1. Business Markets and the Economy
Andrew Wheeler
2014

2. Government Policy & Local Business Markets
Your Local Enterprise Partnership has asked you to produce a report to help board members of the LEP better understand how government policy and LEP policy can influence business markets.

3. Your report needs to answer the following questions:
How does government influence the economy and business activity? (P4) 
How can the LEP influence local business markets? (P4)
 How are particular sectors regulated? (P6)
 For our LEP (New Anglia), please explain regulatory implications for the following sectors:
Energy
Farming
Alcohol
Food Production (P6/ M3)

4. Later on…. Why are these markets regulated more than others? (M3)
Should the LEP be concerned about Europe? (P7)
How do EU decisions affect businesses? (D2)
What are the implications for the LEP?
Finally, please provide an evaluation of the effectiveness of regulatory regimes in one of the key New Anglia sectors.

5. Grading Criteria
P4 describe the role of the government in influencing the economy and business activity
P6 describe how business
markets are regulated in the UK

6. Grading Tips
To achieve P4 you need to describe the range of government policies that exist and influence business markets. Emphasis should be placed on local business markets and those policies which most impact on local business markets.

7. Grading Tips
To achieve P6 you need to consider how governments intervene in markets to regulate them. Intervention can be through taxes and subsidies which are designed to distort the market to achieve specific objectives.

8. BTEC Unit Content Understand how markets are regulated in the UK economy
Role of government:
Competition Commission
Privatisation
Market failure
Private Finance Initiative
Justification for intervention
government policies:
Market regulation
subsidies
Deregulation
taxation
Unfair competition
Competition policy

9. Later… (P7)
International factors: European Union; the single market (free trade, harmonisation, capital, labour, technical standards, simplified trading); monetary union; social chapter.

10. How does government influence the economy and business activity? (P4)
Taxes
Competitions
Interest Rates
Sector specific interventions
Subsidies
Grants
Regional Incentives
Export Missions
Regulations
Promoting Tourism
Training Schemes
Minimum Wages
Enterprize Zones

11. New Anglia Local Enterprise Partnership
How can the LEP influence local business markets? (P4)
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13. Business Markets and the Economy
Andrew Wheeler
2014