Assignment 1: Operation Decision
Assume you have been hired as a managing consultant by a company to offer some advice that will help it make a decision as to whether it should shut down completely or continue its operations. It currently uses 100 workers to produce 6,000 units of output per month (working 20 days / month). The daily wage (per worker) is $70, and the price of the firm's output is $32. The cost of other variable inputs is $2,000 per day. It also tells us that the firm's fixed cost is “high enough” so that the firm's total costs exceed its total revenue. The marginal cost of the last unit is $30.
This assignment allows you to determine the specific details about this fictitious company in order to conduct an
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4. Technological environment – The range of technological events, trends, and solutions available or on the way that can improve the capability of your enterprise for creating value. This includes the study of the developers of new technologies and their likely behavior, the technology itself, and the trends associated with the application of the technology.
5. Social environment – The cultural patterns, values, beliefs, trends, styles, preferences, heroes, villains, and conflicts that form the reference system of people’s behavior. These may include the effects of national cultures, individual ethnic cultures within a country, and various social segments such as teenager and people with various lifestyles,
6. Political environment – The processes of national, regional and local governments, as well as various power groups that can affect the rules for doing business. This can include government intervention in particular industries, tax policies at all levels, government expenditures for certain causes, legislation aimed at implementing social policy, and regulation of various industries and trade practices.
7. Legal environment – The pattern of laws, lawmaking activity, and litigation that can affect the success of the enterprise. This can involve legal considerations of patents, copyrights, trademarks, and other intellectual property; anti-trust consideration ; trade protectionism; product liability; environmental liability; and
Have you been confused by language often used outside of your community? Communities are not the same in such aspects. All may communicate different to reach a certain goal. As an OPS1 (Operations Specialist 1) at Birmingham Shuttlesworth Airport, my team and I, are to handle all airport operations to and through security checkpoints, and customer service assist. In my community our terms are often misinterpreted. We have a transportation system that is quite different than others. Also, our security is taken seriously for the safety of our customers and pilots. In my community, as an Operation Specialist 1, we communicate by using different terms, also through transportation, and our relentless security system.
Technological environment refers to the technical aspects of the business environment and may include the level of automation available in the current times, technical facilities and infrastructure, rate of technological progress and research and development activities. These factors may assume decisive proportions and may impact the cost, quality and scope of innovation for a product, service or commercial utility.
The total variable cost is daily variable input multiplied by the number of days worked in a month:
Any of the government policies which is influenced by the economic conditions is referred as political environment: which involves the changes in the policies of the country. As the government in the UK, the government needs to cut the public spending in the health care sector through providing the free health service facilities. In many countries, public sector organisation tasks should be increasing more effectively and efficiency. For example; ambulance services, numbers of hospitals, etc in which can be effected by the government type and stability, laws and corruption in politics, taxes on import and export of the medicines or equipment, and
The cultural environment is made up of institutions and other forces that affect society’s basic values, perceptions, preferences, and behaviours.
Political refers to how government system and legal subject have an affect on a company’s capability to be gainful and victorious. Tax guidelines, copyright and property law enforcement, trade regulations, employment laws, political stability, safety regulations and social and environmental policies are subjects that must be thought of. For example, Tesco, working in a globalized situation with stores around the world, Tesco is now also open in six countries in Europe and those countries are Hungary, Poland, Slovakia, Republic of Ireland, Czech Republic and Turkey.
The legal environment of business provides principles, standards, and rules that regulate how businesses should operate (Meiners, Ringleb & Edwards, 2012). In the modern business environment, businesses need not only be cognizant of rules and regulations in the form of legislation and common law but are also subject to “ethical, legal, social, political and international” (Meiners et al., 2012, p.20) norms. For a business to succeed it is vital for managers to understand the legal environment to ensure that they conduct their business affairs within the parameters of the law,
According to previous information for this firm the factors that will have the greatest impact on plant operations are workers, maximum outputs, labor time, and variable costs. Currently, the managing consultant will work with special attention in the
factors. Political factors refer a country’s law and regulations that have an impact on how a
Political factors Alternately how and to what degree a legislature mediates in the economy. In particular, political components incorporate ranges, for example, charge approach, work law, ecological law, exchange limitations, levies, and political security. Political components might likewise incorporate merchandise and administrations which the administration needs to give or be given (legitimacy products) and those that the legislature would not like to be given (products and terrible). Moreover, governments have awesome impact on the wellbeing, training, and framework of a country.
is typical of India may not be found another countries like the USA the (former) USSR,
Political: This deal with the degree of government impact on the economy or in our case industry. These political factors include tax policies, trade restrictions, labour laws that the government may demand and how it may influence the industry.
The technological environment leads to new products and services and improve how they are produced and delivered to the end user. Innovations can create entirely new industries and alter the boundaries of existing industries.
Political arena has a huge influence upon the regulation of businesses. It includes government regulations and legal issues under which business should operate.
The political environment in a nation impacts the enactment and government guidelines and regulations under which an outside firm works.