higher business assignment example

Higher Business Management: Advice, Command Words and Resources

The SQA Higher Business Management course is divided up into five sections – understanding business, management of marketing, management of people, management of operations and management of finance. Higher Business Management is assessed by an exam lasting 2 hours and 45 minutes containing questions worth a total of 90 marks and an assignment completed in school which is worth 30 marks. The assignment involves candidates choosing a business and a topic to research and prepare a report.

This article will offer some tips for studying Higher Business Management, an overview of the command words, opportunities for further study and a list of useful resources.

• Read business news stories and think about what is happening and why. This can help you put theory into practice.
• Look at examples of real businesses. Remember including some examples in your answers may help you get your point across. 
• Practice writing answers using the different command words. Make sure you understand what they mean and how to structure your answer. 

Command Words

Describe – You must offer a detailed description of the point you are making such as mentioning features or characteristics. One word answers or a brief outline will not be accepted. 

For example: Describe the main characteristics of high quality information.

High quality information is appropriate. The information provided will be suitable for the purpose for which it is intended. There will be no irrelevant information that is not related to the decision being made as this could cause confusion during decision making.

Explain – You must offer a detailed explanation of the reason for or impact of a particular course of action. Clearly explain the reasons and consider offering an example to explain your point. 

For example: Explain why a profitable business can have cash flow problems.

A profitable business can have cash flow problems due to having too much money tied up in stock. Having a large amount of unsold stock will cause cash flow problems as the business will not be generating income from the stock. The business will also be faced with the cost of storing stock. This means that the business’s revenue will decrease.

Justify  – Give good reasons to support or explain your suggestions.

For example: Justify why strategic decisions are made by senior managers.

Senior managers making strategic decisions is beneficial as they will have a more thorough knowledge of the organisation. Senior managers are more likely to have better knowledge of the company, its aims and policies which is information that will be needed for effective decision making.

Outline – State the main features of a particular factor but do not go into great detail.

For example: Outline the main features of the Data Protection Act 1998 

Data held must be stored lawfully, securely and responsibly. 

Identify – State/list the answer. Identify is sometimes used alongside another command word such as explain or justify. 

For example: Identify a source of finance.

Bank overdraft.

Discuss – Examine the advantages and disadvantages of a particular factor and fully explain your point. You are making a case for or against the idea. 

For example: Discuss the use of just in time production. 

An advantage of just in time production is less storage space is needed as stock will not be on the premises for long. This could result in decreased rent or cost of premises. 

A disadvantage of just in time production is the business is relying greatly on suppliers. If the supplier does not deliver on time or delivers the wrong goods, the business may need to halt production meaning customer orders will not be completed on time. 

Distinguish – Identify differences between two or more factors. 

For example: Distinguish between a strategic decision and an operational decision. 

A strategic decision is made by senior management whereas an operational decision is made by lower management. 

Compare –  Show differences or similarities between two or more factors. You should point out the specific features of each to demonstrate each difference/similarity. 

For example: Compare functional grouping with product grouping. 

With functional grouping staff with similar knowledge and expertise will be working together whereas with product grouping staff are grouped together around a product or service. 

Interested in studying Business Management further?

Universities offer degrees in Business Management or a specific area of business such as Marketing, Finance, Accounting or Human Resources. If you are interested in particular area of business or know what sort of career you would like to have you can choose one of these areas of business to study. Some universities allow you to select two subjects to study as part of your degree for example Business and Marketing or Business and Human Resources.

You can also study Business courses at college or undertake a Modern Apprenticeship in an area of Business.

I remember studying Higher Business Management when I was in high school and I’m glad to say I kept all of my notes. Here they are in PDF format if anyone else feels they can get some use out of them.

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Higher Business Assignment Writing Tips – From Average to Exceptional

Higher business management continues to be one of the most studied subjects in the UK. The course aims to provide students with marketing, finance, employee relations and technology management. According to the British Academy, in 2020, 16.3% of 412,815 students crossed the business management sector. The relevant course requires one to pass a higher business assignment accompanied by practical research skills.

With the advent of time, knowledge and understanding of management skills have been modified. The statistical data revealed by HESA on 25 January 2022 present a higher number of enrollments in business management subjects with an increased percentage of 17%.

This highlights students’ great interest in pursuing this course. The subject focuses on the conceptual framework of business strategies to meet the standards of the evolved era.

A successful assignment demands a student’s proper attention and dedication. Assignment writing requires a strong grip on the subject under discussion. Many students lack appropriate writing and research skills and often get stressed. Securing excellent grades and following deadline pressure confuses them. In such a scenario students seek help from online assignment writing services to overcome this challenge. Proficient writers conduct profound research, offer guidance on writing techniques and deliver assignments punctually.

