Impact of the Global Business Environment on British Petroleum

This report provides an analysis of British Petroleum's (BP) global business environment. It begins with an introduction to the global business environment and its importance for multinational corporations. The report then delves into BP's operations, including a SWOT analysis to understand its strengths, weaknesses, opportunities, and threats. It further examines the impact of government policies on BP's structure and operations, focusing on areas such as taxation, interest rates, and political stability. The report also explores how changes in the business environment, including political, social, technological, legal, and environmental factors, influence BP's activities and outcomes. The analysis highlights the importance of adapting to these dynamic changes to maintain a competitive edge. The report concludes by summarizing the key findings and emphasizing the need for continuous monitoring and adaptation to navigate the complexities of the global business landscape. The report is well-referenced with sources to support all findings and arguments.

Global business environment

Table of Contents
Introduction:.....................................................................................................................................1
LO1:.................................................................................................................................................1
Obtain and interpret information relevant to an analysis of the firm’s business environment.1
LO2:.................................................................................................................................................1
Assess the impact of government on the structure and operations of the organisation.........1
LO3:.................................................................................................................................................1
Demonstrate understanding of the impact of changes in the business environment on business
organisation ..........................................................................................................................1
Conclusion:......................................................................................................................................1
References........................................................................................................................................1

Introduction:
Global business environment refers to environment or work place in which the organisation
operates its operational activities to achieve the goals and objectives in the organisation. the
organisation operates its function in more than one country so they need to examine the work
environment before entering into the new work environment so that they able to earn the desire
level of profits. Under this report, the British petroleum ,which is multinational oil and gas
organisation and is one of the world’s seven super majors in the oil and gas in the international
level. Further there will be discussion on the SWOT analysis of the organisation and see the
impact of government on the structure of the company. (Fabuš, 2017)
LO1:
Obtain and interpret information relevant to an analysis of the firm’s business environment.
The organisation operates is activities at the dynamic work environment which keeps on
changing to the time, so the British petroleum analysis the business environment to understand
the work environment and make effective strategies to take competitive advantage in the market.
the SWOT analyse to examine the business environment.
Strength: these are the factors which define the business are good at its:
 British petroleum has various subsidiaries and retail brands in the target market such as BP
express, BP connect, BP travel and etc, Which helps the organisation to have diverse
revenue portfolio.
 The slogan” beyond petroleum have helps the organisation to get recognised in market.
Weakness: these are those areas which need improvement.
 The ongoing change in climate and reduction in use of fuel have create pressure on
company to provide clean energy options.
 The organisation has many oil disaster which damage its barnd name.
Opportunities:
 The organisation has ability to become the market leader in providing fuel and solar,
hydrogen.
 The company have opportunity to expand to new geographic market
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Threads:
 The company have to pay penalties if they does not follow the environment laws.
 The organisation also faces the competition from the alternative energy companies in the
global market.
LO2:
Assess the impact of government on the structure and operations of the organisation.
The government make various rules and regulation that affects the organisation business at the
global level . the British petroleum needs to be flexible to responds to these government policies.
Some of the government steps which affects the structure and function of the organisation are as
follow: (Hamilton. and Webster, 2018)
Policy as market catalyst:
Here the government can apply the taxes on the carbon fule and provide the subsidies for the
organisation how uses renewable energy.
Political stability and culture:
The government policy are made according the political stability or instability of the country
which can affects the organisation operational activities.
Government taxation and spending:
Increased in tax which lead to less investment which will affects the any entrepreneurs in the
international level.
Setting interest rates:
The government can increase the interest rates which can affects the cost of borrowing in the
business and lead to less consumer spending in the market.
The marketing and financial and human resource management and operational activities also
affects the function of the British petroleum:
Marketing: the organisation need to have effective marketing strategies which helps them to
place their goods in the target market.
Financial department: this department shows the how much cash the organisation is collected
from its operations activities and what amount the expense are incurred in the organisation.
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Operational activities: this function also affects the organisation business as it is way how
company perform its activities in daily bases which keeps on changing with time. (Lasserre,,
2017
Human resource: the organisation need effective and enough number of workforce which helps
in achieving the companies goals and objectives.
LO3:
Demonstrate understanding of the impact of changes in the business environment on business
organisation .
The organisation business gets affected by changing in the business environment such as
economic, social, legal and technological factors these business environment influence the
function of the British petroleum :
Political: these factors affects the business organisation and occur the risk in performing their
task if government change the political policies.
Social: this environment influence the activities of the organisation as target customer have
different believe system , assumption and taste and preferences.
Technology: it affects the business organisation as technology are changing with the time which
make the organisation to use the advance technology to take out the fuel in the market,
Legal : the organisation has to follow the legal law such as gases policy and regulation which
helps to execute their activities in better ways.
Environment: the British petroleum organisation has to follow the environment law like
using the more of renewable energy in the management level so that natural resources can be
saved for the next generation (Tallma, Luo,and Buckley, 2018.)
The change in the business environment will affects the operational activities of the organisation
to perform in the international level and there are various business environment which can
influence the outcomes of the company and affects its activities in the global market which
ultimate have impact on the profits and revenue of the organisation in the international market
places. These business environment needs to be examine from time to time to reduce any risk
and threads which are present in the market. (Tuleja, 2016. )
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Conclusion:
According to the above discussion, it can be concluded that global business environment is very
important aspect of the organisation which help them to expand their business by understanding
the their strength and weakness, and examining the opportunities present in the environment.
There are also marketing, human resource management which help the organisation to function
proper in the market. further there was discussion on the impact of government on the structure
and the activists of the organisation.
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References.
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requirements of auditors in today's complex global business environment.
Fabuš, M., 2017. Current development of business environment in Slovakia and Czech
Republic.
Groşanu, A., Boţa-Avram, C., Răchişan, P.R., Vesselinov, R. and Tiron-Tudor, A., 2015. The
influence of country-level governance on business environment and entrepreneurship: A
global perspective. Amfiteatru Economic Journal, 17(38), pp.60-75.
Hamilton, L. and Webster, P., 2018. The international business environment. Oxford University
Press.
Iivari, M.M., Ahokangas, P., Komi, M., Tihinen, M. and Valtanen, K., 2016. Toward
ecosystemic business models in the context of industrial internet. Journal of Business
Models, 4(2).
Lasserre, P., 2017. Global strategic management. Macmillan International Higher Education.
Levi-Jakšić, M., Jovanović, M. and Petković, J., 2015. Technology entrepreneurship in the
changing business environment–a triple helix performance model. Amfiteatru Economic
Journal, 17(38), pp.422-440.
Saleem, S., 2015. BUSINESS ENVIRONMENT, 3/e. Pearson Education India.
Tallman, S., Luo, Y. and Buckley, P.J., 2018. Business models in global competition. Global
Strategy Journal, 8(4), pp.517-535.
Tuleja, E.A., 2016. Intercultural Communication for Global Business: How leaders
communicate for success. Taylor & Francis.
(Fabuš, 2017)
(Hamilton. and Webster, 2018)
(Lasserre,, 2017)
(Tallma, Luo,and Buckley, 2018.)
(Tuleja, 2016. )
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