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BUSINESS ENVIORNMENT CASE STUDY OF CAMELOT

SUBMITTED BY: _____________________________

ROLL NO: _____________________________

BUSINESS ENVIORNMENT ASSIGNMENT 01

Table of Contents
A. B. I. INTRODUCTION............................................................................................................................... 3 CONTENT ........................................................................................................................................... 4 UNDERSTAND THE ORGANISATIONAL PURPOSE OF BUSINESSES ............................ 4 1.1 Identify the purpose of Camelot as an organisation ........................................................................ 4 1.2 Describe the extent to which Camelot meets the objectives of different stakeholders. Draw from the case study and further independent research. .................................................................................. 4 1.3 Explain the responsibilities of Camelot and strategies they employ to meet these requirements. .. 5 II. UNDERSTAND THE NATURE OF THE NATIONAL ENVIORNMENT IN BUSINESS OPERATE ............................................................................................................................................... 6 2.1 Explain how economic systems attempt to allocate resources effectively ...................................... 6 2.2. Assess the impact of fiscal and monetary policy as it relates to Camelot and their activities ....... 7 2.3. Evaluate the impact of competition policy and other regulatory mechanisms in UK on the activities of Camelot ............................................................................................................................. 7 III. UNDERSTAND THE BEHAVIOR OF ORGANISATIONS IN THEIR MARKET ENVIORNMENT .................................................................................................................................... 9 3.1. Explain in context of Camelot how market structures determine the pricing and output decisions. .............................................................................................................................................................. 9 3.2. Illustrate the way in which market forces shape organisational responses using a range of examples from the case study and independent research. ..................................................................... 9 3.3. Judge how the business and cultural environments shape the behaviour of Camelot .................. 10 IV. BE ABLE TO ASSESS THE SIGNIFICANCE OF THE GLOBAL FACTORS THAT SHAPE NATIONAL BUSINESS ACTIVITIES ................................................................................ 12 4.1. Discuss the significance of international trade to UK business organisation .............................. 12 4.2 Analyze the impact of global factors on UK business organisations using Camelot to support your analysis ....................................................................................................................................... 12 4.3 Evaluate the impact of policies of the European Union on Camelot ............................................ 13 C. CONCLUSION ................................................................................................................................. 15

D.REFERENCE ........................................................................................................................................ 16 1. Book sources:.................................................................................................................................... 16 Internet sources:.................................................................................................................................... 16

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A.INTRODUCTION
Business environment is the combination of both internal and external forces that will help to find out the new way to grow and prosper in other countries outside the national boundaries. It is also help to judge the working environment of the organisation in the said economic and social environment. Part one will cover the organisational purpose of business operations. Firstly, I will explain the vision, mission and objectives of the selected organisation. Then how the organization meets the objectives of different stake holders. Further detail of responsibilities and strategies are given that is employed by any organisation for gaining ultimate profit.

In the second part, the understanding the nature of national environment is given in which a certain organisation is operating. For this economic resources are analysed and assess the impact of fiscal and monetary policy on the business activities. Moreover, evaluation of competition policy and other regulatory mechanisms are conducted. In the third part understand the organisational behaviour in the market environment by the judgement of business and cultural environment. Additionally market forces are illustrated that shape the organisational responses. And finally the report is focused on how the global factors are significant in shaping the business activities.

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B. CONTENT
I. UNDERSTAND THE ORGANISATIONAL PURPOSE OF BUSINESSES 1.1 Identify the purpose of Camelot as an organisation The ultimate aim of any organisation is to serve the customers by meeting the objectives of different stake holders. Thus to satisfy the needs of the customers by fulfilling the responsibilities and strategies employed by the organisation. No doubt at the start of the organisation, it targeted the survival. Later on it grows and succeeds to meet the shared vision and mission. In any organisation, faith of the customers is the most valuable property. Camelot is serving the people in increasing the fund and money for the very good cause and enjoyment. They are trying to do their best in preceding the national lottery system as great as possible. 1.2 Describe the extent to which Camelot meets the objectives of different stakeholders. Draw from the case study and further independent research. For the organisation, customers, employees, suppliers, legal entities and government are the main stakeholders that put the great influence in getting the market share and enhance the profitability of the company. While there are three main broad categories of Camelot including internal stakeholders, connected stakeholders, and external stakeholders. Internal stakeholders contain employees and managers. Camelot must have to ensure the good working environment that is comfortable, clean and relaxing, so that they are able to fully concentrate on their work. This is very supportive for the career development of the employees in terms of possible promotional prospects. Job security is one of the most important aspects for the workers working in any organisation. In this regard, considerable salary and insurance is the preliminary surety for job. Internal stakeholders are just like a family, if organisation gives the feeling of home, they are dedicated and motivated for the continuous growth of the organisation. Connected stakeholders are wholly and solely concern with their own interest associated with the organisation. Retailers, bookmakers are the connected stakeholders of Camelot that hope to

