"Stakeholders: owners; customers; suppliers; employees; debtors; creditors; financial institutions (banks, mortgagelenders, credit factors); environmental groups; government agencies (central government, local authorities); tradeunionsResponsibilities of organisations: stakeholder interests; conflict of expectations; power-influence matrix; satisfyingstakeholder objectives; legal responsibilities e.g. consumer legislation, employee legislation, equal opportunitiesand ant discriminatorylegislation, environmental legislation, health and safety legislation; ethical issues e.g.environment,fair trade, global warming, charter compliance e.g. Banking CodeLO2 Understand the nature of the national environment in which businesses operateEconomic systems: the allocation of scarce resources; effective use of resources; type of economic system e.g.command, free enterprise, mixed, transitionalThe UK economy: size (gross domestic product, gross national product); structure; population; labour force;growth; inflation; balance of payments; balance of trade; exchange rates; trading partners; public finances(revenues, expenditure); taxation; government borrowing; business behaviour e.g. investment, objectives, riskawareness; cost of capital; consumer behaviour; propensity to save; propensity to spend; tastes and preferencesGovernment policy: economic goals; fiscal policy: control of aggregate demand; central and local governmentspending; Public Sector Net Borrowing (PSNB) and Public Sector Net Cash Requirement (PSNCR); euroconvergence criteria, monetary policy; interest rates; quantitative easing; private finance initiative (PFI);competition policy (up-to-date legislation including Competition Act 1998, Enterprise Act 2002); CompetitionCommission, Office of Fair Trading; Directorate General for Competition); European Commission); sectorregulators e.g. Ofgem, Ofwat, Civil Aviation Authority; Companies Acts; regional policy; industrial policy; enterprisestrategy; training and skills policyLO3 Understand the behaviour of organisations in their market environmentMarket types: perfect competition, monopoly, monopolistic competition, oligopoly, duopoly; competitiveadvantage, strategies adopted by firms; regulation of competitionMarket forces and organisational responses: supply and demand, elasticity of demand; elasticity of supply;customer perceptions and actions, pricing decisions; cost and output decisions; economies of scale, the short run;the long run, multi-national and transnational corporations; joint ventures, outsourcing; core markets; labourmarket trends; employee skills, technology; innovation; research and development; core competencies; businessenvironment (political, economic, social, technical, legal, environmental); cultural environmentLO4 Be able to assess the significance of the global factors that shape national business activitiespg. 4 0916 Global factors: international trade and the UK economy; market opportunities; global growth; protectionism;World Trade Organisation (WTO); emergingmarkets (BRIC economies – Brazil, Russia, India, China); EUmembership; EUbusiness regulations and their incorporation in to UK law; EU policies e.g. agriculture (CAP),business, competition, growth, employment, education, economics and finance, employment, environment, scienceand technology, regional); labour movement; workforce skills; exchange rates; trading blocs (e.g. monetary unions,common markets; customs unions, free trade areas); labour costs; trade duties; levies; tariffs; customs dues;taxation regimes; international competitiveness; international business environment (political, economic, social,technical, legal, environmental); investment incentives; cost of capital; commodity prices; intellectual property;climate change e.g. Kyoto Protocol, Rio Earth Summit; third world poverty; the group of 20 (G-20); global financialstabilityRecommended ResourcesBARON, P. (2012) Business and its Environment. 7th Ed. London: Prentice Hall.PALMER, A. and HARTLEY, B. (2011) The Business Environment. 7th Ed. Maidenhead: McGraw-Hill.WEATHERLEY, P. (Editor) and OTTER, D. (Editor) (2014) The Business Environment: Themes and Issues in aGlobalised World. 3rd Ed. Oxford: Oxford University Press.WORTHINGTON, I. and BRITTON. C. (2014) The Business Environment. 7th Ed. Harlow Pearson.Assessment criteriaLO1.Understand the organisational purposes of businesses 1.1 Identify the purposes of different types of organisation 1.2 Describe the extent to which an organisation meets the objectives of different stakeholders 1.3 Explain the responsibilities of an organisation and strategies employed to meet them LO2. Understand the nature of the national environment in which businesses operate 2.1 Explain how economic systems attempt to allocate resources effectively 2.2 Assess the impact of fiscal and monetary policy on business organisations and their activities 2.3 Evaluate the impact of competition policy and other regulatory mechanisms on the activities of a selectedorganization LO3 Understand the behaviour of organisations in their market environment 3.1 Explain how market structures determine the pricing and output decisions of businesses pg. 5 0916 3.2 Illustrate the way in which market forces shape organisational responses using a range of examples 3.3 Judge how the business and cultural environments shape the behaviour of a selected organisation LO4 Be able to assess the significance of the global factors that shape national business activities 4.1 Discuss the significance of international trade to UK business organisations 4.2 Analyse the impact of global factors on UK business organisations 4.3 Evaluate the impact of policies of the European Union on UK business organisations.LinksThis unit links to the following related units:Unit 3: Organisations and BehaviourUnit 7: Business Strategy,1.4 Scheme of Work Week Session Lecture Outcome of session: Activity/seminar ResourcesSchedule The learner should be able to; and formativeassessment1 AM Legal structure; type e.g. private company, publicCategories of company, government, voluntary organisation, co- organisationoperative, charitable; sector(primary, secondarytertiary); Mission; vision; aims; objectives; goals; values;profits; marketshare; growth; return on capitalemployed (ROCE); sales; service level;customersatisfaction; corporate responsibility; ethical issuesPM Mission; vision; aims; objectives; goals; values;Organisation profits; market share; growth; return on capitalpurposes employed (ROCE); sales; service level; customersatisfaction; corporate responsibility; ethical issues2 AM Owners; customers; suppliers; employees; debtors;Stakeholders creditors;financial institutions (banks, mortgagelenders, credit factors); environmentalgroups;government agencies (central government, localauthorities); tradeunionspg. 6 0916 "