2. How current trends will impact on a
start-up business
Social trends
o Population changes
o Households and family
o Education
o Labour market
o Travel for work
Technology trends
o Increased use of ICT
Environmental trends
o Increase in renewable energy
Ethical trends
o Values of customers

3. Population changes
o As shown by the graph, the population in Birmingham is currently
growing at a fast rate. This is good for businesses as it means that
there is constant potential new customers. It also means that there
will be no shortage of people to employ to work for the business.
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2
4
6
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10
12
male
female

4. Households and families
o Changes in the household and families will effect
different businesses in different ways. For example, if
there are a higher proportion of families in an
area, businesses in the leisure sector may be more
successful. This is currently Birmingham’s household
situation:

5. Education
o The more educated a country is, the more sophisticated (and
generally higher paying) the jobs are. By extension, the better the
jobs, the wealthier the country because there's more money that
can be spent. In Birmingham, each year there is an increase in
students achieving GCSEs and A-levels. This leads to higher paying
jobs and more disposable income. This will therefore have a
positive effect on business.

6. Labour Market
o The labour market is the name given to the market in
which workers find paying work, employers find willing
workers, and wage rates are determined.
o The unemployment rate in Birmingham is currently:
This means that finding
employees that will work
at flexible hours should be
successful. With the
education also increasing
in Birmingham, the skills of
these people is also likely
to be high.

7. Travel for work
o People are now travelling further to get to work. This is shown
by an increase in the use of public transport and also personal
cars. This is good for business start up as it means that they can
advertise jobs further afield if they do not find appropriate
candidates living in the local area.
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20
30
40
50
2000/2001
2001/2002
2002/2003
2003/2004
2004/2005
2005/2006
2006/2007
2007/2008
2008/2009
2009/2010
2010/2011
2011/2012
2012/2013
Series 1
Series 1

8. Increase use of ICT
o There has been a significant use of ICT. This is good for
business as it is easier to advertise the business and
communicate with potential customers. This may then
lead to reviews of businesses being published and
therefore the business will grow it’s reputation

9. Renewable energy
o Businesses that can demonstrate that their energy comes from a
renewable source will be exempt from the climate change levy –
meaning that they will pay less.

10. Values of the community
o Ethics and values of the local community may have a
different effect on different businesses. These ethics may be:
o Carbon footprint – People are currently concerned about the
impact of the carbon footprint on the environment. A business
will therefore need to make sure that they try to use
renewable energy and have little wastage.
o Animal welfare – This is also an issue which customers may be
concerned about. Any materials or food products sold need
to meet animal welfare regulations.
o Contribution of business to the community – Some people
want to know the different the business is making to their
community. Businesses may therefore want to invest in charity
work and show employment