LD0473 Developing Global Management Competencies Assignment Sample
Introduction
The main aim of the assessment is to focus on the analysis of the key challenges and issues faced in the automobile industry. In addition, this report will present a critical evaluation of those challenges and issues faced in the UK Automobile industry.
The Automobile industry in the UK is one of the growing industries. The industry has shown 3.4% growth in the financial year 2018. Apart from that, there are certain factors that have an impact on this growth of the industry. This study will present those factors which are having an impact on the growth of the industry.
Critical evaluation of key challenges and issues faced by UK automobile industry
Key challenges
The fundamental test looked by the UK vehicle industry is the decrease in the offer of vehicles because of the effect of Brexit. The UK vehicle industry is vigorously influenced by Brexit and it has made the fare and import of vehicles the other European nations.
This circumstance has diminished the offer of the vehicle business. As referenced by Hatfield et al. (2016), this present situation in the nation has diminished the fares by about 1.2 million vehicles. Then again, in the event that the cost of the item diminishes, at that point it will upgrade the interest for the item (Just, 2018).
In this viewpoint, in the event that the cost of an item improves, at that point it will upgrade the gracefully of the item. In the event that this state proceeds, at that point, this will bring about vulnerability in the market; this will prompt a fall in the interest and offer of the organization.
As contended by Moghadam (2019), it is normal that the interest for the vehicle in the UK market could fall by 10%. The splitting ceaselessly of the UK from the EU has cost producers of vehicles practically more than 2.8 million deals in the following scarcely any years.
A drop in the conveyances of just about 200,000 vehicles on the planet is anticipated in the time of 2018. As indicated by Just (2018), before the effect of Brexit, the key area was seen by the UK for infiltrating the rest markets of Europe. New participants can build the assembling volume which has a danger of deals (Moghadam, 2019).
They can diminish the volume which is going to build the cost. Therefore, it is a colossal test, subsequently; the biggest vehicle makers in the UK have diminished their creation. For instance, BMW has diminished its creation by 11% that has brought about an incredible loss of the organization.
Then again, Ellington and Milas (2019) contended that the dynamic misfortune in the estimation of the pound can compel this vehicle organization to build the cost of deals.
The breakaway from the EU is relied upon to present various new difficulties in the flexibly chain of the vehicle business. In this way, it is clear that the effect of Brexit affects the flexibly chain of the organization. This circumstance has additionally put an effect on the fare and import of vehicles which has likewise brought about a fall in the creation.
Key issue
The benefit of the authentic pound has diminished in contrast with the US dollar. This situation has diminished the turnover of the UK based vehicle organizations. According to Berenson et al. (2018), the estimation of cash between two nations directly affects the pay earned by the organizations from fare and import. The effect of Brexit affects the valuation of GBP and US dollar.
In this bit, it tends to be seen that the repetitive change in the swapping scale of the GBP and US dollar represents that it has reduced the estimation of GBP regarding the US dollar. In any case, in the event that the estimation of GBP increases, at that point that will add to the arrival from the vehicle as it enlarges the cost of the vehicle in the US (Moghadam, 2019).
On account of import, it tends to be expressed that on the off chance that the estimation of the GBP decreases, at that point it will increase the cost of imported items from the US. Then again with an expansion in the estimation of GBP, the cost of the imported item diminishes.
This circumstance will expand the interest for remote items as the cost of those vehicles diminishes. These are the effects of the estimation of GBP against the US dollar on the cost of import and fare vehicles in the nation (Berenson et al. 2018).
Also, it is noticed that the estimation of the British real pound is more than the US dollar. Regardless of whether the estimation of GBP has declined it has not gone underneath the US dollar.
As referenced by Ridderstaat and Cores (2017), the hypothesis of buying power equality, it very well may be noticed that the inner value level of the UK is lower than the US dollar that is the cost if the pack of products will be subordinate in the UK contrasted with the USA. Further, it tends to be ensured that the pace of trade in the universal market builds up the inside value level of the nation.
This hypothesis indicates that the cost required distributing a lot of merchandise in the nation of origin coordinates to the value required to purchase that thing for utilization in an outside nation. As indicated by Berensonet al.
(2018), in this aspect, it tends to be seen that the successive change in the swapping scale of the GBP and US dollar signifies that it has diminished the estimation of GBP as far as the US dollar of the item.
The alteration in the conversion scale of the economy leaves an incredible hit into the fare and import of the assets. In this perspective, it may very well be seen that the estimation of the paper money gets to an indispensable job in the car business(Puah et al. 2018).
Moreover, it is estimated that if GBP decays then it will recoil the arrival from the deal abroad of the vehicle. The current situation additionally diminishes the cost of the vehicle in the USA.
In addition, when estimation of GBP grows, at that point it will help the arrival from the vehicle as it upgrades the cost of the vehicle in the US showcase. As contended by Puah et al. (2018), on account of import, it very well may be guaranteed that in the event that the estimation of the GBP diminishes, at that point it will support the cost of imported product from the US. Nonetheless, with an expansion in the estimation of GBP the cost of the imported thing for utilization diminishes.
