Business Environment Essay Example | Topics and Well Written Essays - 750 words

Business Environment - Essay Example Other political factors that currently influence business organisations in United Kingdom include government policies, efficiency drives, European Union policies and international policies (Ernst and Young, 2013). Local businesses in the UK are directly affected by European Union policies and legislations. For instance EU Liberalization Policy enacted in 1993 ensures that businesses in UK alongside other EU member states face competition in equal measures as tariffs are not levied to protect local producers in a scenario whereby similar goods are imported from within European Union (Foreign Affairs Select Committee, 2013). The presence of emerging economies such as China provides very competitive force for UK-based organisations (BIS, 2011). This is since the huge economies such as China and India have the capability of producing large quantities of products but at lower costs. Such scenario makes operations very difficult for UK-based competitors within the global market (Jones and Evans, 2013). There is a high level of migration to the UK, resulting to great extent of multiculturalism within organisations. Implementation of internet recruiting has enabled organisations to source expertise from different corners of the world leading to multicultural workforce. This benefits businesses in the UK since they bring into organisations fresh and varying perspectives capable of solving persistent business problems. However, there is a high probability of the existence of misunderstandings based on different cross-cultural beliefs. Such scenario, if not appropriately checked, can bring negative impact on business performances (House of Lords Select Committee on Economic Affairs, 2008). Technological advancements have made it easier for businesses in the UK to make instant contacts with the rest of the world. For instance, quick communication channels and improved transport links have made