Identify What Is Happening in the External Environment in Terms

thither be trine external component parts that usurp backing Political, Legal and Social. Political f puzzle outors invite semipolitical stability, giving medication support, levyation and rail support. Legal f mouldor involves things some(prenominal)(prenominal) as utilization rightfulnesss, consumer laws, it also influence attitudes such as healthy eating. Social factor involves culture, age, ethics, attitudes etc. Political factors An activity relate to political sympathies policy and its administrative practices that tail assembly guide an effect on slightlything.Most barter operators will keep a zippy eye on any political factor, such as new statute law or regulatory shifts, which could have a substantial impact on how their telephoner black markets and its bottom line. Political decisions involve qualification choices that feign large figure of great deal and bank line. political relation support for different types of organization- regime su pports different organizations in different ways. at that place atomic number 18 ternary types of organizations- private, public and not-for-profit/voluntary.In private sector, government tries to create an environs where descent can compete. In the nonprofit organization/voluntary sector, government support business by giving various grants and tax reliefs. In the public sector the government covers the losses made by government owned organizations. Governments use taxation to set ahead or warn certain sparing decisions. For example, reduction in taxable own(prenominal) (or household) income by the amount paid as interest on home mortgage loans results in greater construction activity, and generates often jobs.Government also coifs high taxes, for example they put high taxes on cig bettes and alcohol to discourage smoking and drinking, and high taxes on send outside(a) to reduce pollution by reject flock of driving cars so much. Government also tries enhancing the skills of the population. They enhance education and rearing help to increase skills of working population. They bequeath a range of training and creates the educational framework including different types of qualifications, such as Apprenticeships and NVQs. Legal factors Business must operate within the framework of the law.There be three laws that affect business Company law- how business set up and run, Contract law- ignores that business shed with suppliers, employees and etc, and Competition law- how business argon allowed to comp be with each other. The Contract police is a set of rules governing the relationship, national and validity of an agreement between 2 or more persons regarding the sale of goods, preparation of wait ons or exchange of interests or ownership. The reason for this is due to the big number of examples in which contracts can arise in everyday life.Contract law is law that governs oral examination and written agreements associated with exchange o f goods and services, money, and properties. It includes consumer protection and employment law. Consumer protection involves Sales of Goods Act, this act promoter that the retailers have to sell goods as they are described and satisfactory quality. It operator that market should describe the product accurately. These laws are aimed at safeguarding consumers by ensuring that goods offered for sale are sensibly safe, and meet certain standards of quality to make them fit for their intended use. The consumer credit act this applies to business who sells goods on credit, or companies that pass on money. Business need to be authorise by the Office of Fair Trading. This act wants business to give their customers updates on their bet regularly. If the customer falls behind the reciprocatements the FOS whitethorn extend the time for the customer to repay their debt. Employment law means that employees are also protected at work. The contract of employment should include names of twain(prenominal) parties, job title and description, minute of arcs of work, wages etc. Social factorsAre factors that influence individuals personality, attitudes and lifestyle. Demographic issues, when a population of a country is rearing, at that place is an increase in goods and services and multitude available to work. Changes in structure means aging population. When the number of older lot increase fast the demand for some goods increase, for example wheel chairs, anti-aging creams, world cruises etc. Household and families, there are increase number of single-person households in the uk. The average wedding ceremony age is increasing aswell and many people now live alone.Education- the level of education is very grand nowadays. In or so all industries employers are expecting employees to have a good information about technology, and have good skills at the job theyre doing. Attitudes to work influence relationships between employers and employees. Britain has real a long working hours culture compared to France and Italy. How external factors affect McDonalds in the UK and Lithuania McDonalds is the world largest twine of fast nutriment restaurants with more than 30000 restaurants armed service 52 million customers in more than 100 countries each day.McDonalds chiefly sells hamburgers, cheeseburgers, chicken products, french-fries, breakfast items, soft drinks, milkshakes and desserts. more than recently, it has begun to offer salads, wraps and fruit. Each McDonalds restaurant is operated by franchise, an affiliate, or the kitty itself. The crapper revenues come from the rent, royalties and fees paid by the franchisees, as well as sales in company-operated restaurants. McDonalds revenues grew 27% over the three years ending in cc7 to $22. 8 billion, and 9% growth in operate income to $ 3. billion. Within the UK there are near 1200 restaurants employing over 85,000 people. In Lithuania there are practiced 9 restaurants employing le ss than 200 people. Political factors In the UK McDonalds main opponents are Chippy Shops, Subway and KFC. McDonalds always needed to get over competitors carefully. Thats way the factor related with competitor same(p) competitors product quality, service, price competition, market, sales, growth everything impacting McDonalds. In Lithuania the only competitor for McDonalds is Hesburger.There are not many fast food restaurants so there is not much competition going on. In both(prenominal) countries employees are impacting McDonalds because company is recruiting, training staff for company. It is not uncommon for McDonalds to be the employer of set-back resort for young people just entering the workforce, older workers desiring extra income, or for those planning on transferring from one corporation to another. So, employee is impacting McDonalds in this way. Legal factors In both counties McDonalds producing their product and they are serving those at present to customers.Tha ts way the factor of product and service is impacting McDonalds. Product quality, product variety, quick and informal service, every things are important for company. Those got an important impact on McDonalds. Employment law also affects McDonalds in the UK and Lithuania. In the UK minim wage is Apprentice- ? 2. 65, under 18- ? 3. 68, 18 to 20- ? 4. 98 , and over 21- ? 6. 19. In Lithuania, there are not hourly wages, but the tokenish salary for everyone in Lithuania is 232 euro a month.People in England has more money to spend on fast food restaurants than Lithuanians due to a larger income, therefore McDonald restaurants make much bigger profits in the UK than in Lithuania. Social factors In the UK there are many more McDonalds restaurants than in Lithuania, mainly because of peoples Lithuanian people are more recherche on healthy eating than British people. Most of Lithuanian people grow their own vegetables and fruit they also like to buy organic foods from the market, and s tays away from fast food restaurants. McDonalds are not so popular in Lithuania as it is in the UK because of different coulture.