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1、Assignment one Of BUSINESS ENVIRONMENTByJet and AmorBUSINESS ENVIRONMENTNanjing UniversityofScience and TechnologyTable of contentsI Introduction 1II Task one 2 1. Introduction 32.1.Explain why countries need an system and give examples. 42.2.How do these economic systems attempt to allocate resourc

2、es effectively? 53.How does national fiscal and monetary policy affect business organizations and their activites? 84. Evaluate the impact of competition policy and how other regulatory policies can have an impact on business organizations. 95. Discuss the significance of international trade to UK b

3、usiness organizations. 11 III Task two121. Introduction 12 2. What type of organization is Carphone Warehouse Plc., and what is its purpose? Identify the key objectives and mission of Carphone Warehouse plc. Other types of business organizations have what purpose and why? 12 3.Identify three areas o

4、f responsibilities and the strategies Carphone Warehouse Plc uses to satisfy stakeholder needs. 13 4. Analyse the impact several global factors could have on decisions taken by Carphone Warehouse Plc., and other UK business organizations. 15 5. Evaluate how EU policies impact UK business organizatio

5、ns. 16 IV Bibliography 17 V AppendixAppendix A 18Appendix B 19IntroductionIn order to identify the objectives of organizations and the influence of stakeholders.In order to achieve this cheapter of Resource Issues And Economic Systems , we should do some environmental management effectively. As we k

6、now that in the process of developing economy,objectives,organizations responsibilities ,economic , social , global environment , behaviour of organizations ,the market environment , international trade and the European dimension have been most important constituent parts of BUSINESS ENVIRONMENT. If

7、 we do not timely management and protection, the results will be serious.In this project, we divided the environment management into many questions.To finish this questions , we have researched and analyzed the each situation, causes and measures. ITask one1.IntroductionThe crux of the economic prob

8、lem is unlimited wants versus limited resources. All societies are faced with the problem of scarcity but they differ in the way that they tackle it. Different economic systems has their own allocation of resources. This questions also let us know more about the importance of international trade and

9、 the EU in world trade. 2.1.Explain why countries need an system and give some with examples. 2.2. How do these economic systems attempt to allocate resources effectively? (Outcome2.1)2.1. About why the country needs an economy, I think to maintain the national production activities and social life

10、is normal, one for the countrys national conditions, history and culture, the economy of natural resources is a must. Economies are sometimes formed naturally, but the distinction between good or bad economy is to see whether the most effective allocation of resources to promote the development of p

11、roductive forces. Of course, the economic system is double-edged sword, both advantages and disadvantages, opportunities and challenges. How to choose natural is critical to weigh the pros and cons! The scarcity of resources versus peoples unlimited wants. This is the crux of the economic problems.

12、Different countries have their own economic problems and different economic problems lead to different economic systems.Different degree of government control of the economy is the important factor when all societies are faced with economic problems. To maintain national productive activities and so

13、cial life normally. A economic system which fits the countrys national conditions, history, culture and natural resources is necessary. However, the most important economic systems advantage is allocate resources effectively.For example, Financial crisis, in the type of free market economy most deci

14、sions are taken through the operation of the market mechanism. There is very little government intervention in The Wall Street bank and keep the bank developing.Finally, it caused the financial storm and touched off a global financial crisis.2.2.The United Arab Emirates is a type of free market econ

15、omy country. It exported its rich oil resources and became one of the richest countries in the world. The United Arab Emirates developed its economy of mainly oil production and petrochemical industry. North Korea is in the type of planned(command) economy. This is especially true in North Korea,whe

16、re abundant mineral resources are mined ,during Japans as brutal colonization of the Korean peninsula. Many things can be development , so the country built many hydro-electric station. Then, the country put the energy resources and mineral resources into developing its industry. Therefore, the Nort

17、h of peninsula owned high degree of industrialization and made itself better off. For another example, the composition of the post-war capitalist world economy of the Bretton Woods system and the international trading system, the establishment of the Bretton Woods system was the establishment of thi

18、s flag in U.S. dollars as the leading international monetary and financial system. First, I explain that under the Bretton Woods system, the Bretton Woods monetary system refers to the post-war dollar-centered international monetary system. In addition, the international monetary system is the rule

19、established by the national currency exchange, balance of payments adjustment, and the composition of the international reserve assets and other issues and make joint arrangements, the sum of the measures taken and the appropriate form of organization. Effective and stable international monetary sys

20、tem is an extremely important part of the international economy. Due to historical reasons in the world economic crisis in the 1930s and after World War II, the countrys economic and political strength of the major changes in the United States boarded the chief position of the capitalist world, the