Coming to the topic, let us understand higher business and learn some constructive techniques to write a professional assignment.

What Is Higher Business?

Higher business management mainly develops exceptional organisational and operational skills to run businesses. The course study involves the following aspects:

• Marketing and Finance.
• Economic law and strategy.
• Human Resource (HR) management.

BBC demonstrates the hierarchy of higher business management in this way:

The advanced study of this course interlinks multiple domains including R&D, marketing, finance and procurement. Referring to the study of contents students can make a higher business assignment as per their interest in a specific domain.

How Do You Write a Higher Business Assignment? Top 11 Tips to Follow

A good assignment foundation is laid on the strong research problem. Analyse the emerging issues in business management. Create a solid outline including a captivating introduction, body paragraphs and conclusion.

Try to engage your readers and propose effective strategies that help to solve real-world issues. Writing a flawless higher business assignment is only achieved by following the right tips. The excellent writing tips are listed below:

1. Understand Your Assignment

Before you initiate writing a higher business assignment, thoroughly understand what is required. Critically analyse the requirements provided by your institute. Compose a list of all the mentioned instructions including:

• Word count.
• Design and style of assignment.
• Soft or hard copy submission.
• Font size and style.
• Citation style.
• Spacing and margin instructions.
• Deadline of assignment.

Be vigilant in achieving top grades in your assignments. Don’t hesitate to ask questions from your professors and clear all ambiguities. Put real effort into deeply understanding the requirements and act accordingly.

2. Research a Better Topic

First things first, try to conduct deep-topic research. Browse all the primary and secondary sources to gather as much information as possible. Choose a topic that interests you and opens further research possibilities.

To craft a professional higher business assignment your topic should include the following characteristics:

• Must be focused and subject-oriented.
• Demonstrates the scope, queries and solutions of your study.
• Enclose the research of your study.
• Recommends further research possibilities.
• Shows the innovative and creative ways of running a business.

Higher Business Assignment Topics for 2024

Students often need help finding a trending topic. We deeply care about their concerns. Therefore, we have listed the top trending topics in the below section:

• Studying the Role of Business Organisations in the Society.
• Top Five Factors to Analyse the Effect of Price on the Market.
• Exploring Beneficial Business Strategies to Attract Foreign Investments.
• Theoretical Models to Study Inventory Management.
• A Critical Leadership Skill: Organisational Crisis Management.

3. Create a Strong Research Statement

Build a central idea and statement in your higher business assignments. It should be ideal, clear and easy to execute. A strong statement should guide the reader on what it actually holds. For example, writing assignments on higher business create a supporting statement as follows:

“With this ultra-digital era, higher business management has evolved. The course study aims to follow the hierarchy of running several business operations, including marketing, human resources, and finance. Organisations have taken steps to increase operations in the private, public, and third sectors. It has not only facilitated practical benefits but also transformed the traditional business means.”

The above-discussed example clearly justifies the importance and benefits of the subject. It provides positive signals and focused information on business management. You can construct your assignment statement by reviewing the sample statement.

4. Gather Information

Conducting research is a time-consuming process. To gather relevant information, perform internet surfing. This may help you download articles, journals and books from credible online resources. The experts also advise you to read case studies and numerical figures for prevailing authenticity in your assignment.

Subject-relevant information can be extracted from the following websites:

• Corporate Information
• Fast companies database
• Pew research centre
• Bloomberg Businessweek.

Brainstorm a lot of higher business assignment research questions. For example, you can address:

• Why do businesses lack future-proof strategies?
• What could be the major reasons for business failure?
• How do you manage the business setup?
• Where to get the business developers?
• What are the major advancements in business management courses?

5. Plan a Good Structure

A better structure helps you flow information coherently. Structuring provides a writer with the right direction to flow their ideas. You can outline a solid higher business assignment structure including:

• A captivating and hooking introduction.
• Logically sequenced main body. It must enclose the body paragraphs equally divided as P1, P2, and P3. Interlink all the information by using academic connectives and linking sentences. Use transition words such as However, therefore, and also.
• Briefly conclude the main findings of your research. Readers must get a valuable and reasonable answer from your assignment summarisation.

For crafting an effective higher business assignment see the structural template by Barnsley:

6. Develop a Coherent Main Body

The main body of your higher business assignment should reflect authenticity. Start with the topic sentence aligning with supporting evidence. The main body should constitute 80% of the total word count. Every paragraph should be consistent with the next.

