Analyse political legal and social factors on both business Essay Sample

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Social factors can have an impact on both businesses (McDonalds and Peugeot) because there could be many different reasons but the main reason that will affect both businesses is the statistics, the website states that the population rate in UK economy is 49,138,831 where as the website states that the population in France Economy is 62,150,775. When the society starts to have changes in Population, Religions and Cultures it has a impact on the market where the business have to operate on. Because the Population in France is higher then UK, this means that more buyers will buy more (Peugeot) products from France. Due to the fact of UK economy which has a lower population this means less consumer will buy (McDonald’s) products.

Even thou McDonalds and Peugeot are both worldwide businesses this means the customers will have occasions to consume and access easily, Since McDonald and Peugeot are worldwide business this will have a impact on all there branches across the world by increasing there profits and sales.

Political Influence

Political factors can have a big impact on both business (McDonald and Peugeot) because there could be many different reasons, but the main reason that will affect both businesses is government making changes to the economy e.g. changing the tax’s system, fiance policy, vat and interest rates.

The UK government has increased the VAT by 5% from 17.5 % to 18.0% this will have an impact on McDonald because the customers will have to pay for the food as well as the vat. Due to the fact of this happening there will be less customers coming to McDonald daily.

The European government are cutting down on interest rates and taxes so consumers can pay less interest rates and taxes, so this means customers can pay for more expensive products from Peugeot this will benefit Peugeot because if customers buy more expensive products the company will make more profits and sales. Also the influence in France is 27% of cars are sold which 20.1% are Peugeot cars.

Legal factors can have a big impact on both business (McDonald and Peugeot) because there could be many different reasons, but the main reason is that both business will be affected if the law was not but in place. Because the law is put in place both business know that if they do not follow the law the will be consequences. Both businesses have a main law which they have to follow as being part of the company.

McDonald Main law is the health and safety act 1974 is to ensure the health and safety, The health and safety act provides the framework which ensures that all employees are safe in any kind of activity. Also this act provides the health and safety of anyone who is going to be affected by the work activity e.g. customers and contractors ect.

Peugeot has to follow the term and condition which has 3 main rules which the company must follow, Peugeot motor company plc is authorised and regulated by the financial service authority which the company must follow to make the law easier for the company.

Both of the business follows the data protection act because they have to keep all files locked away with a password due to fact no outsider can have access to these data on the computer. If employees don’t keep there stuff confidential there could be problems for the employees at work, this could lead to losing there job if the problem get out of hand. Also so it is the employees job to keep there stuff confidential so there is no problems at work for them, another thing it is very important all employees trust the company and keep all the secret schemes undercover.

Also both business have a manual handling so they can ensure they don’t have no one injured, they have the manual handling act because they can ensure all employees have picked the right equipment and stocked everything properly without injuring themselves. It is essential that all employees are working at manufacturing area which they apply the manual handling.

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