Business Environment Assignment with Kingfisher Plc (GC01757)

1.0 Introduction

Innovation and technology have modernized effects on the business firm. Moris (2018) stated that CSR activities are also needed to protect stakeholders and ensure good brand equity in the market. This paper is based on the case study of Kingfisher Plc to evaluate the necessity of innovation, technology and corporate social responsibility on business growth and sustainability. Task 1 explains the innovation and technology types and the effects on the economic progress of the country and business organizations. Then, this task also shows the impact of innovation and technology on operations, sales and the profits of Kingfisher Plc. Task 2 contains the importance of CSR for Kingfisher Plc. This task evaluates and applies Archie Carroll’s Pyramid of CSR on the Kingfisher Plc.

Task 1

1.1 Different types of innovation and technology and how they have impacted the economic progress of the country, with particular emphasis on business organizations

1.1.1 Define innovation and technology

The term “Innovation” means the additional process of creating new patterns, methods, concepts for producing and distributing new products and services to satisfy human needs (Boddy, 2017). It is also termed as the new combinations to produce something new. Innovation is something new that is good for the market and society. According to Campanella (2019), Technology indicates the methods, techniques, methods, and processes for producing products and services. Technology also helps to meet the special needs and demands of society people.

1.1.2 Different types of innovation and technology

Innovation and technology can be categorized under different categories. Firstly, innovation can be classified into four types including incremental, disruptive, architectural and radical (Lopez, 2017). Jaraji (2017) stated that incremental innovation is used to innovate something in a progressive way. According to Kinnear (2019), technology is also classified into communication technology, entertainment technology, medical technology, education technology, product technology and construction technology. Communication technology is used in every communication channel to create effective communication (Needle, 2018). Entertainment technology is used to entertain the people whereas medical technology is used to develop the medical instrument and health care development (Kinnear, 2019). The product technology is used to produce and improve the products and services (Kinnear, 2019). The construction technology is used to build up a large infrastructure system of a country.

1.1.3 Practical examples of how innovation and technology have contributed to the economic growth of the country

Innovation and technology have modernized effects on the business firm. Hengsberger (2017) stated that the business firm needs to emerge the digital innovation and technology for getting the opportunities and mitigating the threats and challenges of the market. Firstly, Innovations assist in ensuring economic growth by helping the business firm to increase the rate of productivity (Hengsberger, 2017). The innovation helps to increase the level of performance of the employees by which the business firm can easily produce more products and services with lower cost and effective way (Hengsberger, 2017). Innovation also helps to develop new and creative products for the customers by which the changing demand of the customers can be managed. Due to the effective innovation system of a country, it is easy to create a combination between market demand and available products.

Therefore, the market condition can be improved that ultimately increase the economic growth of the country. Campanella (2019) stated that Technology also helps to develop new patterns of methods and techniques to increase productivity and offer good quality products to the customers within fair costs that develop the standard of living of the society. Morrison (2017) noted that technology also creates the opportunity for business firms to increase the development of the market and the whole economy by creating employment opportunities, increasing cash flows, and meeting the customers’ demands. The market and standard of living of people of the country can be improved by technology that helps to increase the economic growth of the country.

1.1.4 How business organizations use new technologies in their operations

The business organization uses new technologies for various purposes especially to maintain the business operating activities. Boddy (2017) stated that Artificial Intelligence (AI) is one of the important innovations of the modern age by which business firms can run business functions. It helps to run the production, distribution, and accounting functions of the business accurately. Kinnear (2019) stated that Machine learning is another technology in business firms by which business firms can run their production and distribution with the help of machines. Chatbots are also used in business firm to create customer relationship development (Boddy, 2017). At present, Robotic Process Automation is also used in business firms to operate the production, distribution and other operating activities of the business. The internet platform is also used by the business firm to ensure effective communication and advertising platform of the products and services (Boddy, 2017). Email marketing, social media marketing and video marketing systems are also used by the business firm to increase sales, profits and growth of the business.

1.2 Practical illustrations of how innovation and technology have impacted the operations, sales and profits of Kingfisher plc

1.2.1 Overview of Kingfisher plc

Kingfisher plc is a British multinational retail company. The headquarters of this company is in London. This company has also offices in the UK, France, Poland and also Romania (Kingfisher Plc, 2020). The firm was established in 1982. At present, this retail firm has 1,300 shops throughout the nine countries. The key people of this company are Andy Cosslett and Andy Cosslett. The main products of this firm are related to home improvement products including home appliances, tools, home furnishings, hardware, and garden supplies & plants (Kingfisher Plc, 2020). In 2019, the revenue, operating income and net income were £11,685 million £573 million, £218 million respectively (Kingfisher Annual report, 2019). This company has provided services to the customers by 79,000 qualified staff (Kingfisher Plc, 2020)………………………..