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The factors that affect the working of business organizations

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  • "The factors that affect the working of business organizations in UK are numerous in number.These factors can be divided into two types, domestic and global. The global factors includethe trade relation and regulations across countries, the trade law..

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  • "The factors that affect the working of business organizations in UK are numerous in number.These factors can be divided into two types, domestic and global. The global factors includethe trade relation and regulations across countries, the trade laws that are governinginternational trade. As we know UK economy is that of a mixed type and is dependent on theother companies that are engaged in international trade. Any change in the structure and lawsin those companies and the country they are from affects the trade relation with them also.The ever-increasing role of cultural diversity in the organization is also a factor that affectsthe working of the organization in the global scenario. There are increasing multiculturalworkforce getting involved in the company. It supports diversity involvement but also leadsto conflict. (Kwan, 2013)There are also many other global factors like demand of product in other countries, export- import duties, interference of organizations concerned with international trade etc.There arealso companies that deal with seasonal products so the respective seasons in the countriesthey trade with affect their business. Immigrants are also a factor that affects the businessboth internally and externally. Immigrants also form part of the working group of theorganization as well as the market for the products. Technological advances across the globealso affect the company’s stand both in the parent country as well as on global platform.(Morgan, 2005)4.3 Evaluate the impact of policies of the European Union on UK businessorganisations.European Union is an amalgamation of 28 countries in which U.K was a member. The unionhas same legislations for its union countries. These countries have the facility that allows countries to trade freely among themselves. The policies that are part of this union affects thetrade in this union can affect in a negative and positive way. Various policies and concernsthat affect one country of the union directly or indirectly affect the other. Like BREXIT hascreated a huge impact on the EU as well as countries like UK that ae part of EU. EuropeanUnion involves 28 countries in the union along with UK. It is the union having legislationsthat is same for all the countries that are the part of this union. This facilitates these countriesto trade freely among themselves. The policies of this legislation have great impact on UKbusinesses either in negative or positive way. All the migrant workers that are part of UKworkforce have been affected by this BREXIT. The migrants are the worst affected by thismove. As with BREXIT, UK has withdrawn from the union. This will affect the countriesbusiness organizations that are currently functioning in the country.The EU had legislations for their member countries that they can trade freely among themwithout any restrictions or barriers. They were also able to procure raw materials from theirmember countries at low cost and sometimes at no cost. These provisions will be withdrawnnot because of the exit. There would also be restrictions now on growth as there is lesseropportunities. The tariff reductions that were available will now be withdrawn and themigrants will be worst affected.CONCLUSION:Through this assignment, we have been able to see that business environment affects theorganizations in many ways. We have also seen able to make out the differences betweendifferent forms of market structure and the way they determine the price and equilibriumoutput of them. There has also been information on UK business environment and the policyeffects on them. There are global factors that have been affecting the organizations and how. The recent BREXIT has affected the UK business market tremendously. As it has decided toleave out the union, there would be very brash consequences it has to face. "

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