It can be achieved by using transition words and describing the details of business management. Use examples to illustrate and create a link with the focused idea in the concluding sentence. In this section, the core purpose must represent and interpret your whole research theme.

Last but not least, the paragraph alignment and spacing should be friendly. Break your paragraphs into a maximum of three to four lines. Don’t exceed the limit as it will sound burdensome to the reader’s eyes.

7. Use Appropriate Language

To excel deliberately in your higher business assignment, use the right word choice. Using a formal language increases the readability. Avoid using slang and pointless language. Don’t write complex and passive voice sentences.

Instead, write formal language to reflect gold clear correspondence. To sound more professional, abstain from contractions. For example, write “How is” instead of writing How’s. Try to avoid jargon, colloquialism and other irrelevant phrasal language.

Practising the formal tone in your assignment gives you chances to impress the supervisor. The clarity and fluency of ideas build content credibility.

8. Add Infographics

Infographics are the visual representation of information. It helps the readers to grab the whole contextual theme instantly. There are different forms of infographics. Some of the most popular forms are described below:

• Tree diagrams
• Gantt Charts
• Flow charts
• Statistical, informational and hierarchal infographics are also used.

Enrich your higher business assignment with the diverse categories of visuals.

9. Stay In Touch with the Supervisor

When you have a collection of good higher business assignment ideas, immediately discuss them with your supervisor. Your supervisors are the subject-specific professionals. They will better guide you in creating a well-organised assignment outline.

Moreover, they will also connect your topic with real-world scenarios. Besides this, you can get access to various research websites, plagiarism-checking software and assignment samples for better reach. Schedule different meetings and begin the productive discussion on the hows and whys of your assignment.

10. Use Proper References

References help to prove content authenticity. Using appropriate references can enhance the credibility of your higher business assignment. Other than this, citing references in your work gives credit to the original author. Moreover, it avoids a lot of plagiarism in your assignment. There are different citation styles including:

Use the one which your institute advises. While quoting a reference, try to mention the correct spelling of the author’s name, year of publication and journal name. If you misspell anything, then it will cause ambiguity. Therefore, be vigilant in citing the appropriate references.

11. Proofread Your Assignment

Proofreading of your scholarly assignment dictates a clear objective. Reviewing and editing of your research work refines by spotting the following:

• Spelling and grammatical errors.
• Punctuation and poor sentence structuring.
• Detects the passive voice.
• Repetitive transition and idiomatic phrases.
• Formatting and margins checking.

Experts advise performing proofreading in a loud voice. This is because your auditory senses will be attentive to hear the errors. The typical errors are sentence structuring, length and passive voice.

What Do You Do in Higher Business?

As per the Scottish qualifications, the higher business course prepares the students for the following:

• Understanding the business. Get a practical understanding of how to develop private, public and third-sector organisations.
• Study marketing management and deal with customer satisfaction. Implement different theories to improve competitiveness.
• Moreover, people, finance and operational management help in organisational retention.

What are Higher Business Assignment Examples?

Assignment writing requires a concise and clear form of language. To make your assignment professional first read some research samples. Some of the examples are listed below:

• Implementation of Total Quality Management in Higher Education.
• Linking big data analytics and operational sustainability practices for sustainable business management.
• The assessment center in the measurement of potential for business management .

Following the above-discussed tips, you can easily write a proficient higher business assignment. Discover the best and most prolonged business management strategies to strengthen your assignment. Perform effective proofreading and editing of your assignment to achieve excellent grades.

On the contrary, many students need help crafting logically sequenced and coherent assignments. Meeting the deadline pressure often gets them stuck. To deal with these challenges, they get immediate help from business assignment writers . These experts are equipped with outstanding academic writing abilities, ensuring the timely delivery of high-quality content.

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Business Management Higher

Higher Business Management Exam is on Thursday 16th May 2018 - 9.00am - 11.45am

SUPPORTED STUDY DATES

SUPPORTED STUDY IS AVAILABLE EVERY TUESDAY AND THURSDAY FROM 1.30 - 2.00 IN ROOM 104

EXAM PREPARATION

Your final grade will compose of a 2 Hour 45 minute written examination worth 90 marks and a coursework assignment worth 30 marks

Your written exam will take place

Below is a copy of all the old Higher Business Management Past Papers

WHAT'S BEEN HAPPENING IN THE BUSINESS STUDIES DEPARTMENT?

