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Unit 1 Task 4 Essay

2277 words - 10 pages

Unit 1 & 38 – Task 4
To: Neeta Mistry
From: Zarafsha Hussain
Re: The Global Environment
Date: 11/01/16
Political Factors:
Enhancing skills of the working population
This political factor is used to increase the skills of the working population and also for young adults whom are preparing and adapting for the world of work. The government create the education plan. This includes vocational qualifications, a levels, apprenticeships, NVQ’s and training courses.
ASDA and the NHS
The government’s choices on education and training has a very big impact on the ways that ASDA and the NHS operate and the level of skills in their businesses. This is to ensure that employees are being ...view middle of the document...

ASDA have offered the chance to train toward National Vocational Qualifications (NVQ) in retail and Modern Apprenticeships. Stephan Gardner (Director of Skills and Workforce Development for the Learning and Skills Council) said:

Even though the government had to take money from their pockets to fund for these activities. They create twice as much more money for the economy. Therefore the impact is positive on the government and employees as stakeholders.
Government support for different types of organisations
ASDA and the NHS
The government helps organisations based on their type of business. Such as a business in the:
* Public sector (NHS)
* Private sector (ASDA)
* Voluntary
For a private sector business such as ASDA the government can provide various incentives such as grants and loans. The government encourages to produce competiveness with other businesses. The government believe that competition between businesses benefit them and has a great impact on the economy. Competition puts businesses under constant pressure to offer the best possible range of goods at the best possible prices. As if they did not, customers would have more of a choice on whether to buy somewhere else. Therefore increasing profits. Causing an expansion of the economy through injections of money. This factor impacts both the government and shareholders positively. As the government is equally a shareholder, they will receive more money than they invested into ASDA initially. A simple incentive such as an investment will not only benefit the government and shareholders. But also the owners and the employees. These key stakeholders are interested on weather ASDA will have an increase in profits. The business will create an increase in profits but it is these stakeholders that gain that extra money in their wages. More money, more spending and a happy economy.
For a public sector business such as NHS the government covers the losses that they make within the business. The shareholders are the tax payers with regards to the NHS. The government have the same role as in a private sector business. However, it is also the owner. The owner wants to ensure a break even when being a non-profitable organisation. However, with money to spare the government uses this to fund for the NHS for new research, equipment and education for an overall improvement to the NHS. The goal for the NHS is to simply be the best it can at proving free health care. Therefore it will have to continuously be updated. This goal is helped to achieve by government support. This impacts the tax payers and employees as there could be a cut in tax for them if the figures that the NHS make are running smoothly and an increase in wages for employees. Again, More money, more spending and a happy economy.
Legal Factors:
Protecting consumers and employees
ASDA and the NHS
Protecting consumers and employees is ‘contract law’. Contract law abides by a simple principle that you should only...

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