Assignment Title: Global Factors impacting on UK business organizations
Assignment: Two
Class: Business Environment (Unit Y/601/0546)
Name: Lee Kam Tjen, Theresa
(4.1) Discuss the significance of international trade to Marks & Spencer The buying and selling of goods and services across national borders is known as international trade.( http://www.moneyinstructor.com/doc/internationaltrade.asp) International trade is the core of the business world. By having business with other countries, a nation can expand its market and make more profit, rather than being limited in only selling within its own border. Marks and Spencer, does benefit from expanding its business internationally. As M&S has more almost 800 stores throughout …show more content…
The global factors that influence its business behaviors are: legal, political, social, technological and economic. Besides global factors, the competition within the industry is also crucial for Marks & Spencer. PEST is always used to analyze the business environment. Political factors: Stability of a country and changes of the government policies greatly affect the operation of business. For example, Marks and Spencer has to be abided by regulations and laws set by the government. And also, if the political environment of a country is not steady enough, the economy, spending power of consumers are also affected. Then, Marks and Spencer will not consider to expand its business in the unstable political …show more content…
It can provide more opportunities for Marks and Spencer to make profits. Consumers in a good living standard imply an increase in demand for goods and easy for the company to make profit. For example, HK has a good economic environment that its inflation rate is steady, low interest and steady exchange rate also are the good factors that Marks & Spencer would like to see when it sets up the business in HK. Social Factors: Age, Gender and other demographic patterns totally affect M&S business activities in the other countries. For example, a country with more silver-aged people in a good buying power, M&S will then introduce more good quality fashion that is suitable for elderly. The behavior and expectation of consumers are taking into account for M&S. In addition, language, lifestyle patterns and customs of a society in a country are all the things need to be considered by M&S for the business activities as well. Technological factors: technology nowadays plays a very important role in international trade. Without advance technology, business cannot be done easily. The modern production techniques, advanced logistic systems and rapid industrialization, the international trades are growing
Assignment: Two
Class: Business Environment (Unit Y/601/0546)
Name: Lee Kam Tjen, Theresa
(4.1) Discuss the significance of international trade to Marks & Spencer The buying and selling of goods and services across national borders is known as international trade.( http://www.moneyinstructor.com/doc/internationaltrade.asp) International trade is the core of the business world. By having business with other countries, a nation can expand its market and make more profit, rather than being limited in only selling within its own border. Marks and Spencer, does benefit from expanding its business internationally. As M&S has more almost 800 stores throughout …show more content…
The global factors that influence its business behaviors are: legal, political, social, technological and economic. Besides global factors, the competition within the industry is also crucial for Marks & Spencer. PEST is always used to analyze the business environment. Political factors: Stability of a country and changes of the government policies greatly affect the operation of business. For example, Marks and Spencer has to be abided by regulations and laws set by the government. And also, if the political environment of a country is not steady enough, the economy, spending power of consumers are also affected. Then, Marks and Spencer will not consider to expand its business in the unstable political …show more content…
It can provide more opportunities for Marks and Spencer to make profits. Consumers in a good living standard imply an increase in demand for goods and easy for the company to make profit. For example, HK has a good economic environment that its inflation rate is steady, low interest and steady exchange rate also are the good factors that Marks & Spencer would like to see when it sets up the business in HK. Social Factors: Age, Gender and other demographic patterns totally affect M&S business activities in the other countries. For example, a country with more silver-aged people in a good buying power, M&S will then introduce more good quality fashion that is suitable for elderly. The behavior and expectation of consumers are taking into account for M&S. In addition, language, lifestyle patterns and customs of a society in a country are all the things need to be considered by M&S for the business activities as well. Technological factors: technology nowadays plays a very important role in international trade. Without advance technology, business cannot be done easily. The modern production techniques, advanced logistic systems and rapid industrialization, the international trades are growing