Business Operations & Management: Issues, Ethics, and Strategies

This report provides a comprehensive analysis of business operations and management, addressing issues such as the impact of Brexit and consumer product shortages on businesses and daily life. It examines Aldi's unique business model and the trade-offs customers face in that shopping experience. The report highlights the ethical implications of fair wages, using Costco as a case study, and reflects on the importance of marketing functions within a business. It concludes by summarizing the contributions of various business areas and the challenges they face, emphasizing the interconnectedness of business activities and the need for coordinated functionalities to meet customer requirements and maintain a competitive advantage. This student contributed the document to Desklib, a platform offering study tools and resources for students.

INTRODUCTION TO
BUSINESS OPERATIONS
AND MANAGEMENT

TABLE OF CONTENTS
TABLE OF CONTENTS..............................................................................................................2
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
Task 1...........................................................................................................................................3
Task 2...........................................................................................................................................4
Task 3...........................................................................................................................................5
Task 4...........................................................................................................................................6
Task 5...........................................................................................................................................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
The report of business operation and management will comprehensively analyse the
various management related issues faced by the business. Those issues will be Brexit and
consumer products shortage. As these issues are core to the concern of the operation
management. Changing landscape of the grocery store in the region will be highlighted with the
help of a case study and customer shopping experience will be elaborated. Further, various
business ethics which are prerequisite of the business in the organisation will be highlighted. At
last various areas of business that contributes to a successful business will be brought to light.
MAIN BODY
Task 1
In the recent times there are various operational management related issues have been
faced by the organisation which has high impact on the daily lives of the individual Brexit
remains one such crucial issue which has raised global concerns. Brexit is a significant step taken
by the British government as taking an exit from the European union. This exit moves of the
government impacted also all business industry. As very first impact was the rise in cost of the
raw material of goods. Such rise in raw material process increased the cost of the final goods
which made indirectly increased the rate of inflation in the country. Here this issue of inflation
has also in a way caused lower purchasing power of the individual hence it has affected the
consumers behaviour as well (Bisciari, P., 2019).
Further it can be said that this has given rise to change in the way business used to
function. Solution to such problem is the production of raw material in domestic country so that
the cost of final products can be controlled. For this various subsidies and tax deductions must be
given to the various production businesses which motivates individual to have their own
production house. Also, the food and consumer product shortage in the market has affected the
daily lives of the individuals. People have to compromise to their needs in order to carryon with
their lives as there is a steep shortage of the consumer products like food items groceries, daily
use items etc. it has raised the concerns over the country’s capability in terms of understand the
demand and supply forces of the economy, due to pandemic there is decrease in the production
of the goods which has resulted in to lack of coordination between supply and production.
Solution to this problem is also encouraging the domestic markets and production
industry by providing support in various forms which can increase the production of the goods in

the country hence he balances can be maintained in the economy (Hassan, T. A. and et.al., 2020).
To meet this issue immediately import of the goods from the neighbour countries which can feel
this shortage of production of the consumer good in the market. When an economy faces the
shortage of goods it is a bad indicator of the lifestyle of the people in the country. Therefore,
encouraging the domestic production and allowing the import of the consumer goods from the
friend country is a good solution to the issue.
Task 2
1) Aldi’s business model is very unique and it has the capability to have a successful
business model in the other industry as well. In the clothing industry as well, this model
can give a great customer experience. As clothing for many people includes a necessity
where clothes like trousers, lounge wears, night suits, kids wear, office wear, socks etc
can be offered under one roof only (Brandes, D. and Brandes, N., 2019). Aldi satisfies
customers in its own style which has more to do with satisfying the neds of the customers
by providing all possible products which makes to the list of the customer yet the
limitations or difference is only that there is limited brand for the same thigs will be
available. Which means limited option for a single product (DUGONI, L., 2022). In
clothing those can be incorporated under the section where customer buy clothes not for
the fashion but for the purpose of the utility. Utility clothing is new concept in market
which can be enhanced with such model which keeps all types of cloths yet limited
options under each type.
2) Major limitation or sacrifices customers have to make under such shopping experience is
the feel of being treated nicely which can derived from the availability of the numerous
options for a single product. As the traditional business model offers customers a wide
variety of the products where customers used to feel very well served and such huge
product offering used to bring the inclusivity of the brands as well. Further, the target
market in a super market is usually the female customers and for female group it is more
like shopping experience they are looking for which is very short lived in the Aldi’s
model (Chatterjee, S., 2022). Such business model is just providing the facility of
completing the home chores fast in short time yet customers are sacrificing their quality
time spent in the super market as they used to socialise with a lot of people in the super
market. Not being able to know the wide product offering available in the market is one

