1. AS90844: EXternal pressures on A Large Business
STEEPLE
political influences (changes to government policy, trade unions and employer associations)

2. External Environment
External Environment – everything outside of a businesses control
Businesses need to adapt to changes in the external environment
Businesses that adapt too slowly lack sustainability (social, economic, cultural & environmental)
If external events are not taken into consideration it can lead to poor decision making

3. Steeple ANALYSIS
Understand the wider factors in the business environment
Social Technological Ethical Environmental Political Legal Economic
Collecting information about these external areas
How they affect the businesses internal operations
How they affect the overall objectives
Identifying how businesses should respond

4. STEEPLE ANALYSIS: WETA WORKSHOP Workbook pg 62
Societal Factors WETA Group:
Fantasy & Sci Fi popular genres
Technological Factors WETA Group:
New software allows efficient production
Economic Factors WETA Group:
Grants available for Film Production companies in NZ
Political Factors WETA Group:
NZ Govt very pro business and foreign investment
Legal Factors WETA Group
Intellectual property law similar ot other film producing nations – US / India
Ethical Factors WETA Group:
Controversy over employment law exploitation of film workers

5. Political influences Political policy comes from ideology
Political belief pro business (private ownership) in NZ
Policies affect business – subsidies and taxes for business

6. Political changes
Governments can change policies as the best way to manage society and the resources within. This may directly or indirectly affect businesses
Taxation and Government spending
Subsidies, duties and tax break

7. Government Influence Support Business Constraint against business
Grants in less developed areas
Advice
Subsidies for key industries
Protection against foreign competition
Finance for key failing industry
Constraint against business
Taxation
Legislation – goods and service and ways of doing business
Licencing
Competition Laws – anti monopoly

8. Business Responses
A business has to respond to the changes a government may implement.
Changes may affect the business internal operations
E.g. tax increase lead to increase in costs – to offset a business may need to make redundancy
Bigger responses may lead to a change in direction or strategic objectives

9. fINALLY……. Key Terms Workbook reference STEEPLE analysis Subsidies
Taxes
Policies and Legislation
Local National Government
Government spending
Pages , 71-73