Unit 1 Assignment 2- effects of the environment on a business
The company link: https://www.bettysandtaylors.co.uk/our-approach/
Part 1: Things to cover:
(i) Bettys internal environment: (600-700 words) due tomorrow 12pm
• Corporate culture
• Corporate social responsibility (CSR):
• Business ethics
Refer to Powerpoint Uploaded
(ii) Bettys external environment:
• PESTLE Analysis
o Political
o Economic
o Social
o Technological
o Legal
o Environmental
• Explain what is meant by the external environment of Betty’s – Do a PESTLE analysis – make sure you cover all sections of the PESTLE and give Betty’s examples.
Refer to Powerpoint Uploaded
(iii) Bettys market structure and competitive environment:
• (competitive edge section – local national international etc)
Refer to Powerpoint Uploaded
(iv) Situational analysis of Bettys:
• SWOT Analysis
• Strengths
• Weaknesses
• Opportunities
• Threats
• Objectives
Refer to Powerpoint Uploaded
(v) How Bettys’ business environment impacts Bettys:
• Porters 5 Forces
• Power Of Suppliers
• Threat of new entrants
• Rivalry among existing competitors
• Threat of substitutes
• Power of customers
• What forces have the highest impact/threat on Betty’s?
• What forces have the lowest impact/threat on Betty’s?
Refer to Powerpoint Uploaded
(vi) Betty’s Supply and Demand
• The Supply Curve
• The Demand Curve
• Equilibrium Point
• Market Structures
(vii) What influences demand?
Refer to powerpoint Uploaded:
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Part 2: Structure of the essay and mark scheme:
Bettys business environment:
1. Start with an introduction to the assignment. – You will need to look at the environment in which Betty’s operates and gather enough information to be able to consider how Betty’s has responded to past changes, and evaluate how it may react to future changes.
2.
1/C.P4
Discuss the internal, external and competitive environment
1/C.M3
Assess the effects of the business environment on a given organisation. (do this throughout the essay)
Using the work, you have done in class write a report on how Betty’s have responded to the external environment:
• Explain what is meant by the external environment of Betty’s – Do a PESTLE analysis – make sure you cover all sections of the PESTLE and give Betty’s examples.
• Explain what is meant by Betty’s internal environment and include corporate culture, CSR & Ethics of Betty’s
• Explain what is meant by a competitive environment for betty’s – the factors that influence competitive advantage and the benefits of having competitive advantage.
• As you complete each bullet point you can assess the effects of this environment on Betty’s and this will cover M3
1/C.D2
Evaluate the extent to which the business environment affects a given organisation, using a variety of situational analysis techniques
• Complete a situational analysis on Betty’s. Include SWOT, 5C’s and Porters 5 Forces
• With the use of evidence and argument, explain how these situational analysis tools (SWOT, PESTLE, Porter’s 5 forces, and 5C’s marketing affect Betty’s.
3.
1/D.D3 Evaluate how changes in the market have impacted a business and how this business may react to future changes?
• The different market structures that Betty’s operates in, their impact on pricing and output decisions and how Betty’s responds to these. (refer to powerpoint on what is market structures)
• The influences on Betty’s demand, supply and price, including elasticity of demand.
• Evaluate how the changes in the market have impacted on Betty’s. You need to look at any changes they have made and what you think about them. You also need to look at how the business may make further changes in the future (if, for example the business environment changes again) and what you think about this too. You should use evidence here to support your work.
One example you could look at:
P6 – One influence of demand is the affordability of customers when buying Betty’s products
M4 – Betty’s may have responded by conducting market research to find out customer’s opinions on prices and changed their selling price accordingly.
D3 – The impact of this might be a slight decrease in profit from that product, but a long term gain in retaining customers. In the future, if affordability changes then Betty’s will have to do what?
