Hi everyone, I am an aerospace engineering student and I have to take business studies, can someone help me??

Question

Hi can someone help me with this stupid business studies question I had??

Scenario: ABC is a UK subsidary of a Japanese company, as a managing director you want to ensure that your company is profitable, contributes to the UK Gross National profit, whilst ensuring that arrangement are in place for disposing of hazardous waste.

The actual silly question which I was clueless about: Describe how external factors and economic enviroment can have an effect on an engineering company. Describe how recession can affect an engineering company in the business of overhauling brake units for aircraft undercarriages. Outline some strategies which can be used to weather the influence of recession??

Please may someone help me with this question.
Thanks

Answer 1

Hi. In recession, many fewer people fly for pleasure, so planes land less ofter, so brakes and wheels last longer. A company with that single niche position would have less business. The same company would NOT have the problem if it also did automotive brake re-builds as well. Diversify is the message.