Outcome 1 Business Culture Essay

1815 Words Jan 1st, 2015 8 Pages
Assessment Task 1
Outcome 1
Introduction
Alphabet Games small company based in Scotland which develops software and games. The business was formed in 2001 by three companions with a passion to develop games and software which has resulted in it becoming a multi-million pound business. The aim of this case study is to identify four forces which may affect Alphabet Games using a recognised analytical framework. A SWOT analysis is to be carried out in order to analyse and illustrate the relationship Alphabet Games has with the external environment. A set of guidelines for carrying out a SWOT analysis is to be prepared to enable the senior managers at Alphabet games to carry out an effective SWOT analysis.

Task A
The four forces
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Alphabet Games are also affected by the labour laws as they must meet all legislation set out by the government with regards to policies such as Minimum wage, health and safety and contract of employment as failure to comply with such legislation could have severe consequences for Alphabet Games.
Alphabet Games will also be effected buy legislation such as age ratings for games and software. This would mean they would have to carefully consider the content of the games in relation to violence and strong language and age rate them appropriately for example if a game includes violence they are normally rated 18 in order to prevent young children playing them and being amount of affected by the content.

• Economy
The economic conditions can have major effects on a business such as Alphabet Games as to how successful or profitable they can be. When all or part of the economy is growing there may be increased demand for the games or software which may not be there if the economy was depressed. If demand for games or software is strong and capital costs are low then investors will be more interested in investing into Alphabet Games as they profits are relatively high for the business. The inflation rates can also have huge impacts on a business such as Alphabet Games as it can make it more expensive to borrow money if required from a bank or leasing machinery from a creditor.

• Society
Alphabet Games might be affected by the ever

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