This report provides a comprehensive analysis of the business environment impacting Virgin Atlantic Airlines. It examines two key macroeconomic factors: inflation and unemployment, detailing their effects on the airline's outputs. The report further investigates the impact of the UK's current economic growth rate, referencing the economic life cycle, GDP, inflation, and unemployment. Additionally, it assesses how government intervention methods, such as fiscal and monetary policies, and the furlough scheme, influence the business. The report also identifies current global challenges faced by Virgin Atlantic and recommends strategies for overcoming them. The analysis covers various aspects including the impact of the Covid-19 pandemic and the airline's strategic responses to changing market dynamics. The report concludes with a summary of the key findings and recommendations.