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7 Techniques to Write a Successful Higher Business Management Assignment

We all depend on businesses to meet basic life necessities and have prosperity with luxury. Studying business can teach you the basic skills that can help you enter the business world. Are you interested in the real-life use of business context? Do you want to study a course that can act as a way to enter business study? Studying higher business management can serve the same purpose. Learning and writing a higher business management assignment can help gain deeper insights into the subject.

According to Statista, the average median salary for an MBA graduate in the USA was 115,000 U.S. dollars in 2022. However, a graduate in business analytics can expect approximately 105,000 U.S. dollars from this position.

Even employers pay you more when you specialise in specific business skills. It shows the market trend of the coursework and how many students enrolled in the course study. They intend to excel in the coursework by writing assignments and making crucial subject analyses.

Assignments for higher business management students need to be written with essential guidance to remain on track while writing. This is why the below guide can be helpful. However, if you think you can’t perform uniquely in increasing competition, getting an assignment help can be helpful here.

What Is Higher Business Management?

Higher business management courses act as an entry to the business world. It builds on knowledge, skills, and understanding gained in National 5 Business Management. According to Understanding Standards, higher business management equips the learner to understand the business’s global and national nature. As a result, they are prepared to play an active role in Scotland’s vibrant and innovative business.

Top 7 Techniques for Higher Business Management Assignment Writing

Whenever you enter the new semester, there is a mess over your head to write several assignments. Every subject teacher, at first, thought of assigning the assignment topics. The purpose is that when you research and write ideas, you can better comprehend them. But the question is, are you ready for it? How do you write a business management assignment?

The answer may seem a big NO, especially when your performance during last semester was unsatisfactory. But there is no need to worry. We are going to tell you the top techniques for writing your assignments. Say goodbye to academic anxieties and continue reading so you do not lose track of excellence.

1.     Understand Your Topic

If you can choose and write on the higher business management assignment topics, select the one that aligns well with your interest. Don’t underestimate the importance of understanding higher business management assignment requirements and what your professor seeks.

The Swarth More presents some key strategies to decode this prompt of understanding.

• Look for the keywords in the assignment to know what type of writing your professor wants from you. For example, you should know the difference between the words analyse, explain, evaluate, define, briefly explain, etc. If you are not sure, don’t hesitate to ask the professor.
• Know the purpose of the assignment and figure out how you will fulfil the expectations of your audience. You can make a higher business management assignment plan to have a particular framework to act upon.
• Fulfil the criteria set by your professor

2.     Research Your Topic Well

Research is essential to build the fundamentals of your topic. It allows you to gather relevant and reliable data supporting your argument. However, it is also helpful in understanding the requirements of the assignment. According to the University of Maryland Global Campus, when you engage in research, it helps you to build critical skills. You can ask thoughtful higher business management assignment questions to gather and interpret data.

The Time Magazine lists some top sources to consult for higher advanced business management assignments.

• The Age of Unreason (1989), by Charles Handy
• Emotional Intelligence (1995), by Daniel Goleman
• The Essential Drucker (2001), by Peter Drucker

3.     Make an Outline

Do you know outlining before writing an assignment on higher business management saves you time? It helps you to divide your assignment writing ideas into different sections. The outline comprises the main point of the whole assignment. According to the Indiana University of Pennsylvania, for outlining consider,

• Your topic and thesis statement
• The points you would like to discuss in the assignment
• Align ideas in logical and numerical order
• The possible transitions between paragraphs

Furthermore, you can also see higher business management assignment examples for better comprehension.

4.     Write an Engaging Introduction

Introduction is the crucial aspect that gives the reader a hint about your context. Depending on how engaging your introduction is, the reader will decide whether to read it further. You must start it with the attention hooker and define the goal of your assignment here. For instance, if you are writing on the topic,

“Branches of business management” its attention hooker can be,

“Although many consider business management a single industry, it comprises many branches.”

However, you can also take higher business management assignment help if you are not sure to perform well in your coursework writing.

5.     Consider the Subject Terminology

Consistent and precise language allows the reader to move in a specific direction while preventing confusion. Some subject-specific terminologies drive the main idea of the subject. According to the International Journal of Engineering and Information Systems, learning terminology is essential for all professionals. It is involved in expressing, representing, and communicating specific knowledge.

For business management subjects, use terminology like accounting period, acquisition, balance sheet, base rate, benchmarking, etc. However, you can also get a higher business management assignment writing service if you think of having assistance from experts.

6.     Consider Assignment Structure

An assignment is always structured according to the institution’s guidelines. The same is the case with higher business management assignment structure. However, depending on the topic, some variations must be figured out before starting writing. For most university students, there is a requirement to add an abstract at the start. But it is not essential for every assignment writing. Boeingconsult.com presents a typical assignment writing structure.

