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Btec Business Level 3 P1 Unit 1 Business

Satisfactory Essays

Task 2: M3 In this section of the report I will be analysing how business activities from each factor; political, legal and social, have impacted on two contrasting organisations. The two contrasting organisations I will be focusing on are Tesco's and Amazon. Political factors: Employment Policy - Tesco's: Tesco's has recently had to make many changes in their staff and have had to change the management structure to be able to pay every manager fairly and pay the wages for their general employees. These effects were taken place due to a major profit change and an unstable financial system. Another effect that has been changed is the Tesco pension scheme back in 2012. The Tesco pension scheme had changed due to financial problems however this would mean employees who have a pension scheme with Tesco will have to work longer if they were in their early 60's . This became a challenge for Tesco's as they couldn't afford to pay out on pension schemes at that precise moment. Employment Policy - Amazon: Amazon employees are left feeling angry because they are being given low-paid wages for overworking. This effects Amazon heavily as they are having employees leaving the company and the company it's self has to bring in agency workers as temporary employees. This would mean …show more content…

When Tesco's purchased Adminstore they were simply told they would be a part of the convenience store market meaning Tesco would raise a percentage of 6% of the convenience food market as well as raising 26% of the grocery store market. Tesco's then argued because the two markets were very similar but they were told by critics that the markets are indistinguishable and that they should never of been entered into the convenience food market. Ever since Tesco's was criticised for this situation many other companies were gaining more profit in both markets due to the raise Tesco's had given

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