Applying SWOT analysis to Vauxhall as a firm bases in EU Essay

Applying SWOT analysis to Vauxhall as a firm bases in EU - Essay Example The foremost impact of political policies and regulations is seen on the socially responsible conduct of businesses in the region. Due to the increasing pressure of environmental activists and consumer groups, car manufacturing businesses in the region are forced by the political administration to manufacturer automobiles that are safer with minimum harm the ecological environment (European Monitoring Centre on Change, 2004). Additionally, the Political administration of the region also works together towards providing relief to automobile manufacturing businesses in the form of levies on taxes, easing recruitment regulations and providing incentives for incorporating social responsibility framework in business practices. The economic outlook of EU region is somehow unstable. There are countries in the continental alliance that are experiencing an economic downturn and are forced to provide bail-out plans to businesses in their respective countries. Spain and UK are the biggest example of financially unstable countries in the region. As a result, the purchasing power and spending trends of consumers in financially unstable countries of the region is reflecting a unfavorable trend. On the contrary, the car manufacturers in EU region are considered as a vital economic stimulator. This is because, in the manufacturing of automobiles, the manufacturers utilize other complimenting products such as textile output, aluminum, copper, steel, computer chips, iron, lead, plastic, vinyl and rubber. Considering this assertion, it can be said the car manufacturing is an important driver of the region’s economy (European Commission, 2009). The society in EU region perceives their vehicles to be reflecting their social status. Majority of the societies in EU region prefer vehicles that are environment friendly and designed keeping in view the