Furthermore, you can buy higher business management assignments online to get them done by experts.

7.     Ensure Proper Referencing

When you write a higher business management assignment, you will use the ideas of others. That’s where referencing will be essential. In-text and end-text are referencing. The formatting for both differs, so it is essential to consult a university library or top journal before starting your writing process. For instance, in the Journal of Small Business Management 2003, a referencing format for business assignments can be given as

Australian Bureau of Statistics (1999). Small Business in Australia , 1999. Canberra, Australia: Commonwealth Government.

Are you still afraid of writing higher business management assignment? Most probably, the answer would be no. Even after this comprehensive guide, you can acknowledge that the process is not complicated, but some guides are missing. The above content is meant to address the same purpose. You need to plan, structure, or organise your ideas well.

As a result, the whole write-up will be coherent. Remember to contact your teacher because he will grade the assignment at the end. So, it is necessary to know his expectations for you. Also, if you think you can’t fulfil the requirements your institution asked for, consider an assignment writing service from reputable higher business management assignment writers instead of worrying.

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Business: Objectives

Profit Maximisation

• Profit maximisation is often the primary objective of businesses.
• It involves earning the highest possible profit by increasing revenue or reducing costs.
• Businesses would use this profit for reinvestment, satisfying shareholders, or providing a buffer against future financial difficulties.

Business Growth

• Business growth can be an important objective for many businesses.
• A business might aim to expand its market share, increase sales, or enter new markets.
• Growth can be organic (e.g., increased production) or inorganic (e.g., acquisitions or mergers).
• The survival of the business can be a key objective, especially for startups and smaller businesses.
• This might involve generating enough revenue to cover costs, dealing with competition, or navigating difficult economic times.

Corporate Social Responsibility (CSR)

• CSR refers to a business’s commitment to ethical behaviour and contributing to the welfare of society.
• This could include minimising environmental impact, treating employees fairly, and supporting local communities.

Customer Satisfaction

• Customer satisfaction can be a central objective as satisfied customers are more likely to make repeat purchases and recommend the products or services to others.
• This may involve providing high-quality products or services, excellent customer service, or offering good value for money.

Market Share

• A business’s market share is the proportion of the total sales in an industry that is achieved by that business.
• Increasing market share is often a key objective as it helps a company dominate its market.

Employee Welfare

• Prioritising employee welfare can help retain skilled workers and improve productivity by promoting job satisfaction and morale.
• This could involve offering competitive benefits, promoting a healthy work-life balance, and providing opportunities for career development.

It’s crucial to remember that these business objectives are not mutually exclusive. Most businesses will have multiple objectives, and these can often complement each other. For example, CSR initiatives can bolster a company’s reputation, leading to increased sales and profit.

10 Tips To Write A Good Business Management Assignment

• The Pinnacle List

Do you feel the pressure of a business assignment? Are you looking for quick business management assignment help ? This is a common problem faced by all students. You have been assigned to write a business management paper but you just don’t know where to begin or what points to include in your work. In this case, follow these simple tips to get started on your writing project.

1. Choose a Good Topic

If you are looking for ideas, start from home. Look at what interests you and think about how it will apply to the course content. If nothing comes out, look at the syllabus and find two things that interest you most. If you still don’t see anything interesting, ask your teacher what topics should be covered in your class during this semester before going back to your notes and class discussions.

2. Review Expectations of Your Professor

Review the instructions of your assignment sheet carefully. The lecturer may also give you some hints on what topics should be included. Make sure that you fully understand all requirements before starting writing.

Sometimes, deciding on the topic gets easy when you read the assignment guidelines over and over again. There could be a few hints that you can discover by carefully going through the set of instructions.

3. Assess Information Sources

To ensure the validity of information, always check out the source of data. Ask yourself questions like: 

• Who made this?
• Where did this come from?
• When was it published?
• Why do they know this information and I don’t?
• How many reported errors occurred in this study? 

To determine reliability, look at who created the source, how long ago it was created, and where it is located.

4. Collect All Resources Before Writing

The easiest way to start your writing project is to collect everything you need. Print out the information and add any links to websites so that they can be easily accessed while researching or writing. You don’t want to lose anything by having only a hard copy at hand, especially if it’s an online link.

5. Write an Outline Before Starting Work

An outline helps you better and faster organize your thoughts and ideas in order of priority and importance, helping you solve problems quickly while working on your business assignment.

