BM461 Global Business Environment Assignment from UK Experts

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1. With the improving economic forecasts – linked to UK inflation and monetary policy, labour rates and economic growth. Consider how government spending and fiscal policies will impact the local town and to what extent business investment will be needed giving examples.

Introduction

Manchester is among the most important industrial cities in the North of England, proficient at the fast pace of business development (Manchester City Council, 2023). Overall, the present condition of the UK's economic activity is more favourable, with decreasing inflation rates, changes in monetary policies, and emerging growth rate targets. Students using assignment help writing can effectively analyze how these changes impact the Manchester economy through governmental spending and fiscal policies, and assess implications for business investment in Manchester (Poku et al., 2022). It is recommended that the city continue to promote its economic growth to be economically stable and productive.

Economic Conditions

BM461 Global Business Environment Assignment from UK Experts

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Figure 1: Annual CPI and CPIH inflation rates rose for a second consecutive month

There is an economic recovery in the UK through a stabilizing inflation rate, from over 10 per cent up to 2024 to below five per cent (Gourinchas, 2024). This has enhanced the utilization of consumer money and reduced various costs within operational units. The operations of the Bank of England's financial policy, which involved raising interest rates to curb inflation, have inspired more stability of the business and, therefore, economic stability (Bank of England, 2024). These national measures meant an uplift in the retail industry, more property construction, and upbeat tourism in Manchester especially.

However, challenges persist. Constraints by human capital shortages in certain areas, such as technology and construction, are also an issue (Abioye et al., 2021). This is through wage inflation, where a competitive labour market raises the operational costs of employers, most especially in industries that primarily employ skilled workers (Akomah et al., 2020). Therefore, manufacturing companies operating in Manchester must embrace automation and train their employees to remain competitive.

Government Spending and Fiscal Policy

The UK government has vowed to improve public spending on infrastructure, which will inevitably contribute to economic development and cities such as Manchester (Gray and Broadhurst, 2023). Processes currently being launched to achieve such goals include the Northern Powerhouse project, which concerns transportation, digital environment, and development schemes (Martin et al., 2022). For instance, the extension of the Metrolink tram system improves accessibility, thus helping the city attract businesses and people.

Taxes and subsidies for SMEs and programs encouraging environmental sustainability offer challenges that allow companies to grow. All these measures correspond with Manchester’s vision to transform into a sustainable digital city (Rhodes, 2020). Nevertheless, these advantages can only be achieved if local authorities and businesses coordinate funding for such projects.

Business Investment Needs

Manchester’s economic development ultimately depends on the right investments in specific sectors. One main area that needs improvement is the digital infrastructure; increasing connections of high-speed internet and 5G will help technology start-ups grow (Mendonça et al., 2022). Similarly, sustainable practices/reusable technologies are required to comply with the existing legislation and market demands.

There remains a need to focus on workforce development efforts. To solve the problems of labour deficits, the Lyons economies must fund and support vocational training schemes and collaborations with learning establishments like MMU (Attaran, 2021). It must be noted that many of the efforts mentioned above can help develop the workforce for the new economy, especially in advanced manufacturing and renewable energy.

Public, private and other forms of partnership should be able to support these investments. For instance, the local council and private investors could jointly finance renewable energy (Olokundun et al., 2022). The result would be dual benefits, positively impacting the economy and the environment. The availability of cheap funds and government-backed grant funding will also be ways by which SMEs can expand and develop new products.

Recommendations

Enhance Collaboration: Build relationships between local administrations, companies, and schools to attract investment in facilities and human capital (Gohar and Nencioni, 2021).

Leverage Fiscal Incentives: Increase the visibility of collaborative local tax relief and grants to encourage local companies towards innovation and growth.

Invest in Sustainability: Offer specific financial support to spur companies' utilisation of renewable technologies while extending guidance (Gohar and Nencioni, 2021).

Support Digital Transformation: Develop information and communication technologies and support innovations to enhance organization productivity and attract investments.

Conclusion

Manchester now finds itself at a crossroads as Britain’s economic outlook brightens (Dangi et al., 2021). As such, the opportunities and challenges that characterise the city’s development will directly depend on where and how it invests in improving access to digital technology, more sustainable forms of development, and human resources (Pons et al., 2023). The collaboration between the public and private sectors is good for Manchester since it can form a strong economic base and improve its position in an ever-changing economy.

