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This report investigation has been laid down concerning the nature and characteristic of UK economy and economic system. This will be analyzed in order to identify the affects it is going to lay down on the UK business activities. Further, research is also going to research and apply relevant theories in order to understand the economic function. The report is also going to study about the impact laid down by market power on their economy and role of government in the macroeconomic environment. Study is also going to apply economic theories to the globalization of trade. The company that has been chosen for carrying out this research is British Petroleum and it is one of the leading companies in integrated oil and gas of the world.

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