• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

Economic Influence on a Business

Extracts from this document...


Economic Influences Economic influence is when a business is affected in any way by the economical factors. Economic Factors are the main elements that affect financial matters of a business like tax, interest rates, banks and stock markets. There are different ways in which different economic factors can affect a business for example the taxation is one of the main factors that can affect a business, it can affect the business because they have to pay tax to the government on the energy they are using or they have to pay some profit that they make to the government as tax. Interest rates are charged on every loan that a business takes from the bank, this can affect a business because if they keep on borrowing the loan they would have to pay extra money back to the bank this can affect a business in making profit. ...read more.


when they borrow money they have to pay the bank back with extra money so this is one of another important factors faced by the business because if they don't take a loan they might loose their money by carrying out activities because they can cross the budget limits and business cannot take a loan without willing to pay back the bank with extra money. One of the other important factors are labour, Longleat needs its labour to continue working and Longleat has to pay its employees, employees would have to paid differently according to their posts. Taxes are also charged on imports and exports but Longleat does not import or export a lot because they can use local or national suppliers to provide them with everything they need because of this Longleat does not have to suffer for and there customers are not hit by high pricing. ...read more.


stock and Longleat would have to wait until the suppliers have the stock again and Longleat's suppliers might also be importing products, if this happens then Longleat would have to wait longer which might make a bad image of Longleat in front of customers. Location can be another factor in economy if changed because it can affect the supplies of a business as well as its customers. Longleat is located in wilthshire and Longleat's location is significant as it has to be in reach of its customers easily and also it has to be in reach of suppliers otherwise Longleat would face many difficulties. Some factors related to the Location can be the environment, if Longleat would have been set in such a location where taxes for environment are high then it would cost them more and would affect the customers. ?? ?? ?? ?? ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our GCSE Business, Companies and Organisation, Activity section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Here's what a teacher thought of this essay

3 star(s)

The writer brings in many non economic factors and does not develop the economic ones enough. They should consider the effect of the economy on Longleat's customers much more as this will have a big influence on Longleat's success. If the economy is doing poorly, fewer customers will want to pay for an expensive day out in Longleat. This willl severely affect Longleat's income.

Marked by teacher David Salter 21/03/2012

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related GCSE Business, Companies and Organisation, Activity essays

  1. Marked by a teacher

    Tesco Stakeholders

    4 star(s)

    Tesco have responded to customer needs in a positive way showing that they put their customer's needs first. Some examples of this are below. Have you noticed where the petrol station at every Tesco store is located? The petrol station is located where it can be accessed on your way in or out of Tesco.

  2. Marked by a teacher

    Do you think it is a good idea for companies to use corporate social ...

    3 star(s)

    Trialogue "has found that medium - sized companies are compliance focused" explain what this means? In practice, many environmental or contextual factors may directly bear on compliance risk management decision-making. These factors include: * variations in a revenue authority's financial resources that may substantially affect its capacity to deal

  1. Internal and External Stakeholders of Alton Towers

    As a result of the traffic there is noise and pollution, but it has an upside as due to loads of traffic, people will get a bit hungry/ thirsty and will go into local newsagents or shops to get food or drinks so thus resulting in local shops prospering.

  2. Business Studies Edexcel Coursework

    as profit maximisation - trying to make the most profit possible, e.g. utilising effective promotional campaigns. After this, Errol could aim to try to make a sufficient amount of profit to keep him comfortable - this would an ideal aim of a small business such as Errol's, as he would not want to work longer hours.

  1. Importance of terms and conditions of employment

    In failure to do so the employee might get hurt therefore the employer will need to give compensation to the employee. This will give a bad reputation to the company. The employers need to treat everyone with reasonably if not then this is a discrimination and the employee can take

  2. The type of ownership Cadbury Schweppes PLC.

    set up - John got help from his father who owned his own company also, which gave John the boost to start his company as a one man business. At the start of Cadbury, the company was very small and it was easy to set up the company because of the help he received form his family.

  1. Case Study of the "Life is Good" clothing company.

    Leadership 1. Defining Leadership Style. Though leadership may be hard to define, but as one characteristic remain common i.e. all leaders must have the ability to make things happen. Thus being the top mangers they must maintain their will to control events, charting out of course and implementing with the

  2. Business Studies- Unit 1- Stakeholders

    they are responsible for to work as hard as possible will as little leave as is allowed, thus accumulating maximum capital for the business. This position is often referred to as a profit and loss responsibility and most of the company?s sales, marketing and daily operations of the business are overseen by the manager.

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work