Question and Answers on Case Study

PESTELC

SEE

DICES

SWOT

WIN-WIN

TBL (People, Planet, Profit)

BSG (Business, Social, Govt) all of them are interrelated

Economy

Labour

Physical resources

Market control

Q1:

Characteristics of a modern business (relate to case study given in the exam)

Size of the business:

Bulk production and marketing have become the integral part of the businesses, this has been made possible by producing more goods with the existing infrastructure, this can only be possible when new technologies are adopted and the old traditional manual work is replaced.

Diversified:

A broader approach to look into the other prospects of the businesses an example of that is Phillips which has shifted its attentions from electrical appliances to the LED bulbs and tube lights

Changing in fashion:

Aligning itself with the new trends

Globalisation:

Modern businesses have become a global entity, thanks to the globalisation in early 90’s import and export is the common feature of modern business, every country has its own interest in other country. This has allowed businesses to start business anywhere in the world

R & D

Communication and information:

Competition:

SB-DD-CF-G-RD-C

Q2: What are the critical issues influencing the business?

Uncertainty:

Global crisis, recession, and political unrest affect business strategic decision and businesses do not plan for a longer period of time

Government regulations:

A changing regulatory environment is also a challenge to some businesses, such as a demand from stakeholders can become green or environment friendly some of the challenges a business can face are • Macroeconomic influences are broad economic factors that either directly or indirectly affect the entire economy and all of its participants. These factors include such things as:

• Interest rates

• Taxes

• Inflation

• Currency exchange rates

• Consumer discretionary income

• Savings rates

• Consumer confidence levels

• Unemployment rate

• Recession...