If you have no idea where to start, try this method: Take a blank sheet of paper and draw three columns, labeling them “Problem,” “Action” and “Result.” In the top section, write down three or more problems that you have encountered in your work, a problem with a product, a situation requiring a solution, and so on. 

The bottom section will contain actions taken to resolve these issues. This allows you to make sure that all solutions were implemented correctly and completely.

6. Collect Sources of Information

This is an important step when preparing to write your assignment because it gives you an idea of ​​what points should be covered in your article. For example, if you need to discuss how Starbucks uses social media tools, then find articles about other companies that have used something similar.

Do not forget to also spend time reading other topics from the syllabus before writing a scientific article.

7. Spend Time Reading the Materials You’ve Collected

Don’t immediately start writing when you finish your homework; read everything carefully before you write anything to make sure that all information is correct and relevant. This will also give you an idea of ​​what points should be included in your assignment.

8. Summarize Areas Requiring Research

Before starting, summarize what has already been done on the topic so that later you can use this information for reference material. For example, if you have to do something about how Facebook is used by companies, then do not forget to mention previous studies on the subject during your presentation. 

If there are none, however, say this at the beginning of your work so that the reader will not expect to see something new under the sun.

9. Set A Writing Schedule and Follow It

The main trick to keeping yourself on track, when you are working on an assignment or anything else, is to set up a schedule and adhere to it as much as possible. 

It’s easy for things like reading news sites, playing games, and other leisure activities to take over your time if you do not plan them ahead of time. 

Schedule your research and writing tasks depending on how long they usually take; this way it will be easier to organize your work time efforts.

10. Read Everything You’ve Written Before Submitting

This is one of the most important steps in writing because even the most experienced writers, editors, or proofreaders can miss something when they write content. 

To avoid this mistake, especially when you are in a hurry to complete your work, always check what you have written before sending it to the teacher. If possible, ask one of your good friends or family members to review the document for you. They might be able to pinpoint errors that you couldn’t detect even after checking the paper time and again.

Conclusion 

Finalizing details of an academic project is one of the most time-consuming tasks that students face during the course. However, it’s worth considering that not all assignment proposals produce high-quality results because some students do not know how to write them well. If you want good grades, make sure your proposal satisfies all requirements of your tutor. Try to adhere to all the guidelines and follow writing standards.

Faculty Resources

Assignments.

The assignments in this course are openly licensed, and are available as-is, or can be modified to suit your students’ needs. Answer keys are available to faculty who adopt Waymaker, OHM, or Candela courses with paid support from Lumen Learning. This approach helps us protect the academic integrity of these materials by ensuring they are shared only with authorized and institution-affiliated faculty and staff.

If you import this course into your learning management system (Blackboard, Canvas, etc.), the assignments will automatically be loaded into the assignment tool.

Salty Pawz Assignments and Discussions

Half of the written assignments and discussions (32 in total) are based on a case study, whose focus is a fictional dog-treats business called “Salty Pawz.” Many of these assignments take the form of asking students to give Wanda, the company’s inexperienced owner, advice about how she can run her business more effectively. Lighthearted in tone, the Salty Pawz case study and associated assignments create a common framework for applying knowledge and skills developed through the course, encouraging students to demonstrate mastery of the content through real-world tasks and work products.

Alternate Assignments and Discussions

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Essay: British Airways (PESTEC) Higher Business Assignment

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• Subject area(s): Business essays
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• Published: 19 October 2021*
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• Tags: PESTEL analysis examples

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The purpose of this report is to show the effect of external factors in British Airways PLC through a PESTEC analysis, which will evaluate the external business environment and its impact on the organisation’s performance. British Airways (BA) is the flag carrier airline of the United Kingdom and the second-largest UK airline, behind budget airline EasyJet. British Airways are owned by parent company International Consolidated Airlines Group (IAG).

Analysis & Interpretation

There are several political factors which could impact an organisations performance, particularly their profitability and their ability to provide a high-quality experience for their customers. The UK government has increased Air Passenger Duty Tax (APD) on several occasions, meaning that consumers have to pay more to fly from the UK compared to other countries, especially on long-haul flights. British Airways has a major presence at many UK airports, in particular, their main base at Heathrow Airport, London. The increase in ADP that the government has implemented means that consumers are less likely to book flights if costs are increased and many travellers may look to fly from other European Airports for long haul flights. This means that there is a decline in British Airways’ profitability and reduced chances of survival for the business. https://www.telegraph.co.uk/travel/travelnews/air-passenger-duty/8095665/Tax-rise-will-end-benefits-brought-by-air-travel-warns-BA.html .

