External Environments PDF

External Environments The Business Environments Internal - Micro External - Operating - Macro  Macro Environment Includes the broad forces, conditions and trends in the economy/society within which the business operates. Businesses have no co...

External Environments The Business Environments Internal - Micro External - Operating - Macro  Macro Environment Includes the broad forces, conditions and trends in the economy/society within which the business operates. Businesses have no control over these factors Political policies, laws and regulations Societal attitudes, behavior, tastes and lifestyle choices Economic conditions (interest rates, inflation, unemployment, exchange rates, wage rates) Technological issues (changes in processes, tools, equipment) Pressures/issues that arise from the global market Corporate social responsibility issues  Operating Environment Made up of external stakeholders that have direct impact on business operations Business has little control over these issues Customers Competitors Suppliers Special Interest groups (lobby groups, unions, business associations)  Legal & Government Regulations In Australia each level of Government imposes its own direct/indirect regulations which businesses must abide by such as Taxation Industrial relations Occupational Health and Safety (OHS) Equal Opportunity and Anti-Discrimination laws Trading laws  Taxation Arrangements Businesses must meet all requirements and taxation requirements according to their legal structure Australian Business Number (ABN) Goods and Services Tax (GST) Tax file number (TFN) Pay As You Go (PAYG) income tax  Licenses and Permits Different types of licenses are considered based on the industry/business type. Licenses, permits, approvals, registrations, codes of practice, standards and guidelines can be found in the Australian Business License and Information Service (ABLIS) Setting up a business / premises / store Making alternations to a shopfront, or renovating the internal fit-out Putting up signs on a building or outdoor seating on a footpath  Laws Relating to a New Business Health regulations, food Zoning handling Trade practices and fair Trading hours trading Consumer protection Signage Building permits Weights and measures Licences Copyright and patents Business registration and ownership structure  Health Regulations & Standards Imposed under Food Act 1984 (Vic) and enforced by local government engaged in supplying food Temperature for food storage Kitchen layout Employee clothing Food handling Minimum level of cleanliness  Employment Laws & Regulations Conditions of employment (leave, breaks, hours etc) Unfair dismissal Dispute settling methods Protection of human rights Employer tax responsibilities Occupational health and safety requirements (Occupational Health and Safety Act 2004 Vic) Discrimination and equal opportunity (Equal opportunity Act 2010 Vic)  Trade Practices, Consumer Protection This includes legislation that promotes fair trade and competition and provides consumer protection. Prohibits anti competitive and unfair market practices Prohibits mergers and takeovers that have the potential to decrease competition in the market Provide for minimum product safety regulations Regulations regarding fair advertising Regulations that protect consumers from goods that are faulty, not for for purpose or do not match their description. Including warranties and repairs Regulations regarding product labelling and pricing Environmental Protection Legislation Federal, State and Local Governments jointly administer environmental protection laws. Protection of areas of environmental significance Air and water quality Noise emissions Preventing pollution and environmental damage to air, water and land Consider: China’s Airpocalypse