21、dollars international status because of the enormous strength of the international gold reserves and unprecedented strong . Which makes one in the U.S. dollar as the pillar of U.S. foreign economic expansion of the international monetary system become possible. Then, as conducted by the Bretton Wood

22、s Conference, the Bretton Woods system is then established. Of course, after the establishment of the world economy had a tremendous impact, first of the Bretton Woods system based on gold as the U.S. dollar as the main international reserve currency. Dollars directly linked to gold and national cur

23、rencies are pegged to the dollar, and according to the official price of $ 35 an ounce of gold convertibility of the United States. And the Bretton Woods system, the dollar can be exchanged for gold and national implementation of the adjustable peg exchange rate system, is to constitute the two pill

24、ars of the monetary system, the IMF is to maintain the normal operation of the center of the body in this system , it has the oversight of the international exchange rate, international credit, three major functions of coordination of international monetary relations. The economy is double-edged swo

25、rd, so the natural advantages and disadvantages. The same is true of the Bretton Woods system, the one hand, from a macro point of view, the Bretton Woods system established to promote the restoration and development of the post-war capitalist world economy, to expand the economic exchanges between

26、the countries. Especially in part-time in the 1950s and 1960s, the Bretton Woods system is running well, the post-war stability of international financial and development of world economy does play a huge role. So, in a specific period of time the Bretton Woods system plays an active and important r

27、ole.Specific to the micro is: 1. Promote international trade and world economic development. Although the system will help to expand the output of goods and capital, is conducive to the external expansion of the U.S. economy; a fixed exchange rate, import and export cost and profit accounting, inter

28、national capital flows. The growth of international trade is much faster than before the war. 1913 to 1918, average annual growth rate of world export trade volume of 0.7% in 1948 to 6.8% in 1960 to 7.9% in 1960 to 1965, and 11% in 1965 to 1970.2. To ensure the relative stability of international mo

29、netary relations. Although the IMFs members have different interests, there are many differences and contradictions, but the Agreement, after all, get the normal operation of the post-war capitalist world monetary system, so that the flow of the capitalist world of goods, labor and capital to be nor

30、mal . Avoid a situation of severe economic deterioration and collapse of the monetary system.3. Ease the balance of payments crisis. Deficit countries, the IMF and World Bank to provide credit support, to help Member States to resolve international balance of payments difficulties, to overcome the i

31、mbalance of international payments difficulties, to promote the stability of the currency.4. Contribute to the internationalization of production and capital due to exchange rate relatively stable, to avoid exchange rate risk caused by international capital flows, which is conducive to international

32、 capital input and output. Also for the international financing to create a good environment, contribute to the development of the financial sector and international financial markets and also to create good conditions for multinational companies internationalization of production.5. Promote the eco

33、nomic development of each country. Under the gold standard countries to focus on the external balance, and thus the domestic economy is often associated with a tightening bias. The Bretton Woods system, the general emphasis on the internal balance and relatively stable domestic economic crisis and u

34、nemployment situation eased somewhat compared to the pre-war.On the other hand, the Bretton Woods system has inherent flaws. First, the United States can make use of the international monetary system to obtain the special interests This first performance available for the U.S. Mint sharp. Seigniorag

35、e refers to a coin or paper money a nominal value greater than bullion casting cost or the money to the cost of printing currency benefits. Second, it enhances the status of an international financial center in the United States. Third, it makes a certain degree of manipulation of monetary policy in

36、 other countries.Second, the supply of international liquidity and the dollar reputation both can not have both, the so-called Triffin dilemma American economist Triffin in the research and the Bretton Woods system of run-time, found a problem: a necessary condition for the monetary system run is to

37、 have confidence in the dollar and the United States needs to maintain the balance of international payments in order to ensure the dollars credibility; On the one hand, the monetary system is running another necessary condition is to ensure the supply of international liquidity, this end dollar nee

38、ds to massive outflow, which in turn means that the U.S. must continue to exist huge balance of payments deficit, and lead to loss of confidence in the dollar .Third, the international monetary system, balance of payments adjustment mechanism over-reliance on domestic policy instruments to limit the

39、 use of exchange rate policy and other means In principle, the Bretton Woods system belongs to the adjustable peg exchange rate system, governments have a statutory appreciation or statutory depreciation room. But in the course of its operation, the IMF is actually very little to allow Member States

40、 to use the exchange rate policy to adjust the balance of payments.Fourth, at a particular time, it will trigger a special large-scale wave of currency speculation.Benefits and risks of asymmetry in such a monetary system, foreign exchange speculation. The IMF only allow countries to implement a pol

41、icy of currency devaluation in the international balance of payments deficit is very serious, the direction of exchange rate movement is unidirectional, so the foreign exchange speculation, little foreign exchange risk. Also, because the extent of the devaluation is often under the fixed exchange ra