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establish a healthy, long lasting, friendly and fruitful relationship with the company which also ensures the companys stability and growth. External stakeholders are the government and regulatory agencies for which it should have to obey the rules, protect the environment and support the governmental activities. The other external stakeholders are the customers, whose needs and demands must be fulfilled and satisfied at its extreme level. 1.3 Explain the responsibilities of Camelot and strategies they employ to meet these requirements. Every organisation also has these three types of responsibilities containing environmental, ethical and management responsibility. Environmental Responsibility: The company is committed not only with the staff members but also with the external stake holders and is concerning with environmental protection. All this lie under the heading of corporate responsibility code. Under this context company is dealing with legal regulations and legislations, issues related to ecological problems, green concerns issues and the most important are the aspects that are very much relevant and pertinent to business. Additionally, indirect pressure from the customers and external stake holders also put consequences for ecological problems. Ethical Responsibility: This is the responsibility in which companys operations must be in favour of employees, people and environment. It is normally expected by almost all types of organisations. Like one of the most examples are the pollution control programs. Camelot is involved in fulfilling the environmental quality standards in this regard. Management Responsibility: it is of the view that management is responsible for employees, customers, suppliers, competitors, hence every stake holder in the community. Like management is responsible for the hiring and firing of the employees. Giving them fringe benefits and also retrains their skills so as to increase the performance level. In terms of customers, management is responsible for providing the high quality product or services and ensure honestly and fair treatment with them.
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II. UNDERSTAND THE NATURE OF THE NATIONAL ENVIORNMENT IN BUSINESS OPERATE 2.1 Explain how economic systems attempt to allocate resources effectively For the allocation of the resources, company must have to do the right decisions based on the type of economy. One of the important aspects in terms of resources is the infiniteness so as every organisation and every person is free to use them easily. Thus for the optimal allocation of resources, companies or people have to find out a reasonable economic system. Planned Economy In this type of economy, government is taking the initiative and decision on what to produce and how much one have to produce. In the present situation there are only two countries that are following this type of economy one is Cuba and other is North Korea. In such type of economy, state plans are designed at three main levels: Macroeconomic level Microeconomic level Distribution of output

The only drawback of such economies is that no incentives are give=n to productivity and there are less chances of investment. Market Economy In such type of economies, companies have the independent right and government has only very little involvement. Thus companies produce what the market demands and as per the demand of the customers. Thus customer oriented and market oriented products are coming in to the market. In this regard resources are effectively utilized based on the demand factor. But in this economy extensive competition has to face due to the drawback of monopoly created by one favoured company. Government is normally interfere in regulating the price and quality control in terms of production as well as consumption processes. Similarly, subsidy and taxation, prohibition and provision all are under the control of government.
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2.2. Assess the impact of fiscal and monetary policy as it relates to Camelot and their activities Fiscal and monetary policy is always and almost decided by the government that put great impact on the operations of any organisation. There are the two major tools of macro economics. Fiscal policy is the policy in which government expenditures are used along with the collection of revenues in order to influence the economy. While monetary policy is used as authority to control the money supply in the country. Thus the ultimate aim is to control the inflation and price stabilization. It helps to promote employment, adequate balance in international payment, economic growth etc. Moreover, it influences the economy through alteration in interest rates, echange rate differences, money supply and bank lending control. When considering the fiscal policy, taxation and government expenses are used to standardize the economy. Thus it promotes the development of the companies. In case of Camelot, fiscal policy in a manner that if the employee earn more money and have wish for consumption along with the fact that demand is constantly increasing, the it will help to increase the income of the company. Because more and more people want to invest their money in any profitable option and it provides them the best available opportunity. Similarly in case of monetary policy, company can easily manage the business in the said rule and regulations. Thus, perform effective and efficient in the increased competitive environment. In conclusion, government can use both fiscal and monetary policy to circulate equal amount of money as well as balance out the economy. 2.3. Evaluate the impact of competition policy and other regulatory mechanisms in UK on the activities of Camelot Industry policy is based on the concept that government must support such policies and activities that will encourage the growth and success of the manufacturing sector of economy. In this context some of the common policies include structure of the industry policy, organizational policy, and industry technology policy. It can promote the development by limiting the operational activities. Camelot is concerned with the unequal tax regimes. In this regard, government has eradicated the tax on bingo and betting just to protect the huge gambling industry on which a major share of UK economy relies.

