1.5.5 The external Business Environment

Question 1

How will businesses respond to changes in technology

Answer 1

• Social Media Teams to interact with customers online
• Electronic format of information sheets to reduce paper costs
• Video conferencing to reduce carbon footprint and costs

Question 2

How will businesses respond to changes in legislation

Answer 2

• Increase staff training
• Increased wages, reduce number of staff, increase product price
• Increase in businesses costs
• Reinvesting back into business

Question 3

How will businesses respond to economic change

Answer 3

• changes in amounts of staff
• Changes in wage amounts
• Change in size of target market