42、te system, foreign exchange speculation, if successful will receive additional high income. In summary, I consider that to maintain national productive activities and social life is normal, one for the countrys national conditions, history and culture, the economy of natural resources is a must. Eco

43、nomies are sometimes formed naturally, but the distinction between good or bad economy is to see whether the most effective allocation of resources to promote the development of productive forces. Bretton Woods system in a specific historical period from the countrys economy to a huge role in promot

44、ing, but its difficult to reconcile within the defect along with the problems of world economic development was eventually eliminated by history, in general, the Bretton Woods system more good than harm in a particular historical circumstances, is to play effectively promote the rational allocation

45、of resources and promote the development of productive forces, promote and comply with the historical trend. Natural and appropriate to national conditions and international form of economic system is very necessary!3.How does national fiscal and monetary policy affect business organizations and the

46、ir activites? (Outcome2.2)Fiscal policy:It according to the political, economic, and social development task in the certain period is a guiding principlethe to provision financial work , adjusting the total demand through the fiscal spending and tax policies . If it increased government spending, th

47、e total demand should be stimulated. Thus the national income will increase. Otherwise, if the aggregate demand was controlled , the national income will reduce.Monetary policy: The measures adopted by the government or the central bank to affect business activities. Especially to control the money

48、supply and interest rate.In order to achieve or maintain the goal of policy, such as curbing inflation, realizing full employment and growing economic . Operating and seting minimum reserve bank via the open market directly or indirectly.4.Evaluate the impact of competition policy and how other regu

49、latory policies can have an impact on business organizations. (Outcome2.3)This priority applies to the position is determined by the Community of the market economy system and the basic principles of the Community market, equality, freedom, and the Common Market.Comprehensive revision of the EC Trea

50、ty, according to the Amsterdam Treaty signed after the two Community task is through the establishment of the Common Market and Economic and Monetary Union, as well as through the implementation of a series of common policies and measures to promote the coordination and balance of the common body of

51、 economic life to achieve sustained, stable and conducive to the growth of the environment, enhance economic efficiency and employment rates, the development of social security, improve the quality of life, promote economic and social integration among the member countries.For the realization of the

52、se tasks, the treaty three EC activities of 21 tasks and measures, including the abolition of tariffs, quota restrictions between Member States and other trade barriers, the development of a common trade policy, agricultural policy and transport policy, the establishment of the protection of the Com

53、munity market competition is not distorted system, coordination of employment policy, a unified social policy, the implementation of environmental protection policies, to strengthen the competitiveness of Community industry and to promote research and technology development.The above tasks or measur

54、es can be seen that the ECs competition policy is just a measure of the Community, a series of goals.In addition to this policy, the Community, there are other aspects of policy, in order to produce the EC competition policy and other policies of relations, especially relations with the ECs industri

55、al policy.Competition policy and industrial policy has very close ties.Competition policy is to maintain a competitive market structure to prohibit enterprises to enter into agreements restricting competition control of mergers, abuse of market dominance does not allow monopoly or market share domin

56、ance of the enterprise.Industrial policy is the policy implemented by the countries on specific industries, the aim is to strengthen the competitiveness of the industry.However, any industrial policy will lead to changes in the existing market structure, market competition.In particular, the EC Trea

57、ty on competition policy and industrial policy at the same time make provision for three, so that the two inevitably conflict.Developed into an economic union with the European Community, the conflict between European competition policy and industrial policy has become increasingly evident.The pract

58、ice of industrial policy, the ECs industrial policy to be implemented in the Coal and Steel Community.European Coal and Steel Community, established on April 18, 1951, is actually a political community, the aim is to control the German heavy industry, in order to avoid a repeat of the tragedy of Wor

59、ld War II.There are three Treaty provides that the Community institutions under the conditions that consider the needs of third countries concerned about the Community market supply, provide incentives to enterprises to expand and improve the production capacity of a prerequisite, there are plans to

60、 expand production and production modernization . In addition, the Treaty also provides for market demand measures to be taken, including limits production of minimum limit, restrictions on imports of third country products.The mid-1960s, with the rapid rise of the steel industry in the Asian and La

61、tin American countries, the European steel industry is caught in the situation of a severe recession.One hand, with the emergence of competitors, the European steel sales market is greatly reduced.On the other hand, with the production and technological development, especially with the steel alterna

62、tives and services market, the demand for steel is greatly reduced.During this period, the EC in accordance with its industrial policy, a lot of effort, but the downturn of the European steel market is still not a fundamental change.The reason can be attributed to three areas: business failure.Many scholars believe that the European steel companies have the creativity, vitality and courage to open up businesses.But in 30 years, they gradually lose these advantages.In the face of changing market, European companies to take defensive measures to implement the policy of import restrictions,