Compose a 750 words essay on A formal business letter to the Chief Executive of Arsenal FC. Needs to be plagiarism free!The major external environment forces include.Based on the PESTEL model, Economy

Compose a 750 words essay on A formal business letter to the Chief Executive of Arsenal FC. Needs to be plagiarism free!

The major external environment forces include.

Based on the PESTEL model, Economy is one of the external forces that influence business practices of Arsenal. Change in the UK economy may present both the positive and the negative results to Arsenalii. Therefore, business activities and strategies used by the club should acknowledge the influence of UK economy in the club’s business activities. Growth in economy may present various opportunities to the club. On the other hand, decline in economic growth during instances of recession affects the club’s business objectives in a negative manner.

Favorable economic environment is strength to the club. Arsenal generates a substantial amount of income from match ticket sales. In 2011, the audit company, Deloitte, ascertained that the club earned £93.1 million from ticket sales. With respect to the underlying external factor, ticket purchases depend on the prevailing economic environment. Recession results in low ticket sales. On the other hand, a boom in economy increases ticket sales. hence a subsequent increase in ticket revenue.

In addition, economy affects the club’s commercial activities. Sale of property and other merchandise depends on the state of UK economy. Since the club owns property, which includes houses, recession results in poor sales of property. On the other hand, improvement of economy makes fans to buy more merchandise and homes.

Finally, the UK economic environment influences player value whereby growth in economy results in a subsequent increase in player value. Consequently, the club may not be in a position to sustain quality players due to exorbitant wagesiii.

Technology is another external force that influence business practices of Arsenal. In the contemporary business platform, technology plays a significant role in communication. In this regard, Arsenal adopts modern technological tools in conducting some of the business