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BUSINESS ENVIRONMENT
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TABLE OF CONTENTS
INTRODUCTION................................................................................................................................3
TASK ...................................................................................................................................................3
1. Environmental factors..................................................................................................................3
2. Resources and capabilities...........................................................................................................4
3. Weaknesses..................................................................................................................................4
4. Potential to gain competitive advantage......................................................................................4
CONCLUSION....................................................................................................................................5
REFERENCES.....................................................................................................................................6


INTRODUCTION
Business environment consist of various factors that are related with the operational activities
of the business. People, resources, media, regulation of the government, economic conditions, culture
and values of the society are essential partof the enterprise (Alcidi and Gros, 2011). In current report,
the learning will focus on work culture of Qatar airways one of sister's firm which is named as
Information Technology Pioneers (ITP). In support of this, it can also be stated that the proper
understanding about the business environment and the management of Information Technology
Pioneers can have advancement in competitive aspect and lead business to impressive level of success.
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TASK
1. Environmental factors
As per the structured study, it can be asserted that there are number of environmental factors
that are needed to be considered by management of Information Technology Pioneers as it helps in
understanding key aspects of business. It is also beneficial to attain better competitive advantage and
provide impressive level of success. Political, economic, social and technological factors are the key
factors that can influence the business operational activities in diverse manner. It has been spotted that
the company operates its business from Qatar (Fernando, 2011). In this respect, the political factors of
Qatar are stable and it boosts the business opportunities for Qatar airways. Qatar is considered as an
emirate-type government and nation claims that they are focusing on development of constitutional
autocracy but the authorities will not allow any political parties to participate in elections. It means the
political criteria's are changing but the base of political structure is similar so the management of Qatar
airways can take benefits of stable political aspects in order to boost business opportunities (Shaikh,
2010).
Other than this, economic aspects within the nation are also optimistic that boosts the

effectiveness of operational activities. It has been spotted that the Qatar economic system is having
growth opportunities as it is one of the emerging market in oil and gas sector. It means company can
easily invest more in diverse operational activities to boost its business opportunities. Advancement in
economic factors is beneficial for business and it also increases the profit margin ratio of the
organisation. Moreover, social aspects are also very supportive for the management of Information
Technology Pioneers as social aspects consist of multi-culture (Hurn, 2011). It means the company
have easy access to various activities that can boost the expansion opportunities in the international
market. Other than this, Information Technology Pioneers focuses on various technological up-
gradations in order to boost operational effectiveness. Rapid changes in technological factors also
impacts the investment aspects in a negative manner but economic strength helps business to get over it
(Al-Khalifa, and Aspinwall, 2001).
If business organisation will not follow these environmental aspects in a most suitable manner
then company can face various issues which may impact the business in a negative manner. Other than
this, it can also be asserted that there are few other factors that can also influence the business
operational activities in a diverse manner. Classification of factors can be done as fundamental
resources, strengths, opportunities and weaknesses (Hamilton and Webster, 2015). In this respect, it is
also essential for management of Information Technology Pioneers to consider these aspects in an
effective manner. If key resources are not properly available for the business then it might be possible
that organisation can face various issues. This is because without effective allocation of key resources
any kind of sustainable operational activity cannot accomplished.
2. Resources and capabilities
In the support of this, it can be said that, the business firm is having easy access to the key
resources that boosts the organizational opportunities. Classification of key resources can be finance,
human resources, etc. It has been spotted that the management of ITP has easy access to financial
resources as economic system is stable. With an improved focus on economic system and political
support in context to finance, the business is having great opportunity. Easy accessibility to the finance
helps business to invest in various expansion activities (Budhwar and Mellahi, 2006). Moreover,
Human resource of organisation are well skilled and it amends the productivity of the business.
Company hire skilled human resources so that activities can be accomplished in most suitable manner.
There are various employees that belongs to diverse culture but due to multi-cultural aspects within the
nation and the organisation, they feel valued while working with ITP.


3. Weaknesses
It has been identified that the management of Qatar Airline and its sister firm ITP are facing
various issues due to improper consideration of weaknesses. In this respect, it is essential for business
firm to focus on its weakness so that innovative ways can be spot out to overcome issues (Qatar
airlines swot. 2015). One of key weakness of the organisation is that it has great reliability on the
international market. It is essential for the business to focus on global aspects but reliability cannot be
only on international market because it can be harmful for business (Ali, 2009). Other than this, it has
also been spotted that the company is having less market share and opportunities in the domestic
market so management mainly focuses on business expansion strategy to overcome these kinds of
weaknesses.
4. Potential to gain competitive advantage
As per the structured study, it can be said that the management of Qatar airlines and ITP has
various opportunities in the international market which will also facilitate business to gain better
competitive advantage. Company is currently operating business with effective financial conditions, so
while entering in the international market the management can focus on re-appeal and re-creation of
brand as it will create better awareness within the market (Sethi and Guisinger, 2002). It will also
impact the morale of customers in positive manner and leads business to impressive success.
Organisation can also focus on various marketing strategies as well as advancement in investment
ratio, so that better brand image can be created in order to attract more and more customers. It will
amend the customer base of the organisation and provide better opportunities to gain enhanced level of
competitive advantages.


CONCLUSION
As per the above study, it can be concluded that the environmental factors impact business
operational activities in a diverse manner. In support to this, it can be said that the political, social,
economic factors influence business in a diverse manner but in context of ITP these are the factors that
are providing great support to the business. It has also been spotted that the management also need to
focus on effective allocation of resources to boost business opportunities. Organisation can also
consider diverse kinds of marketing strategies and also focus on advancement in investment ratio of
advertising in order to create better brand image. It is also beneficial to attract more and more
customers.
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REFERENCES
Books and Journals
Alcidi, D. and Gros, D., 2011. Great recession versus great depression: monetary, fiscal and banking
policies. Journal of Economic Studies. 38(6). pp.673-690.
Fernando, A. C., 2011. Business Environment. Pearson Education India.
Shaikh, S., 2010. Business Enviornment. 2nd Ed. Pearson Education.
Hurn, B. J., 2011. Simulation training methods to develop cultural awareness. Industrial and
Commercial Training. 43(4). pp.199 205.
Al-Khalifa, K. N. and Aspinwall, E.M., 2001. Using the competing values framework to investigate the
culture of Qatar industries. Total Quality Management. 12(4). pp.417-428.
Hamilton, L. and Webster, P., 2015. The international business environment. Oxford University Press,
USA.
Budhwar, P.S. and Mellahi, K., 2006. Managing human resources in the Middle-East. Routledge.
Ali, A., 2009. Business and management environment in Saudi Arabia: challenges and opportunities
for multinational corporations. Routledge.
Sethi, D. and Guisinger, S., 2002. Liability of foreignness to competitive advantage: How multinational
enterprises cope with the international business environment. Journal of International
Management. 8(3). pp.223-240.
Online
Qatar airlines swot. 2015. [Online]. <Available through:

http://www.mbaskool.com/brandguide/airlines/347-qatar-airways.html>. [Accessed on: 2
February, 2016].


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Qatar airlines swot. 2015. [Online]. <Available through:

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