The Direct Control of the Organization Coursework

The Direct chasteness of the Organization - Coursework ExampleAs a part of this assignment, the researcher will be primarily psychoanalysis the macro-environment of Virgin planetaryUK in view of highlighting the factors that affect its st commitgic decisions. Political Factors Corporate revenue rate is a factor that affects the financial performance of a company significantly. The corporate tax rate in the UK during the time period 1999 and 2007 was 30% which was considerably higher than the corporate tax rate put down during the time period between 2008 and present (Trading Economics, 2014). The amount paid as corporate tax down(p) the leeway of profit realized by Virgin Mobile in between 1999 and 2007 however, the company assuage managed to be highly profitable. Virgin Mobile UK targeted the prepay customers within the age group 18-35. It enjoyed the advantages of mobile earphone subsidies which gave them a three months payback as opposed to a three years contract. This reg ulation turn out to be immensely beneficial for Virgin Mobile UK and was evident in the increased profit margin for the company. Other political factors that influenced the Telecom industry in the UK which in turn affected Virgin Mobiles strategic decisions are The present political scenario in the country facilitates an environment of deregulation. As a result of that, the intensity of competition in the UK telecommunication industry has amplified by a significant margin. The populace of a highly competitive environment has also increased the bargaining as well as negotiating power of buyers. Similarly, due to the deregulation from EU front, the mobile market in the UK is expected to face exorbitant competition from telecom companies based in other countries within Europe. According to the predictions of the company, the political factors in the UK telecom industry will be in favor of the company in the upcoming years.As far as the challenges faced while conducting the internal environment analysis is concerned, word count proved to be the curtail factor in this case as well. The research could not explain the key fruit resources of the company in depth and detail. In addition, other tangible assets that form the part of a companys key resources could not be incorporated into the analysis. Furthermore, there was no scope for conducting any proportional analysis. A comparative analysis with a competing company could have induced robustness within the research, but the scarcity of data prevented the researcher from conducting any such analysis. The financial performance of the company was also not evaluated properly. However, the same was needed in order to ensure that having appropriate resources and capabilities did benefit the company as had been mentioned in the case take on analysis.