Unit 1 P6 Describe How Political, Legal and Social Factors Are Impacting Upon the Business Activities of the Selected Organisations and Their Stakeholders
P6: This report describes the influence of political, legal and social factors on the activities of Coca-Cola Enterprises Ltd and Croydon Health Services NHS. The report also identifies how the aforementioned factors may affect its stakeholders.
All businesses will be affected by factors in its environment. The following are the 3 main factors affecting businesses;
1. Social Factors
Social factors refer to the changes in the lifestyle, behavior, attitudes and tastes of different societies. Social factors may affect the two businesses in the following ways:
• Demographics - Coca- Cola Enterprises Ltd
Change in the size and age of the population will affect the plans of Coca-Cola Enterprises Ltd. The size of a …show more content…
It is important for businesses to understand their political environment. Poor political conditions could prevent businesses from running. The following are 2 political factors affecting Coca- Cola Enterprises Ltd and Croydon health Services NHS respectively:
Pressure groups are organised groups of people that campaign for or against the activities of a business or government. They have the right to protest, sign petitions and boycott an organisation in a democratic state.
On the 13th December 2005, a group of activists launched an organised campaign called “Stop Killer Coke”. The pressure groups boycotted the company and demanded Coca-Cola to leave the Indian village as the business was using natural resources and exploiting its workers. Coca- Cola was put under pressure and had to hold talks with the activists for negotiation.
The above example describes the impact pressure groups can have on a business. Therefore, Coca-Cola Enterprises Ltd should respect the environment of the business to avoid such instances. Pressure groups can also ruin the reputation of the business leading to loss of customers.
•Human rights legislation
Human rights play an important role in the operation of Croydon Health Services NHS. It requires the organisation to treat all patients and employees with equality and respect.
The organisation has had to create a