Devonport Dockyard loss of power 'had nuclear implications' Essay

Devonport Dockyard loss of power 'had nuclear implications' - Essay Example The second reason is to clear Babcock Marine’s name and improve its name and its business relations not only with the customer at hand, but also with all the other customers. As Graham (2006) says, in such critical situations, communication is always the important to tone done any tensions and the lack of communication in this case indicates how unprepared the council is. CONTEXT ANALYSIS Market Analysis The nuclear sector is a very sensitive area because of the safety issues associated with it. As a result, most of the customers who are likely to hire Babcock Marine services are most likely to be meticulous about Babcock Marine’s ability and competency in doing its job. The number of nuclear powered submarines is also increasing and this is a big opportunity for Babcock Marine. As a result, Babcock Marine needs to position itself as the firm of choice when it comes to nuclear submarine servicing. PESTEL for Babcock Marine Political The main issue in the case is the iss ue of nuclear power for the production of energy, and the risks it poses to the public as well as the environment. According to Burton (1990), there are increasing pressures from both the government and other interested parties foe safety measures for in the nuclear energy production and this requires firms such as Babcock Marine to be able to come up with better ways to guarantee this. As the number of nuclear production planar and submarines increase, the concerns for risks associated with nuclear energy production is increasing and to be able to stand out in the market, Babcock Marine will have to come up with ways to improve its services. As Hindmarsh (2013) argues, there are numerous regulatory authorities and antinuclear agencies which are either completely opposed to the use of nuclear as a source of power, or call for very stringent regulations. This can affect Babcock Marine in the long run because it may have to invest more in convincing the stake holders that it is doing its work properly with regard to servicing these submarines. Economic issues Nuclear energy production is geared towards cost reduction and this is a challenge for a firm like Babcock Marine because it has to make sure that its services to the customers are not prohibitive. There is an increasing need to come up with cheaper ways to produce energy and any overhead costs are regarded by organisations with suspicion (Teri, 2012).. To be competitive in this sector, Babcock Marine must look for way to always make its services better without increasing the costs. There is however other economic issues which must be looked at. For instance, securing a nuclear reactor and making sure that that is it completely secure is a very expensive affair and this may counter any economic benefits acquired from the use of nuclear energy (Angelo, 2004). Social Issues The main social issue here has to do with the health concerns. People are becoming more concerned of health and health issues. As a resul t, anything that is assumed to pose a risk on health is going to get critical scrutiny and this will affect Babcock Marine due to the fact that its services are directly related to how safe nuclear energy is. As Butterfield (1992), says, nuclear energy is seen as a very big risk for health due to the potential of radioactive