Hnd Judge How the Business and Cultural Environments
HND Business
Birmingham Metropolitan College
Mathew Boulton Campus
Riddle of the day
A woman shoots her husband.
Then she holds him under water for over 5 minutes.
Finally, she hangs him.
But 5 minutes later they both go out together and enjoy a wonderful dinner together.
How can this be?
3.3 judge how the business and cultural environments shape the behaviour of a selected organisation
This builds to answer;
Judge how Lloyds TSB has been behaviour has been affected by political, economic, social, technical, legal, and environmental pressures.
Industrial concentration
Over the last 100 years the size of firms has generally been increasing.
50 years ago in the UK most shops were privately owned and supplied the local area, however over time larger shops have become more and more important. Tesco for instance is a huge employer in the UK and now serves millions of customers with an estimated one in every seven pounds spent on retail being spent in Tesco, it has now extended well beyond the UK and is operating in many different companies.
In 2002 Walmart was the biggest earning firm in the world, with an annual revenue of $219 billion. This was a higher figure than the GDP of many countries.
As a general rule different industries are dominated by a smaller number or larger firms. This trend is referred to as industrial concentration.
How has industrial concentration been achieved?
It has happened in a number of different ways, primarily many of the firms have naturally gained in size, e.g. opened more and more stores, or built bigger and bigger factories.
However it has also been achieved through mergers, where firms combine themselves together
And
By takeover where one firm will buy out another firm
Why grow in size?
One of the major reasons or advantages of growing in size is to achieve economies of scale.
Merger as a method of growth
Mergers offer firms a great advantage because over night they can grow substantially, they can become more secure, gain
Birmingham Metropolitan College
Mathew Boulton Campus
Riddle of the day
A woman shoots her husband.
Then she holds him under water for over 5 minutes.
Finally, she hangs him.
But 5 minutes later they both go out together and enjoy a wonderful dinner together.
How can this be?
3.3 judge how the business and cultural environments shape the behaviour of a selected organisation
This builds to answer;
Judge how Lloyds TSB has been behaviour has been affected by political, economic, social, technical, legal, and environmental pressures.
Industrial concentration
Over the last 100 years the size of firms has generally been increasing.
50 years ago in the UK most shops were privately owned and supplied the local area, however over time larger shops have become more and more important. Tesco for instance is a huge employer in the UK and now serves millions of customers with an estimated one in every seven pounds spent on retail being spent in Tesco, it has now extended well beyond the UK and is operating in many different companies.
In 2002 Walmart was the biggest earning firm in the world, with an annual revenue of $219 billion. This was a higher figure than the GDP of many countries.
As a general rule different industries are dominated by a smaller number or larger firms. This trend is referred to as industrial concentration.
How has industrial concentration been achieved?
It has happened in a number of different ways, primarily many of the firms have naturally gained in size, e.g. opened more and more stores, or built bigger and bigger factories.
However it has also been achieved through mergers, where firms combine themselves together
And
By takeover where one firm will buy out another firm
Why grow in size?
One of the major reasons or advantages of growing in size is to achieve economies of scale.
Merger as a method of growth
Mergers offer firms a great advantage because over night they can grow substantially, they can become more secure, gain