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Similarly, social policy is the study of social services as well as welfare activities in the state. In general terms it is based on establishing the relationship between the politics and the society. This will help to develop the healthy competition in the industry, but in most cases government is using this strategy in order to resolve the problems related to environment and mark as protection strategy. In this context, Camelot is supporting the government in reallocating the employees. Thus it will ease out the pressure of enterprise as well as employees. In the conclusion both policies help the organisation in the development and support the of enterprise plus for the welfare of the staff on the long term basis.

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III. UNDERSTAND THE BEHAVIOR OF ORGANISATIONS IN THEIR MARKET ENVIORNMENT 3.1. Explain in context of Camelot how market structures determine the pricing and output decisions. There are different kinds of markets performing its functions in different economies. And based on those markets, different kinds of output and pricing decisions are taken place. Usually pricing and output decisions are totally different and interdependent as well except for the case of perfectly competitive markets. In perfectly competitive market, a firm operating in it is so small as compared to the whole market that it cannot affect the prices. In this case, it takes the prices as it is mentioned and on that price selective quantity is supplied. Price in that market is equal to the marginal cost of the production. In monopolist market, things are very different. It can change the prices as it wants because it is the only one entity which sets the prices and provides the goods. So it acts as the market power for the provision of the goods so as charge their own choice prices. In this case if the prices increase, the quantity demand decreases. Thus monopolist must have to consider both positive and negative effects that may become the cause for the increase in prices. In oligopoly, pricing is a bit complicated as compare to other market structures, and it will totally set after the interactions between the firms at the strategic level. Same is the decision taken for the quantity demanded. 3.2. Illustrate the way in which market forces shape organisational responses using a range of examples from the case study and independent research. Market forces actually determine the demand and supply and their inter relationship. In the long term basis there are four major forces that set the trend and allow the traders and investors to capture profits. These major forces are government interactions, international transactions, supply and demand forces and speculation expectations. While organisational response is the reaction of the company in return of business or economic situations.
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Organisations response to market forces has the direct impact on the profits and repute of the organisation. But to determine the demand and supply in an appropriate form, companies have to conduct detailed research and analysis. Then it could finalize that where the supply will meet the demand of the customers or not. If the company is willing to judge the market demand, for this they have to make their customers happy, contented and satisfied so as to ensure the regular supply of their products or services. Thus relationship between the market forces and organisational response result in form of profitability, ultimate success and customer satisfaction. Thats why companies are constantly involve in determining the market forces and indulge their staff in market research just to match the customer demand. Like the case of Camelot, it is constantly struggling hard to have the competitive edge in the industry through the provision of ultimate best services to customers. It tries to deliver healthy returns to shareholders and all times involve in retaining the trust and support og general public. Moreover, company is fully supportive to increase the sales volume by maximizing the level of satisfaction of retailers as well as customers. 3.3. Judge how the business and cultural environments shape the behaviour of Camelot In order to judge the external environment of the organisation, the best way is to conduct PESTEL analysis; which stands for political, economic, socio-cultural, technological, environmental and legal constraints. Political: government is responsible for the provision of stable and healthy environment for doing the economic activities. It is also responsible for maintain and improving the social and infrastructure of the market. Economic: it affects the performance of the organisation at both local and international level. It is dealing with interest rates, inflation rates, exchange rates etc. As company is performing its activities in the strong economic country so it is easy to cater the services and operations of the company in the effective manner.

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Socio-cultural: it is based on the long term trends and beliefs that people follow while living in a particular region. It can bring changes in the Camelots demand in form of Pattern Location Recruitment policies

Technological: these are ways through which products can be made, sold and services can be provided to the targeted customers. These are the ways through which markets can be identified, firms can be managed and try to extend the means of communication and promotional services. Environmental: the existing and physical environment is very important to run the real time business. It is also necessary to find out the right form of resources to get the required results. Legal: these are laws and regulations that will support the company to run its operations.

