Cambridge Professional Development

Activity 12
An example lesson plan
Teacher: Date: Lesson: External
Environment
Subject: Business A level Group: Class size:
Nature of the Group, e.g. overall Context, e.g. topic; Previous and next learning
targets; learners with This lesson will be the start of considering the external
additional/ special needs/G&T environment. It will follow from the work done on the internal
etc. functions of business.
Please reference teaching
assistants in the learning The next lesson will compare and contrast different industries
activities or add a note here. (based on their homework) to focus on the importance of
analysing the external environment in context
LEARNING OBJECTIVES AND (where possible) LINK TO LEVELS/GRADES
What learners will know/understand/be able to do differently from when the lesson started
Broad Learning Objective to be shared with learners:
To understand that there are many factors in the external environment of business
To understand how to categorise these factors e.g. political, economic, legal, social and
technological factors
By the end of the lesson, all learners will (minimum expected of all learners in the group)
Understand that a business operates in an external environment
Understand that these factors can be categorised under different headings such as Political,
Economic, Social, Technological, Environmental
Be able to categorise some of the external factors
By the end of the lesson, most learners will
Be able to categorise factors accurately
Understand that these external factors can affect strategy
By the end of the lesson, some learners will (most able/those wishing to push themselves)
Appreciate that the relative importance of external factors can vary between industries
Be able to prioritise the external factors for a given industry such as cars
Starter / introduction Assessment
We begin with a focus on the internal actions a business can take to increase its Questioning
profits. This is to recap what has been covered before. Learners stand up and
are asked to suggest different ways in which a business might increase its profits.
Have a pack of cards with three functional areas listed (marketing, operations and
human resources) – they pick a card and need a relevant idea from that function
and they explain how it increases profits. If they get it right they sit down and
nominate the next person to be asked. If they get it wrong you nominate the next
person and they carry on standing. Keep the game quick moving - if they hesitate
they lose - and adjust your questioning according to who you are asking and how
time is going.

Activity 12 1
 Main lesson Activity
From the starter we have seen that there are many internal actions a business including peer
can take to increase its profits. However, businesses operate within an external review
environment. Explain this with a few current examples. In this lesson we will
examine the external environment of a selected industry (choose one relevant to
you country and known by learners). There may have been some significant
external changes recently that you could refer to.

Select an industry of your choice. For example, the car industry.

 Set up the room whereby different parts of the room have labels:
Political factors
 Economic factors
Social factors
 Technological factors
 Environmental factors
 Demographic factors

Each learner group should produce a list of at least 10 factors in the external
environment, relevant to the car industry. Learners add their ideas (e.g. via Post
It notes) under the relevant heading around the room. Each team to have a
different colour pen or post it stickers so it is possible to identify the contribution
of each.

When adding their ideas each team should look at the other ideas that are there
and, if they feel an idea is under the wrong heading they should move it. Watch
to see any movements.

When all the teams have finished, review their ideas. Ask any teams that moved
another team’s idea to explain why.

Now the teams have pulled together their ideas each team is to be given one
area to focus on. They should look at the list they have and rank the factors in
terms of significance for the car industry in the future. When each team has
ranked its factors they should feedback and justify their choices.

Now mix up the teams to create new ones. Each new team to review these
external factors and consider how they might influence the future strategy of
businesses in the industry.
Plenary
Discussion of findings from the activity. Bring out that:
 there are many different external factors and these change over time
 it helps to structure our analysis using the PEST framework.
Homework
Learners choose an industry for themselves and produce an external analysis of it on a piece of
paper that can be displayed in the classroom. Ideas should be organised under the headings of
Political, Economic, Social and Technological.

Notes e.g. literacy, numeracy aspects of the lesson

This activity helps develop analytical skills by using a framework to examine the external
environment (AO3) The ranking of the factors develops evaluative skills- especially if you ensure
they justify their choices) (AO4)

Activity 12 2