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Unit 1 - The Business Environment - Task 4 (P6, M3 and D2)

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Unit 1 - The Business Environment, Task 4 of 4 which consists of P6, M3 and D2 in which you need to describe and explain political, legal and social factors of two contrasting businesses and how them factors affect each business.

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Unit 1: The Business Environment


P6 – Describe how politccl, legcl cnd socicl fcctors cre impcctng upon the business
cctvites in TWO politccl environments cnd their stckeeholders for TWO businesses.s

Apple xfcm
Politccl: Politccl:
 Tax: Apple have to pay a higher tax as  Tax: Oxfam don’t need to pay tax as they’re
they’re a large business. Therefore, the a charity.
Government will receive more money.  Subsidies: Government can give money to
 Infaton Raates: If the infaton rates in a Oxfam in order for them to operate and
country such as the UK (which is 1%) reach their business aims and objectves.
increase and becomes high then the  Support from other businesses: Some
customer’s demand for Apple’s products businesses support Oxfam, therefore they’ll
will decrease, therefore Apple will lose give donatons to Oxfam, increasing their
profts. Although, Belgium’s infaton rate is reputaton.
diferent to the UK, meaning that diferent
events will occur in the two economies.
Legcl: Legcl:
 Consumer Protecton Act: Customers are  Data Protecton Act: Data Protecton can
protected under this law if there is a faulty help Oxfam prevent other hackers or
in Apple’s products. businesses from accessing their data. If
 Trademark and Copyright placements: hackers ended up taking Oxfam’s profts
Helps prevent other businesses from using then their customers would feel misused,
Apple’s products without permission. If any therefore Oxfam could lose their
copyright was intended, then it would reputaton.
become fraud.  Employment Law: Oxfam must not
 Data Protecton Act: The Data Protecton discriminate any applicant who is willing to
Act can help Apple as it prevents other work for Oxfam. If Oxfam do not
businesses from accessing Apple’s personal discriminate any shortlisted applicants then
details. For instance, hackers in the UK can they can employ more staf for their retail
expose informaton of Apple’s statstcs and stores, therefore Oxfam will never have
private informaton. lack of staf. Although, if the law was to
change in Belgium then Oxfam have to take
it on board. If they don’t follow the law
then Oxfam’s reputaton can decrease.
Socicl: Socicl:
 Increased life expectancy: Can help Apple  Increased life expectancy: Can help Oxfam
serve more diferent types of customers generate more customers as populaton in
such as the elderly or middle-aged in countries like the UK could increase and
countries such as the UK. People in the UK they serve any type of customer.
have had an “additonal 18 to 20 years羽1 of  Social Media Advertsing: If Oxfam
life expectancy from 2012 to 2014 advertse on Social Media then they can
 Migraton: If there is an increase in bring a lot of atenton to their customers
migraton in certain countries like the UK, and the general public in order to help
then the populaton will increase and Apple Oxfam raise funds to donate and help
can reach to a wide range of customers, people in poverty, therefore Oxfam could
meaning that Apple can operate increase their reputaton.
internatonally for all migrant countries,  Migraton: If there is an increase in
therefore Apple will increase their profts migraton rates then the populaton in the
and market share. UK will increase due to immigraton,
 Social Media Advertsing: If Apple use Social therefore Oxfam will generate more

1
Office for National Statistics. 2014. Life Expectancy at Birth and at Age 65 by Local Areas in England
and Wales: 2012 to 2014. [ONLINE] Available at:
https://www.ons.gov.uk/peoplepopulationandcommunity/birthsdeathsandmarriages/lifeexpectancies/
bulletins/lifeexpectancyatbirthandatage65bylocalareasinenglandandwales/2015-11-04#national-life-
expectancy-at-age-65. [Accessed 1 December 2016].

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