The rapid changes in the technology create an impact on the expectation of the customers. According to Dhingra et al. (2016), consumer behaviour is an important thing that plays an important role in determining the demand of the products in the UK market.
In this aspect, it is evident that this rapid change has also resulted in an improvement in digital manufacturing. However, this situation in the economy has also created a competitive environment in the market, which also decreases the sale of some companies which can have an impact on the economy of the company.
The expansion in the nation greatly affects the costs of the item. An improvement in the pace of expansion prompts an expansion in the cost of the result of the nation. Along these lines this circumstance b the nation speaks to that it will upgrade the cost of a vehicle in the UK.
As indicated by the law of interest in the event, the cost of the item improves then it will likewise prompt abatement in the interest for the item, the other way around circumstance is additionally pertinent for the vehicle business. In the year 2016, the nation had an expansion pace of 1.74% (Puah et al. 2018).
This circumstance means that the pace of swelling in the nation is high. This likewise upgrades the cost of the item because of that the interest for the item additionally diminishes.
Conclusion
Based on the above study, it can be concluded that the sale of cars in the UK market has decreased significantly. In presenting this it has evaluated an analysis of key issues and challenges of the company.
Evidence has been given adequately to underline key challenges associated with automotive industry across UK. Besides, it has presented a critical evaluation of the challenges faced by the UK automobile industry. It has also analysed that the value of GBP has decreased compared to the US dollar.
Part B: Reflective Statement
Challenges and difficulties faced
The key challenges that I have faced is the communication gap with other employees and lack of self-awareness.The impact of Brexit has decreased the sales of cars and as a result of this situation it has also decreased the manufacturing of cars in the industry.
This has created an impact on the satisfaction of the employees which has also decreased the communication between them. I have faced issue regarding satisfaction which has also resulted in a reduction in the efficiency of me as well as other employees of the corporation.
Further as the export and import has decreased the situation has also resulted in a fall in the demand of cars in the market, which has decreased the wages of the employees and also leaves an impact on the standard of living.
Understanding the theory
According to this hypothesis of economy, theory ofsupply and demand of procurement and the cost of the items is conversely relative. I concur with the perspective on Prince (2017); it is a marvel occurring in the vehicle business in the UK. For instance, a vehicle firm in the UK has a fixed cost for another vehicle model.
Nonetheless, it is seen that in the wake of propelling the interest of the individuals for that vehicle is low as the cost of the model is high. I concur with the perspective on Zhang and An (2017), when the firm abates the cost rate then naturally the interest for the vehicles increments, the bend underneath shows the connection among request and cost.
I agree with the perspective on Bailey and De Propris (2017), keeping the value steady if different factors, for example, the flavour of individuals towards the vehicles change at that point change popular shows an upwards or downwards move. Assessing this bend the market elements of the UK vehicle industry can be investigated which can show the interest and cost of the vehicles.
Thus with the net change in the supply and demand of the product the sale of the product enhances our decreases. If the sale of the product increases, then it will have an impact on the wages of the employees.
This circumstance will likewise improve the interest for outside items as the cost of those vehicles diminishes. These are the effect of the estimation of GBP and the US dollar on the cost of the import and fare vehicles in the nation. Apart from that, the vehicle industrial facilities in the UK are confronting unsure fates that follow the vote of Britain for leaving the European Union.
An unsure period occurred during the discussions between the EU and UK over Brexit. Thus any abroad can be advanced by Brexit in the vehicle maker with developed plants of the UK.
A large portion of the carmakers can depart the UK because of an unsure future for Brexit. A couple of production lines of vehicles can be shut in the UK; this circumstance in the nation will likewise diminish the intensity in the nation. The vehicle plants and production lines which are controlled by Toyota and Honda are at conclusion’s hazard after Brexit. I agree with the view of Cappariello (2017), that Brexit has decreased the sale of the communication which also has an impact on the sale as well as communication of the employees.
Explanation for video clip
Based on psychometric test, it can be stated that in some areas, I feel that I am reasonably well, however, in other areas, I become unsure. Thus it creates the issue of miscommunication with colleagues in workplace as well as loss motivation to work.
I have capability to improve in workplace skills, that indicate the fact of positive career possibilities, however, I need to focus more on recognising own leadership skills and ways to handle team conflicts. In this regard, switching job or promoting to another position can be carried out within same field and for this proper job hunting plays an important role.
In this step, appropriate structuring of CV is important to make it appealing in front of most employers in a speculative and compelling manner and moving toward right direction. In this regard, having a strength or capability to be confident with work is helpful to me to hit ground running of job, exploring much resources and properly addressing issues in workplace.
Reference list
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Dhingra, S., Ottaviano, G., Rappoport, V., Sampson, T. and Thomas, C., 2018. UK trade and FDI: A post‐Brexit perspective. Papers in Regional Science, 97(1), pp.9-24.
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