New Look heads to the capital to announce their arrival in the global fashion market this summer. 250 staff from the existing Weymouth and London offices near its flagship store Marble Arch will relocate to offices spread over 61,000 sq ft and five floors in stylish central London building this June.

The move to London in the Wells & More building on Mortimer Street and Wells Street was agreed with Great Portland Estates on Friday and is expected to attract international business by holding firm stead in line with the rest of the retail giants. The marketing, buying and design teams are expected to relocate from the Weymouth offices however numbers of individuals embarking on the long move are yet to be confirmed.

Does this bold move in the current economic climate pose threat for leading high street giant competitors, or will attracting oversea clients assist the global economy to a more harmonious environment?

Firstly, the government is encouraging consumers to spend by reducing VAT from 17.5% to 15% and raising the exemption bracket for stamp duty from £125,000 to £175,000 to strategically boost the housing market, one of the most influential industries in national and global economies whilst the monetary committee in the Bank of England decreases interest rates to their lowest rate ever, all to create more disposable income available for individuals.

Therefore competition between companies in the same industry and bold statements of fashion retailers thriving in harsh financial environments may spark the much needed increase in consumer confidence in conjunction with government intervention to potentially reignite the national and global economy. And according to Chief Executive Carl McPhail the move to contemporary West End building will attract people the "highest calibre" to kick start his dream of global domination.

Cash injection via international sources will also increase the general economic welfare of the nation by enhancing the countries balance of payments and potentially contribute to the increase of the GDP. However exchange rates and inflation should be considered in making this calculation.

In the current global financial state, businesses need to be savvy in order to survive as an astonishing 200 shops a day are estimated to close in 2009. To assist the maximization of profitability, the definition of all external factors affecting the business and how the business can affect them is essential to maintain lateral and rational planning.

The LoNGPEST analysis is a great way to utilize your external environment and combined with the SWOT analysis will help you to tackle potential problems that may arise in the future. Also bear in mind your local competitors will also have their own individual external environments too as well as abroad.