94 Gosford High School ASSIGNMENT/ASSESSMENT TASK COVER SHEET Please attach this signed cover sheet to every assignment/assessment task you submit. Surname: Agarwal Given Name: Khushi Subject: Business Studies Due Date: 02/03/2021 Teacher: Ms Gray Task Title: The Nature of Business Date of submission: 02/03/2021 All My Own Work 1. Acknowledgement of Sources by compiling a bibliography One of the most important elements of good practice involves careful acknowledgement of the ideas of others used in your response. This acknowledgement should occur in your answer at the point where you use another’s ideas (e.g. Jones, 2007, p.92, i.e. author’s surname, date of publication, page) and in a bibliography at the conclusion of your response. 2. Avoiding plagiarism / collusion Plagiarism involves using the work of another person and presenting it as your own. These are some ways you would be plagiarising, unless you have clearly acknowledged your source: • Copying out part(s) of any document from any source, including the internet; • Using someone else’s ideas or conclusions, even if you have put them in your own words; • Copying out or taking ideas from the work of another student/tutor/other source, even if you have reworded / reworked some parts. DECLARATION: I have read and understood the All My Own Work statements above. I certify that this task is entirely my own work and that I have fully referenced all my sources. I have read and understood the Gosford High School Assessment Policy. Student Signature/Confirmation: Khushi Agarwal Date: 02/03/2021 PART B: BUSINESS REPORT Executive Summary: This business report for Silk, an Indian handmade attire business, aims to explore external influences that impact a business during its establishment phase, as well as provide advice on how to overcome them. There are many considerations to be made when opening a handmade Indian attire business as a sole trader. This business is a combination of the secondary and tertiary industries since it involves turning materials into goods and selling them. Due to Australia’s multicultural atmosphere there is great chance of success. External influences are important to consider when starting Silk. These influences are outside the control of a business and can impact long term as well as daily operations. The external influences that will be explored include: ➔ Geographic ➔ Social ➔ Economic. Geographic Influence The first influence on Silk is geographic. This is when changes to the demographics of Australia’s population influences the markets. Demographics include age, sex, income and cutural background. This can influence a new business through the suitability of goods or services for the “types” of customers. EXAMPLE As stated by news.com an example of a business that has adapted to geographic influences are telecommunication companies. They adapt on the basis of rural or urban areas due to the advances in technology and hence changes in network accessibility. Many rural communities can only get 3g network whereas urban areas have access to 5g network. In order to adapt so it's fitting for everyone they have a variety of plans depending on your suitability and they’re trying to make 4g network available everywhere which means they can stop providing 3g. STRATEGY For a shop selling Indian attire, the demographics will influence the details of the attire that’s sold; size, styles of clothing and colour. In order to adapt the business to fit with this influence, alteration of the products could be required. For example in a community where there is a higher percentage of South Indians, the specific variety of Indian attire will be needed. Or in a community where there is more of a “white” population, Indian attire will require a western touch to appeal to more people. Social Influence Society’s expectations are that a business will improve their quality of life. In order for a Silk to gain success it needs to be aware of the changes in their community’s opinions, needs and attitudes. This includes any “trends” such as fashion, tastes and culture. It is also required to behave ethically and support what the majority believes to be right such as the protests for black lives matter. EXAMPLE One example of a socially impacted business is ANZ. According to the guardian this bank took into account society’s changing views on climate change and adapted their business to support the morals of the community. This means they supported businesses that were environmentally friendly and refused to provide loans to businesses that had a high fossil fuel usage. STRATEGY In order for Silk to keep up socially it must ensure all or most it's materials are environmentally friendly and ethically sourced. It also must keep up with the constant changes in fashion styles. Especially since this business is Indian style clothing, it must keep up to date with the different patterns and styles that come up in India so it can keep the cultural sense. Economic Influence Businesses are constantly influenced by our changing economy. The release of a new smartphone to the outbreak of a global pandemic, all of it can impact our economy’s movement. There are 6 parts to the economic cycle; boom/peak, bust/trough, expansion, recession, depression and recovery. A new business needs to look at the current position of the economy as well as the demand and expenditure so the profit could be estimated. EXAMPLE For example, the travel industry has been majorly influenced economically due to Covid-19. As claimed by 9 News, Qantas and Rex Airlines have had issues between them due to the recovery of losses required in order to keep their companies running. In order to come back from this influence Rex opened up new flights that travel with NSW so more money could be made while sticking in the restrictions. STRATEGY For Silk to stay on top of the economy it is important to learn about the demands such as during Covid when work from home devices was a necessity. The prices would then have to be adapted in order to work with the demand for their goods. At the start these prices could require changing around to figure out what fits but then could stay fixed until major economic movement occurs. This business could also add accessories such as jewellery to boost sales. In order to open up a successful Indian attire business it is important to take into account the different ways a business can be impacted from outside factors as well as ways to adapt your business to fit with these influences.