The increasing rate of terror attacks around the world has been detrimental to the travel and tourism industry, like the November 2015 Paris attacks and the March 2016 Brussels bombings. The terror attack that occurred at Brussels Airport in 2016 caused airline companies share prices to plummet, in particular, the owner of British Airways, IAG. Terror attacks like this mean that there is reduced demand for flights and a notable decline in company revenue. This means that airline companies like British Airways must account for their decreased number of bookings and therefore decrease their flight prices significantly, which may mean that profits become less than the cost of operating flights, which will, therefore, decrease their chances of survival. https://www.theguardian.com/business/2016/apr/29/iag-revises-growth-plan-brussels-attacks-air-travel-demand

The cost of fuel, which is vital in the day-to-day running of the business is a significant economic factor that all airlines must adapt to, in order to ensure their business remains profitable. In 2018, it was released that the profits of British Airways owner IAG suffered greatly after increased fuel costs as well as currency exchange rates over a three-month period. This, therefore, means that British Airways are forced to pay more for fuel and the cost of this is passed onto passengers through flight prices and fewer cheaper seats. This will result in decreased customer satisfaction, as most customers are looking for affordable prices and a high-quality service, which may also be affected as the airline are forced to make budget cuts, meaning that they can’t provide customers with the experience they would expect from a premium airline such as British Airways. https://www.telegraph.co.uk/business/2018/10/26/british-airways-owner-iag-suffers-profit-slip-fuel-costs-rise/ https://www.independent.co.uk/news/business/news/british-airways-iag-profits-fuel-costs-flights-hack-cyber-attack-ba-a8602346.html

In 2016, the UK population voted to leave the European Union and with it, came a depreciation in the value of the pound. IAG reportedly lost £124 million from the foreign exchange loss caused by the UK’s departure from the European Union (Brexit). IAG said, “Our performance this quarter saw a negative currency impact of €148 million, primarily due to the weak pound”. In other words, IAGs share price fell by 33%, which meant that consumers gain a negative view of British Airways, decreased dividends for shareholders, increased risk of take-over from other organisations and it may also mean that the company must sell ore shares to compensate for the loss of profits, which may mean more loss of control within the business. Moreover, a decrease in share price means that market share will decrease which will have an adverse impact on the organisation’s performance. https://www.businessinsider.com/british-airways-owner-iag-hit-by-brexit-currency-fluctuations-2016-7?r=US&IR=T

British Airways have gained a reputation of being a premium airline, and this reflected in the service that they provide. They have an extensive range of travel classes which are detailed on their website, offering customers a satisfying experience. They are however regarded as one of the more expensive UK airlines. Class distribution in the UK population greatly affects the business. British Airways would be unable to their premium service to consumers if the majority percentage of the UK population were of a lower class. This would mean the business would have to use niche marketing and focus on a certain market segment, instead of the UK population as a whole. This means that consumers needs are not being met by the business, as they may not be able to afford the service they are providing, and they, therefore, may turn to British Airways’ budget airline competitors for a cheaper service. This also means that the profitability of the business will suffer as they must decrease their prices the adapt to changing population. If prices are decreased, then their brand image will likely be affected, and the airline will no longer be seen as a premium airline. https://www.britishairways.com/en-gb/information/travel-classes/economy/world-traveller https://www.telegraph.co.uk/travel/advice/british-airways-ryanair-or-easyjet-which-is-better-cheapest/

Travel trends are constantly changing, and airlines must constantly adapt to these changes. Consumers are earning more than they were 10 years ago, resulting in an increase in disposable income. More disposable income means that the frequency of holidays taken by consumers is increasing. As is detailed in the 2019 Holiday Habits Report by ABTA, “the average number of holidays per person have both increased”. If consumers are taking more holidays and booking more flights every year, this means that British Airways must accommodate more customers and therefore they may have to increase their fleet size, so that they can operate more flights to more locations around the world. This would also mean that British Airways’ profits are likely to increase as more tickets are being sold to customers meaning that there is an increase in sales. https://www.abta.com/industry-zone/reports-and-publications/abta-holiday-habits-reports/holiday-habits-report-2019

Technological

The airline industry is highly competitive and therefore British Airways must adopt the latest technology to ensure that they are able to survive and remain competitive. A recent technological advancement is the development of online boarding ticket access and check-in services. This advancement means that airlines must ensure that their online check-In services are easy and accessible to customers. Keeping up-to-date with the latest technology means that customer satisfaction will increase as they feel that the process of flying with the airline is effortless. For example, the use of online check-in services means that long airport check-in queues are a thing of the past meaning that more customers are satisfied with the service provided, and they are therefore more likely to use the airline again, customer loyalty will increase as a result. https://www.britishairways.com/en-gb/information/checking-in-and-boarding/checking-in

