The Purpose of Performing a Business Environment for the Organization - Essay Example

Business Environment Name: Institution: Lecturer Date Task 1 Organization assessment I have been appointed as a trainee in my local district council. There are different organizations based in United Kingdom and therefore only few have been chosen for the purpose of assessing their legal structures, purpose and ownership of their organizations. The companies in London include Agricultural and general engineers, Meter sports international and Chelsea foods and many more. Agricultural and general engineers are the company considered in completing the assignment. The purpose of the organization is to ensure that the farmers get access to agricultural products and hence motivate them to practice modern farming and ensure the supply of agricultural products in the local district and the country at large. Another reason for the formation of the company was to facilitate the provision of farm tools and also providing engineering services to the farms. The mission of the company is to meet the needs of the state and nation through excellent provision of farm tools and also conducting research for the purpose of innovating more use of farms to enhance the lives of people in the nation. This will benefit the society and provides special services to the farmers. The key objectives of the company include; a company that provides service to the farmers who need help, analysis of problem solving so as to enable farmer to practice sustainability, to foster teamwork in research and development to meet the needs of the nation. The success of the company is a result of the influence from stakeholders and from the analysis it is clear that the government forms the biggest shareholder of the company and it has enabled its progress and achievement of their objectives. The government has been providing an enabling environment for the success of implementation programs carried out by agricultural and general engineering company. Through provision of incentives and helping the company by ensuring that they implement the decisions being made. The reason for the government being a stakeholder is contributed by the fact that the agricultural industry benefits the country by improving the economic status and contributing to the GDP. The responsibilities of the company are mainly focused on sensitizing the farmers of the country on the agricultural practices that will lead to a stable economic and sustainable environment. Therefore, the company provides all agricultural solutions to those practicing farming. The engineering sector is focused on research and development of tools and machinery to be used in making farm work easier. It is the responsibility of the company to ensure that there are no agricultural related problems in the country. Task 2 Business environment The purpose of performing a business environment for the organization is to enable the identification of various aspects that stimulate the operation of the business. In the UK, the government controls areas related to businesses for the purpose of providing an enabling environment for the growth and expansion of businesses in the country. Assessing the nature of national environment of the UK industries consist of determining the micro environment and the macro environment. The government control results to the proper allocation of resources. For the case of Agricultural and general engineering company, the government is responsible for the allocation of resources in terms of incentives. The micro environment involves factors such as customers, suppliers, competitors, the public and marketing intermediaries. The macro environment includes factors such as; political, economic, social, technological and environmental factors. From the analysis of the business environment of the UK, the result shows that there is effective allocation of resources which has contributed to a balanced environment in the business environment. When it comes to assessing the fiscal and monetary policies, you find that the government has regulated the economy through these policies. Fiscal policies have enabled the success of the businesses in UK as a result of controlling the tax rates. For the case of Agricultural and general engineering, the company has benefited from fiscal policies such that the government has provided enabling environment for the success of the company. Monetary policies, on the other hand, have allowed money circulation in a controlled manner such that the industries in the country have been under development and growth. The company has been able to survive under these policies and this has been contributed by the fact there is government involvement. The activities performed by the company are crystal clear that they are working towards attaining a competitive advantage and therefore the competition policy has impacted on their operations. From the analysis on the external environment, we find that competition policy dictates the price of goods and services in that the company has been at controlled prices in the market. Competition policy has enabled innovative ideas to be generated so that companies can be able to meet the demand and supply in the market. Competition also facilitates enough supply in the market and contributes towards efficient operations to facilitate a competitive environment. Competition influences hard work through team work and application of the managerial aspect to facilitate implementation of activities. Other policies, for example, the demand and supply policies are factors that influence the ability to achieve objectives of the company. Allocation of resources and the use of human resources also contribute a lot towards the stability of businesses in organizations and companies of UK. Task 3 Small business assessment Small businesses have been through the process of development whereby its main objectives include the ability to grow and expand so as to continue thriving in a competitive environment. In any market, there are factors that have influenced the market such that there are different market structures. For small businesses, the market structures contribute to the existence of many small businesses whose objectives are to ensure they choose the best market structure and thrive in a competitive environment. The market structures are existing impacts on the pricing policies especially for small business. Monopoly and perfect competition are the types of markets existing in the location of a small business. Some of the elements forming the market structures are the number and size of firm’s distribution, the conditions of entry into the market and the extent of differentiation. The market structures existing are the perfect competition which has influenced the innovation and generation of competitive ideas. The perfect competition impacts on the pricing mechanism because, in a perfect competitive market, the prices are same since goods are homogeneous and therefore the markets are the price makers. The market structure determines the pricing strategy of the business because the business will depend on the prices in the market before pricing their goods and services. The decisions made concerning the outputs are also determined by the market structure since a perfectly competitive market consist of homogeneous products which enables small businesses to make decision on the output so as to control the losses likely to be incurred as a result of more supply than the demand. The market forces and the organization response are influenced by external environmental forces which are the political, economic, social, technological and environmental factors. These forces influence the decisions made especially concerning the outputs. The response of small businesses towards ensuring customer satisfaction and the production and distribution of goods are highly influenced by the market forces. Another factor contributing towards the performances of small business are the cultural and business environment. Take, for example, the analysis of the micro and macro environment in the business whereby the elements of the business environment are responsible for the decisions made by the small businesses. It is important to consider the forces of external and internal environment since they determine the manner in which the market operates. When it comes to cultural factors, we find that businesses have been able to assess the cultural factors of the surrounding before they start their businesses. This is because the target market determines the supply of goods and service and the cultural factors highly influence the decisions of the business as well as the performance of the business. Task 4 International trade The impact of international trade and global factors have affected the UK economy in the sense that the regulations resulting from decisions made for the purpose of trade have an impact on the growth of industries both positively and negatively. International trade has some significance in to the UK government. Firstly it has allowed for the flow of innovative ideas whereby the country has benefited from the ideas gathered overseas as a result of international trade. There is also flow of information during trade and this has enabled the country to keep in phase with market competition. International trade has facilitated growth of industries because they aim at opening branches overseas and thus expanding the markets. Also, the government has benefited form foreign exchange as a result of trading globally; this has contributed towards the economic growth of the country. International trade also enables the country to adopt technological advances by ensuring that the industries are exposed to technology. The UK business organizations have, therefore, undergone transformation due to participation in international trade. Global factor has also impacted on business organizations of UK from the commence of international trade. Some factors, for example, technological advancement have necessitated the ways of production and distribution in the UK industries. Most organization have been forced to shift towards technologically advanced economy by ensuring they import machines and other advanced equipments. Factors like internet also contribute towards the performance of organizations because companies have embraced the use of internet to carry out their profit making activities. Market research has been carried out using internet and this is a result of global interaction in business. Innovation and market competition globally also fosters the development in the country and it influences more generation of unique ideas. The European Union has also set some policies that govern the trade between the UK and EU, therefore, these policies impact on the decisions made by UK government concerning trade. The policies made by the EU impacts on organizations of the UK because they dictate the conditions to be met by the businesses in order to thrive in a competitive environment. The purpose of developing policies for the UK is to ensure a good relationship between the businesses of the two parties since organizations in the UK benefit from them. The same case on the significance of international trade, these policies have contributed towards the development of businesses and the policies have facilitated smooth flow of trading activities which is an advantage to the country and also it has resulted to peace and unity among the trading partners.UK and EU have partnered in trading and therefore the policies formulated if for the purpose of the success of trading. Reference Read More