The Economic Environment P1, P2 M1, D1 Unit 38 Bussiness Studies

3324 WordsMay 22, 201314 Pages
Unit 38: Business & the Economic Environment Task 1 – P1, P2, M1 & D1 Introduction In this assignment I am going to explain the effects of changes in the economic environment for Nissan UK. I am then going to analyse the impact that government policies have on Nissan UK. I am then going to evaluate the impact of changes in the economic environment to Nissan UK. The effect of changes in the economic environment has an effect on Nissan UK. This has been shown in the way the economy has been changing recently. The changes in the economic environment are going to show its effects on Nissan UK. This is going to be shown in the number of sales they are making. The economic review for December 2011 shows how the manufacturing output…show more content…
Nissan UK is able to use inflation in the prices of their goods, this is because they are then able to make sure that they are taking advantage of this type of opportunity their organisation, this is going to allow their company to make a profit at the time of a recession. From the economic review for January 2012 has a graph that shows the output of the three major economic sectors: manufacturing, construction and services. The graph shows the recession in 2008 to 2011 and how it recovers. The graph shows that the manufacturing was a lot higher more higher in Q1 in 2008 compared to the start of 2009. This shows that businesses were not manufacturing a lot of products and the way in which the manufacturing decreased within a year. This also reflects the manufacturing that Nissan UK did from 2008 to 2009 by making it go low because there wasn’t a huge demand for products. This also shows that the recession had just begun and was getting a lot worse in 2009. This must have had an impact on Nissan by making their employees lose their jobs because there was less labour activity. In Q3 of 2009, the graph shows that there was progress being made in the economy by showing recovery. The graph shows this in the way there is a progress and this would have also impacted on Nissan

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