New innovative technology means that airlines can provide safer, comfortable and economical flights. New technological advancement by Boeing and Airbus mean that British airways can operate a fleet of aircraft which provide fuel economy and speed. Overall, they are more reliable and efficient and allow airlines like British Airways to provide an enhanced service to their customers. A high-quality experience means that customers are satisfied with the service provided and are more likely to use the service again in the future. Aircraft which are more fuel-efficient means that British Airways are able to save costs on fuel, meaning that their profits are likely to increase as a result, which will increase will increase their chances of survival in a highly competitive market and shareholders will gain higher dividends and the company will have a higher market share. https://www.britishairways.com/en-gb/information/about-ba/fleet-facts/airbus-350-1000

Environmental

Weather is an important external factor for any airline, as it dictates when flights are able to take off, in other words in dictates when the business can provide customers with the service they were expecting. An example of adverse weather impacting the airline is in December 2010, when the UK was hit with severe snowstorms, grounding flights and decreasing air traffic by 8.3% in comparison to the previous year. This meant that British Airways were grounded meaning flights were unable to take off. This means that customers are not being provided with the service that they paid for and will either be given a refund or booked onto the next available flight. This would undoubtedly decrease customer satisfaction and would mean that the company would lose profits, just as they did in 2010 when they reportedly lost £50 million. This would have therefore decreased their market share and would have resulted in unhappy shareholders from decreased dividends. https://www.bbc.co.uk/news/business-12130480 https://www.britishairways.com/en-it/information/customer-service-contingency-plans

All businesses must be socially responsible to maintain a valued name for themselves. According to the Intergovernmental Panel on Climate Change (IPCC), and the World Meteorological Organisation (WMO), “air transport contributes to 4.9 per cent of human-caused climate change, including emissions of carbon dioxide and other greenhouse gases”. This means that the aviation industry, including British Airways, are under heightened pressure to decrease their carbon footprint and their impact on the environment. Apart from ensuring their aircraft are the most fuel-efficient on the market, they can make their airline more environmentally friendly by recycling or by using a method adopted by a British Airways competitor KLM, by selling branded reusable drinking bottles during flights. They could impose stricter baggage policies and even stop selling in-flight magazines, like their competitors KLM and Lufthansa, who have created free digital reading apps and online e-journals. Being socially responsible and environmentally friendly would strengthen the image of British Airways and help build their brand. This would result in increased market share, from more customers and higher profits as a result. https://phys.org/news/2018-08-effect-global-aviation-environment.html https://medium.com/yieldr/7-small-and-profitable-ways-airlines-can-be-more-eco-friendly-61f705990c5d

Competitive

The UK Government competition policies regulate the market to ensure that organisations in any industry compete with each other in a fair environment. Competition policy means that British Airways have to keep its services appealing to customers by ensuring their prices are attractive to customers. Competition policy urges against any type of unfair advantage to large organisations, meaning that British Airways have to rely on their quality of service to gain brand loyalty and repeat purchase. This, therefore, encourages the business to improve the quality of service it provides customers. British Airways were reportedly fined £270 million for collusion with Virgin Atlantic between 2004 and 2006. This clear violation of UK Competition Policy would results in an obdurate poor image for the organisation and the company would have likely had decreased sales and therefore a decline in profits and market share for the business. http://news.bbc.co.uk/1/hi/business/6925397.stm https://www.telegraph.co.uk/finance/newsbysector/transport/9213267/British-Airways-fined-58.5m-for-fuel-price-fixing.html

The airline industry is a highly competitive market, in particular, the European Market which could adversely affect the profits and market share of British Airways. Increased competition from Budget Airlines such as EasyJet and Ryanair may mean that British Airways are likely to have to drop their prices in order to remain competitive. Heathrow airport is set to expand through a third runway and with it, Virgin Atlantic wants to expand gain presence at the airport and have said that they want to be the “second flag-carrier” for the UK. This increased competition means that British Airways would be under increased pressure to improve their quality of service. Having a second flag-carrier would mean that consumers pay lower prices for tickets, but British Airways profitability may be at risk considering they have to charge lower prices to customers. It may also mean that Virgin Atlantic may take over some flight routes that were previously run by British Airways, which means that British Airways’ chances of survival are decreased and their overall market share may decline. https://www.twoflagcarriers.com/second-flag-carrier https://www.theguardian.com/business/2019/sep/17/virgin-atlantic-british-airways-heathrow-flights-dominance

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