Describe How External Factors Are Impacting on 2 Organisations and Their Stakeholders. Essay Example
Describe how external factors are impacting on 2 organisations and their stakeholders.
1st organisation: Tesco FACTORS (add description) | Impact on business activities | Impact on Stakeholders | Political 1:Membership of international trading communities’ e.g. European Union.The economic association of over two dozen European countries which seek to create a unified, barrier-free market for products and services throughout the continent,
| This would affect Tesco on their business activities as Tesco have stores in other EU countries. But there is also free movement of goods, capital and labour, this impacts Tesco as their stores are within the EU this would then mean it’s easier to trade and import products to those stores as they wouldn’t have to pay. | This would have an impact on the stakeholders as they would have to talk with each other to discuss on which countries they would like to operate in, which therefore means they would need to have more stakeholders.The free movement of goods and labour would impact the employees as they wouldn’t have to gain a visa to work within the stores for Tesco as they are part of the EU but this could mean less job security, but another reason of free movement within the EU would be the customers would have improved and better choices of products. | Political 2: Political stabilityThe financial system of a nation that displays only minor fluctuations in output growth and exhibits a consistently low inflation rate. also a government staying in power for a duration
| This would also affect Tesco because if other competition weren’t making the money, then the customers would come over to Tesco so they would get more customers and more profit. In terms of political stability; Tesco can plan around policies for example reduces corporation tax. | Again this would have an impact on the stakeholders but in China Tesco as in China they are improving their growth as they are a large country. Reduced tax
1st organisation: Tesco FACTORS (add description) | Impact on business activities | Impact on Stakeholders | Political 1:Membership of international trading communities’ e.g. European Union.The economic association of over two dozen European countries which seek to create a unified, barrier-free market for products and services throughout the continent,
| This would affect Tesco on their business activities as Tesco have stores in other EU countries. But there is also free movement of goods, capital and labour, this impacts Tesco as their stores are within the EU this would then mean it’s easier to trade and import products to those stores as they wouldn’t have to pay. | This would have an impact on the stakeholders as they would have to talk with each other to discuss on which countries they would like to operate in, which therefore means they would need to have more stakeholders.The free movement of goods and labour would impact the employees as they wouldn’t have to gain a visa to work within the stores for Tesco as they are part of the EU but this could mean less job security, but another reason of free movement within the EU would be the customers would have improved and better choices of products. | Political 2: Political stabilityThe financial system of a nation that displays only minor fluctuations in output growth and exhibits a consistently low inflation rate. also a government staying in power for a duration
| This would also affect Tesco because if other competition weren’t making the money, then the customers would come over to Tesco so they would get more customers and more profit. In terms of political stability; Tesco can plan around policies for example reduces corporation tax. | Again this would have an impact on the stakeholders but in China Tesco as in China they are improving their growth as they are a large country. Reduced tax