lagonda to
increases their goodwill amongst the market sector at wider level. This also attracts more

consumers towards the brand. The main purpose doing this is not to gain profit or make money
but to help other individual of society. Moreover, by focusing on this, firm gets more aware
about doing business in ethical way. Thus, importance of CSR is discussed below-
Personnel engagement & retention- With fast changing period of time, it is seen that
employees now days not only focuses on job and salary but also they expect for reputed brand, or
ethical organisation who have goodwill within the market. In relevance with chosen firm, they
have a goodwill in market such as they have responsibility of doing in business in ethical way by
properly focusing on 10 based principles; UN global compact (Nikitina, 2019). The company
provide luxurious cars which attracts and increase retention period of employees.
Benefit over competitors and rivals- Many organisation want to compete with their
rivals and competitors in most efficient way so that they are able to survive in market. This is
done by use or implementing of various strategies and tactics. In relevance with selected firm,
they also focuses on taking advantages over competitors and they do this by properly making
initiative and conducting programmes or socials events. Through this, they fulfil CSR of entity in
proper manne (Tóth, 2020).
Increase customer as well as sales ratio- When social duties are fulfilled or initiated
by entity has been examined 82 % of customers get attracted and influenced by such steps & also
wish to purchase product of the company (Khan, 2019). It is being seen that by doing this they
are able to increase & enhance their sales number at higher level. This reflects that all end users
get influenced easily when social duties are fulfilled in appropriate way.
Positive impact on brand value- When social responsibility is focused by
organisation, it create a positive effect on brand value. In relation with Aston Martin Lagonda,
their main motive is to be the recognisable brand all over the globe. Moreover, they are
renovating their business to provide high end luxurious products so that value is considered as
premium.
So, after analysing above stated paragraph it is seen that a business can not survive for
longer period if it does not have any social duty toward citizen or society. Thus, it is crucial for
manager to make ensure that firm have CSR with regular interval so that value of brand remain
active in market.

Apply Archie Carroll's model with respective of given enterprise
According to this model, it states that rationale for why corporate social responsibility is
to be carried out and how (Bell, 2019). This is well known model which is applied universally by
every organisation. It comprises of 4 components which are discussed below-
Economic responsibility- This specifies that main duty of entities is to produce goods as
well as services that are needed by society to fulfil their basic needs. Organisations have
shareholders who expect return on their investment. In context of employees, they expect for
job security & safety, medical amenities etc. In context with chosen entity, they make ensures
that all are duties are fulfilled in most appropriate way (Dew, 2016).
Legal responsibility- The main legal duty of enterprise is to be carry out the work
according to rules and regulations of government. In this, entities run their all activities as well
as functions under ethical codes so that no legal issues are faced by company. It reflects how
companies can manage heir business practices. In reference with chosen corporation, superiors
of firm assures that no legal offense is done. Legal responsibility in CSR is:
Operating in a consistent way in accordance with government requirements and law
Complying with different national and local regulations
Behaving as loyal state & company citizens

Ethical- The ethical and legal responsibilities are different from each other. Ethics are
basically related with code of conducts of society. It is necessary to be aware about these ethical
duties so that all goals as well as objectives are achieved with proper manner. They also include
laws and regulations, standards, principles, practices etc. The main difference between both
these legal and ethical are that laws are dependent upon ethics practices whereas ethical are
related with other concepts (Ostermann, 2018). In context with Austin Martin, their style of
doing business is ethical in nature. Therefore it involves-
 Performing in such a way that is continuous and regular with society's expectations.
 Properly recognising and respecting of ethical standards which are carried out by society.
Philanthropic- These type of responsibilities are concerned with voluntary activities
and premises/practices of enterprises. It is not compulsory but is adopted by many firm to take
participate in such social events or activities. In relative with selected brand, it is seen that they
provide donations, gifts, scholarships within the society to develop & improve at wider scale.
Thus, from above specified matter it has been examined that Archie Carroll's model is
beneficial for companies to adopt. This is because it assist them in creating and increasing
goodwill of corporation at larger scale. IT is easily understandable model which is needed to be
adopted with appropriate measures (Jorgenson,2016).

CONCLUSION
After a brief analysis of above matter it has been seen that business project and
environment are to be understood in such a way that everything is done properly. Discussions
have been made about innovation & technology, relationship between economic & innovation
development. It is crucial to focus on innovation as well as invention for higher growth and
development. Then further, Carroll model is being discussed in detailed with its importance of
CSR. No entity can survive in market without doing innovation. It gives brief knowledge about
how corporation can change their business through analysing ICT & financial issues as well as as
creating or developing something new.

REFERENCES
Books and journal:
Belás, 2019. The impact of the public sector on the quality of the business environment in the
SME segment. Administratie si Management Public.
Nikitina, 2019. Creating and managing knowledge towards managerial competence development
in contemporary business environment. Knowledge Management Research & Practice,
17(1), pp.96-107.
Tóth, 2020. Becoming a more attractive supplier by managing references–The case of small and
medium-sized enterprises in a digitally enhanced business environment. Industrial
Marketing Management, 84, pp.312-327.
Khan, 2019. Perception of the selected business environment aspects by service firms.Journal of
Tourism and Services, 10(19), pp.111-127.
Bell, 2019. Who becomes an inventor in America? The importance of exposure to innovation.The
Quarterly Journal of Economics,134(2), pp.647-713.
Dew, 2016. Revisiting financial issues and marriage. InHandbook of consumer finance
research(pp. 281-290). Springer, Cham.
Ostermann, 2018. The burden of acute kidney injury and related financial issues. InAcute Kidney
Injury-Basic Research and Clinical Practice
Jorgenson,2016. The ICT revolution, world economic growth, and policy
issues.Telecommunications Policy,40(5), pp.383-397.
Zhu, 2019. An ICT-based ratiometric fluorescent probe for cysteine and its application in
biological issues.Journal of Molecular Liquids,296, p.111832.
Prajogo, 2016. The strategic fit between innovation strategies and business environment in
delivering business performance.International journal of production Economics, 171,
pp.241-249.
Cherunilam, 2016. environment. Himalaya Publishing House.
Carroll, 2016. Carroll’s pyramid of CSR: taking another look. International journal of corporate
social responsibility,1(1), pp.1-8.
Wagner-Tsukamoto, 2019. In search of ethics: From Carroll to integrative CSR economics.Social
Responsibility Journal.

Chang, 2017. Corporate social responsibility and customer loyalty in intercity bus
services.Transport policy,59, pp.38-45.
Jeffrey, 2019. Corporate social responsibility behaviors and corporate reputation.
Youn, 2018. Effects of corporate social responsibility on employees in the casino industry.