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IV. 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 organisation International trade is known as buying and selling of goods or services across the border. In this modern and fast moving world, international trade is the back bone of any country and is very helpful in expanding the business to other premises or locations. It will support the fact to expand the business and get the profits rather to restrict the buying and selling only within the said borders. For an individual UK business organisation, numbers of reasons are possible that will make the internationally trade attractive and profitable: It is new market segment Domestic markets are so saturated that push the organization to go abroad and seek other markets outside the boundary Nature of product has a demand to trade it in the other overseas markets A lot of commercial buyers are located outside the boundary that creates a demand so as suppliers provide the products to cater their needs For the specialized goods and services domestic market is not fulfilling the requirement of economies of scale so it is better to move abroad 4.2 Analyze the impact of global factors on UK business organisations using Camelot to support your analysis Undoubtedly, service industry is heavily under the influence of global economic developments. In order to analyze the impact of global factors the approach remains the same that is PESTEL analysis. Political: for the development and implementation of the plan it is necessary that government should be stable and efficiently perform its role in the economic reforms and international relationship building. Though there a risk involved in this case but certain measure could be taken to minimize the risk:
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Collaborate with local partners Use of lease agreements rather to rely on outright purchase of facilities Must take insurance policy

Economic: some of the common economic facts that can affect the demand and supply forces are as follow: How the economic activities are taken place in the overseas market? How much is the economic growth in the newly industrialized countries? What is the rate of interest, exchange rate and rate of inflation in the other countries?

Social: In the UK, a large numbesed cost in r of aged people is in the population. Thus the firms have the pressure to commit the pension payments for such employees. Technological: in this modernised world, companies have to consider certain technological factors like: How to access to patents and copy right? Issue of intellectual property rights Transference of technology requirement Relative technology cost and its comparison with labor cost

Environmental: it is the utmost duty of the organisation to cater the legislative measures in terms of environment protection. Legal: In the recent years, UK has changed its policies in terms of legal constraints. It has widely affected the firms behaviour. Like the introduction of age discrimination and disability legislations have increased the level of minimum wage rate. 4.3 Evaluate the impact of policies of the European Union on Camelot EU comprises of 15 member states and has the two main sources for the formulation and implementation of law. One is the primary source that based on treaty provisions and other is the

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secondary source in which legislations and interpretations are made. In order to join the union, some of the economic and political conditions have to be fulfilled such that: Must be a stable country and respect the human rights, rule of law and protection of minorities. Economy is based on functioning market economy Must support the common rules services that are, standard and policies formulated by EU law. While some of the eliminations of trade restrictions include: Those products are approved in any of the EU country and as per the set regulations can easily and freely marketed in all EU countries Shipping charges for the member countries is given on the equal terms and conditions and same is deal with air fares For the protection of idea or creation, harmonized copy rights, patents or trademarks are registered.

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C.CONCLUSION
In conclusion, this report has successfully demonstrated the understanding of the organisational purposes and its main aim for formulation and working. Moreover, it clears the concept of working environment and nature of environment in which a firm is operating. In the first part, the main targeted area is to identify the main purpose of organisation and to identify the nature of the environment in which it is working. In the second part, it is explained that different types of organisations are working and have different responsibilities for stakeholders as well as strategy employed. All this is studied for the optimal allocation of resources. Moreover, influence of fiscal and monetary policy and competition policy is explained in perspective of selected organisation. Third part is based on the understanding of the behaviour of the organisation in the given market environment. And the last part includes assessment of the significance of the global factors that help to shape national business activities. Thus it is very effective report in giving the information about business environment and economic conditions. Moreover, it is useful in understanding the impact of policies while running the business in the UK environment.

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D.REFERENCE
1. Book sources: Shaikh, S 2010, Business Enviornment, 2nd Ed, India: Pearson Education

Internet sources: Advisory report on Camelot activities, [online]. Available from:

http://www.bitc.org.uk/our-resources/case-studies/advisory-case-study-strategydevelopment-camelot Camelot annual report, [online]. Available from: http://www.natlotcomm.gov.uk/assetsuploaded/documents/annual-report-20102011_1311934839.pdf Corporate Planning Report, [online]. Available from:

http://www.natlotcomm.gov.uk/assetsuploaded/documents/CorporatePlanvfinwithcover.pdf Organizational Response, [online]. Available from:

http://www.richardchangassociates.com/pdfs/CO1205_takingtheLead.pdf Purpose of organization, [online]. Available from:

http://www.angelfire.com/musicals/kalpana/Goal.htm Relationship between market forces and organizational response, [online]. Available from: http://www.blurtit.com/q609511.html

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