of the greatest things which are sacrificed by the customers in the modern times.
Therefore, this business model makes customer sacrifice in some ways their strong
shopping experience where they get to know the new product and ideas in the market.
Task 3
Costco’s Decision to Pay Fair Wages
Costco is a wholesale organization that is one of the biggest success in America as a
retailer. This organization had an impressive growth in the quarterly revenues in 2019 by 7.35%.
This resulted in an impressive form of trading of its shares in 2019. The success of this company
due to the customers service that is provided due to its satisfied employees. The reason why this
result was achieved by this organization was due to the paying of fair wages. In 2018 the wages
that the company paid to its employees were very low. The wages were as low as only $7 to $9
per hour for the employees (10 Great Examples of Ethical Decision Making In Business. 2022).
However, the company realized this that the increasing the wages would increase the
productivity of the organization. Since then the Costco raised its base wage from $13 to $14 and
higher with increased work rate. It was the key factor towards this company being able to attract
the best workers. It allows the company to avoid labour trouble, high turnover and conflicts due
to happier employees.
The ethical practices of the wages and working conditions is a very broad topic that
includes the consideration of the right and wrong that is in a wide range of questions of having to
do with the treatment of the workers. This has been considered to contain set of concerns that has
to do nothing with the constitutes of fair wages for paying and compensating more in general. It
also means that the management needs to determine the active involvement of the employees for
meeting some of the needs of the employees that are needed to manage the operations. It is also
considered to be the factor that is able to help the business gain the wages that can motivate the
workers for better performance. Providing the employees with the wages that they deserve as per
the market and their performance is very important aspect of development in this organization.
The minimum wage ethics focuses on the lowest hourly, daily or monthly remuneration which
the employees are able employed to pay to the workers. It also involves the purpose of the
legislation for ensuring the employers to bargain with the power employees for better
performance.

Task 4
Covered in ppt..
Individual reflection writing of the understanding about presentation:
The presentation made by me on the marketing function that is essential for any business
organization helped me to understand various aspects of promoting the business activities in
accordance with the mission and objectives of a firm. The marketing department as mentioned in
the presentation plays a vital role in identifying, coordinating and procuring all the available
resources to further utilize them in the future as an investment made. I included all the possible
aspects of marketing department to realize its importance in the overall business operations of a
firm and according to me it will have useful influence on the readers and attendees of the
presentation. The formation of this presentation affected me and my business reflexes in a
positive way because it highlighted the definition, importance and other aspects of the marketing
activities and what roles do they play in increasing the success rates of a business.
This can even help them to increase their way of living in this modern era by being loyal to
the firm’s business operations and also for the firm to return them by offering effective consumer
services at their doorstep (Burksiene. Dvorak. and Burbulyte-Tsiskarishvili. 2018). Further, it
was even understood by me that all the business activities of a firm are interrelated to each other
and need to coordinate their functionalities because the firm has to play many vital roles in order
to meet the requirements of the customers along with the internal and external sources that have
an impact on the competitive advantage of the organization.
Task 5
PORTFOLIO
TASK 1 In task 1 the different operational management related issues have been discussed
that has been faced on the high impact over the daily lives of individuals. This
research provided ways in which Brexit and Covid-19 vaccination affected the
businesses.
TASK 2 It included the discussion of the business model of Aldi and also discussed the
major limitation or sacrificed that the customers had to make under such
shopping experiences. It showed how customers sacrificed made in the business
model can help in better shopping experiences.
TASK 3 In this task the Costco’s Decision to Pay Fair Wages has been shown as the
ethical practice example and explained about its ethicality
TASK 4 This presentation discussed the business areas of contribution in the overall
business challenges that it faces in its daily lives.

CONCLUSION
The above report of business operation and management has analysed various issues in
the market which are faced by the customers and the business environment. The report further
highlighted various critical issues such as Brexit and shortage of the consumer goods in the
market. Also, question based on the Aldi’s business model has been answered to understand the
shopping experience. Various ethics and conducts which brings positive business practice shas
been highlighted. At last, the business area’s contribution in the overall business and challenges
faced in the daily lives have been illustrated.

REFERENCES
Books and Journals
Bisciari, P., 2019. A survey of the long-term impact of Brexit on the UK and the EU27
economies.
Brandes, D. and Brandes, N., 2019. Bare Essentials: The ALDI Story. Linde Verlag GmbH.
Burksiene, V., Dvorak, J. and Burbulyte-Tsiskarishvili, G., 2018. Sustainability and
sustainability marketing in competing for the title of European Capital of
Culture. Organizacija. 51(1). pp.66-78.
Chatterjee, S., 2022. Isolate and SEAL: two steps to designing an innovative and potent business
model. Strategy & Leadership.
DUGONI, L., 2022. Business model evolution of Discount: the case of Aldi and Eurospin in the
Italian market.
Hassan, T. A. and et.al., 2020. The global impact of Brexit uncertainty (No. w26609). National
Bureau of Economic Research.
Online
10 Great Examples of Ethical Decision Making In Business. 2022 [Online]. Available through: <
https://www.greatworklife.com/ethical-decision-making-in-business-examples/ >