describe how political, legal and social factors are impacting upon the business activities of the selected organisations and their stake holders

Topics: Gender role, Religion, Ethics Pages: 2 (769 words) Published: November 9, 2014
Political Impacts
Political stability is usually defined as the state of peace that is normally experienced in a country from the activities from the government and also the government in this situation will make decisions and keeping best interests in mind for people. Government initiatives are when the government can support business through grants and tax reductions. The government have their own initiatives for companies like Asda and these are the health eating and fit for life. These are campaigns that Asda will try to support then try to receive more funding from the government for advertising etc. Also when the government chooses investment finance this then involves selling part of your business shares to an investor. The investor will then take a share of any profits or losses Asda make. The government may change the tax rates up or down in an effort to try an boost the economy. An example of this is VAT which means all non-food will need their labels changing which could potentially increase profitability. `The international monetary fund describes itself as ‘an organisation of 188 countries that works to foster global monetary cooperation. It also works to secure financial stability, facilitate international trade, promote high employment and sustainable economic growth, and reduce poverty around the world. Legal Impacts

The legal impacts are that Asda must follow the law. The legal frameworks is where the business chooses the way it operates. This will determine who has what role and share to the business. It will also determine relationships between investors and employees etc. Consumer protection is when a group of laws and organisations have to ensure that the rights of a consumer are put in place to hopefully prevent businesses that are engaging in fraudulent activities etc. An example of consumer protection is the Trade Description Act. This is where the product must be described accurately otherwise it can cause an issue. It is really...
Continue Reading

Please join StudyMode to read the full document

You May Also Find These Documents Helpful

  • Unit 1 P6 Describe How Political, Legal and Social Factors Are Impacting Upon the Business Activities of the Selected Organisations and...
  • P6 Describe How Political, Legal and Social Factors Are Impacting Upon the Business Activities Essay
  • Describe how political, legal and social factors are impacting upon the business activities of the selected organisations and their...
  • Describe the social implications of business ethics facing a selected business in its different areas of activity. (P3 and M2) Essay
  • Political, Legal and Social factors impacting two businesses Essay
  • D2 Evaluate how future changes in economic, political, legal and social factors, may impact on the strategy of a specified organisation Essay
  • Essay about Political & Legal
  • Describe the sources of internal and external finance for a selected business Essay

Become a StudyMode Member

Sign Up - It's Free