AstraZeneca And Its Environment

Introduction
Business environment can be defined as the analysis of the
internal and external environment of the business so that an
organization can examine the impact of company on the
business environment (Khajeheian, Friedrichsen and
Mödinger, 2018). Organization chosen here is AstraZeneca, it is
one of the leading international pharmaceutical company
based in UK in 1999. It mainly deals with the products like
medicines and other medical equipments and requirements.
The following discussion is made on the internal factors that is
SWOT analysis, external factors that is PESTLE analysis and
impact of business on it's external factors in context of
AstraZeneca.
AstraZeneca And Its Environment
External Environment
PESTLE Analysis: It is defined as the analysis that affects the external
environment of the business (Hamilton and Webster, 2018).
Political factors: Brexit is the reason of uncertain political factor. Increase
in government spending and supporting on healthcare programs.
Economical factors: Drugs prices are being lowered by the economy of
the country. Lack in return on investment by research and development of
the company. Social factors. Growth opportunities for the firm due to
ageing increase of the population. Growth in number of patients due to
urban lifestyle. Rise in levels of income.
Technological factors: Company is investing in the centre of building for
innovation to promote manufacturing on a quality basis. Innovation in
artificial intelligence and tracking systems to tackle counterfeits.
Legal factors: Company is facing the declining in the approval of drugs
from the regulatory bodies. Changes in corporate rate of taxes. GDPR is
affecting operations of an organization.
Environment factors: Role of leadership is taken by the company to fight
against the climate change globally
How the company impact its context External Environment
Company has a moderate impact on political factors due to
Brexit and support by government
Company has a moderate impact on economical factors due to
less drugs prices and deteriorating returns
Company has growth opportunities in it's social factors due to
increase in ageing, disease and income levels
Company has growth opportunities in it's technological factors
due to innovation and artificial intelligence
Company is facing threats in terms of legal factors due to
GDPR, CTR and decline in drug approval
Company has growth opportunities in it's environmental
factors due to contributing in global climate change (Perera,
2017).
Internal Factors
SWOT Analysis: It is defined as the analysis that affects the
internal environment of the business which includes the
company's strengths, weaknesses, opportunities and threats
(Teoli and An, 2019).
Strengths: Ranked first company in terms of innovation. High
usage of research and development among the industry
leaders. Financial performance is strong.
Weaknesses: Image in public relations are bad along with
complicated controversies associated with it. Failure in rate of
drugs resulted in high losses in its operations. Leadership and
effective management is lacking. Opportunities: It has a
growth opportunity in an emerging market that can be
considered as the drivers of future for growth. Threats: It is
facing acquisition by financially wealthier, bigger and powerful
companies in an industry. Generics has led to the losses and
very low revenue generations in an organization. Drug
development cost is increasing day by day.
References
Hamilton, L. and Webster, P., 2018. The international
business environment. Oxford University Press.
Khajeheian, D., Friedrichsen, M. and Mödinger, W., 2018. An
introduction to competitiveness in fast changing business
environment. In Competitiveness in emerging markets (pp.
3-11). Springer, Cham.
Perera, R., 2017. The PESTLE analysis. Nerdynaut.