2. Assess how AI has and will continue to impact the UK labour market and explain the benefits and limitations for a chosen business as well as considering the impacts on the internal business environment.

Introduction

Artificial intelligence (AI) is swiftly and continuously revolutionising organisations throughout the United Kingdom and altering the working theatre. AI is now rising in Manchester, which boasts an intense tech scene and a rich and varied business environment. The following report analyses AI, considering its effect or contribution to the labour market in the United Kingdom, the advantages and disadvantages of a chosen organisation and the impact of the analysis as a result of considering the role and significance of AI in the internal business environment (Sharps, 2024). Best practices are offered to ensure that companies apply AI optimally while meeting underlying difficulties.

Impact on the Labour Market

Figure 2: AI skills' relative penetration rate worldwide 2015-2023, by region

The use of AI is having tremendous impacts on the labour market in the UK through the provision of improved efficiency through automation of tasks, data analysis for decision-making purposes, and the creation of new jobs in technology analysis, among others (Wang et al., 2024). Specialities in the production line, supply chain, sales, and customer care departments gradually decrease due to automation, while technical competencies in technical trades and industries are rising. For instance, the advancement of the use of artificial intelligence in customer service through chatbots has replaced conventional positions (Saba and Ngepah, 2024). However, creating a market for artificial intelligence system designers and data analysts.

Sectors such as healthcare, advanced manufacturing, and retail have experienced high levels of automation and data utilization in Manchester (Ahi et al., 2021). For example, intelligent diagnosis can be applied in the healthcare sector to enhance patients' lives, and analytical prognosis can be used to improve the production method of the production line. However, the switch brings problems such as calls for skilled labour and layoffs of operatives in the low-skills category (Babu et al., 2021). Filling these gaps through reskilling and education is vital to achieving inclusive and adaptable workers.

Benefits for Businesses

AI greatly benefits companies by increasing business performance and productivity, decreasing expenses, and providing competitive advantages (Czarnitzki et al., 2023). For instance, a mid-sized retail business in Manchester can benefit from applying AI to understand consumer behaviour and how to effectively target them. Inventory control reduces general wastage while using algorithms for forecasts means businesses can easily predict market movements rather than using guesswork (Visconti et al., 2023). The application of AI in customer service through chatbots and virtual assistants improves the quality of the service delivered since customers can get support at any given time of the day. These capabilities not only enhance the operational performance of the companies but also contribute to innovation and profits as the market advances.

Limitations and Challenges

The problems resulting from high implementation costs are that apart from the cost of acquiring the right software to support the implementation of AI systems and the appropriate hardware to support it, there is also the cost of training the employees on how to use the software appropriately (Selvam et al., 2024). Moreover, technology has advanced rapidly with the profound penetration of artificial intelligence in organizations, which has raised the problem of scarcity of qualified human capital (Gao and Feng, 2023).

Internal Business Environment

AI integration affects the organizational internal environment in the following ways. It sometimes results in workforce restructuring due to changes in demands and expectations from the employees, from labour-intensive jobs to knowledge-intensive work (Gao and Feng, 2023). Such change results in higher levels of work satisfaction in some employees in their work setting, while we also note that others may experience resistance to change due to the possible loss of their jobs. AI also contributes to effective decision-making, enabling the business to get more relevant information to facilitate its decision-making about market situations (Antonio et al., 2024). However, to get the benefits from AI, there has to be a change in corporate culture which fosters innovation at the organizational level.

Recommendations

Organizations should embrace skills development to maximize AI's opportunities while minimizing risks (Perifanis and Kitsios, 2023). Hiring local universities and training providers can assist in providing solutions to many of these gaps and developing employees for higher positions. Executive Summary The use of artificial intelligence (AI) in the organization requires a phased approach involving trials to reduce risks and extend the application of AI in prosperous circumstances (Mishra et al., 2022).

Conclusion

Artificial intelligence is reforming the labour market in Great Britain and ensuring significant changes in the management of business processes. Although it has several issues like skills, ethics, and cost issues, all discussed below, this paper has found numerous benefits that turbo-charged companies in Manchester can tap into. Through workforce development, ethical procurement, and government incentives, opportunities embedded in utilizing AI can be exploited effectively without compromising the company’s organizational culture and premises.

References

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