Business Environment Analysis and Strategy

This assignment involves a comprehensive study of the business environment, including its impact on organizational performance. It requires an analysis of various factors such as economic conditions, government policies, technology, and social trends. The student is expected to research and provide insights into how these factors affect businesses and organizations. Additionally, it involves discussing strategies for success in different business environments, making it a valuable resource for students seeking past papers and solved assignments on Desklib.

Business and Business
Environment

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Covered in PPT...........................................................................................................................1
TASK 2............................................................................................................................................1
P3 Relationship between different organisational functions and its link with organisation
objectives ....................................................................................................................................1
TASK 3 ...........................................................................................................................................3
P4 Positive and negative impact of Macro environment on Business operations.......................3
TASK 4............................................................................................................................................5
P5 Internal and External analysis................................................................................................5
P6 Interrelation of Strength and weakness with external Macro factors....................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Business environment is significant part of the organisation which determine its
sustainability and their productivity of business. The definition of business environment can be
connotes factors, institution and external components which are not considered in the control of
business as well as influence enterprise functioning. This consist of competitors, consumer,
supplier and government along with other technological, legal and political factors. Th
environment of business influence each other along with perform together to affect then
activities of an organisation. Business organisations are obliged with entire manoeuvre of
authentic environment along with needed negotiation in more significant manner. This is
paramount for each organisation to demonstrate major determinants of business operations
involving partners, consumer, worker etc. These activities help in understanding competitive
environment of business along with certain revenues of firm (Fernando, 2011). Hence, the major
purpose of this report is to evaluate discrete aspects along with the impact of Asda i.e. one of
extensive supermarket segments in UK retailing market. This will also analyse the size, scope
and nature of several types of firms, The assignment will light over the main interrelation
between different functions and objectives of company. Through its assignment, this will
highlight on extrinsic and intrinsic business environments.
TASK 1
Covered in PPT
TASK 2
P3 Relationship between different organisational functions and its link with organisation
objectives
It is fundamental for business organisation to carry out specific aims and objectives of
certain enterprise as per the purpose of organisation to achieve them within specific time period.
Thus, this is fundamental for organisation to plan proper structure and plan of company to set the
authentic target and objectives in more easier manner (Gebauer, Paiola and Edvardsson, 2010).
Thus, Asda is functioning their business in global market among numerous members of staff I,e.
165000. this is also considered as the multinational retailing chain which is performing numerous
segments of market such as generic grocery, merchandise and other services of finance.
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Thus, in regard of carry out different function through Asda such as sales and marketing,
division of HRM, finance and accounting, department of HRM etc. Entire function can assist in
the business objectives of organisation through conducting different activities altogether in
significant manner. This is the enterprise structure which are related with organisational function.
Here are discussed their interrelation discussed as below:
Marketing Division: It is one of the fundamental department i.e. managed by each
business entity as Asda need to trade their services and products along with creating proper
awareness among consumer (Dahan, and et.al., 2010). This division assist in disseminating the
information and message of brand delivering to the people in efficient manner by building proper
bridge of interaction. Hence, this is associated with several other division which can aid the
company in attaining basic competitive edge of firm creating sustainability among market in
respect of other competitor of organisation. Thus, the division by creating promotion and
building awareness can successfully achieve their business objectives and achieve marketing
purpose at the same time.
Human Resource Division: Personnel management can be considered crucial within
company such as Asda as they are the asset of organisation who perform the operations and
different functions of organisation to attain the objectives of business. HRM division is
responsible for coordinating and managing the need of those human resources in regard of
satiating their requirement to meet the optimum outcome of operated activities from motivated
worker (Cronan, and et. al., 2011). Hence, considering its impact, this can be affirm that
organisation, by satisfying their employee can achieve their business objectives through
consumer satisfaction achievement and producing better productivity.
Operations & Productions: It is another paramount department of Asda which perform
organisational major activities to produce the services and managing the activities according to
the demand. This can build coherent connection between different structure which can aid in
rendering the determined design. Asda is delivering production of service after the evaluation of
market in regard of creating and supporting better quality of services to consumer. Asda is one of
popular organisation i.e. dealing quality products and value in cost effective manner which is
structuring organisation recognition. Hence, mentioned activities effectively state the operations
and management division importance and relevance in regard of attaining their objectives of
business.
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Finance and Accounting: One of the fundamental function of Asda is improving the
interrelation with finance activities and transactions happening in the entity regularly. Key
purpose of managing accounting and finance is to align the funds to distinct division of company
demand to functioning the activities in significant manner (Halbert, and Ingulli, 2011). Hence,
through providing the maximum use of asset of organisation dealing with its reach and survey
along with asset creation, Asda can attain their determined target and objectives achieving more
revenues.
R & D Department: This is fundamental to operate proper evaluation of consumer and
other market environment in regard of outline general parameters of trading situation. It can help
in understanding the situation of market and help in expanding the strategies in more suitable
manner which can frame the outcome accordingly.
Henceforth, Asda can help in improving more efficient competitive environment of
business which firm is obliged to attain in perspective of market along with are able to assist in
administering different accomplishment in regard of enhancing the productivity and competitive
edge in more fundamental manner.
TASK 3
P4 Positive and negative impact of Macro environment on Business operations
Numerous determinants which exist in the environment of business can impact over the
Asda operations outlining the practices control. In relation to this, environment of business is
distinguished into major two types such as external and internal which influence the business
activities. This can influence the policies and operations of organisation conducted by the
management of organisation (Chow, and et. al., 2011). In regard of Asda, the company manager
is designing distinct policies in order to reduce different negative impact from the operated
practices. Policies can be considered as crucial part which can assist in those positive and
negative influence. This is organised PESTLE evaluation to outline the negative elements of
Asda which is mentioned as below:
Political Elements: According to this, several different policies and organisation terms
have improved through government of United Kingdom which limit the company's operation.
Also, distinct country include different policies and faces numerous consequences of their
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political situation which is fundamental for Asda considering before implementing session or
activities in country. Positive Influence: It is helpful for organising the business operations significantly along
with including free terms of trading which enable cost reduction while outsourcing. After
the period of Brexit, several new decision were made in the nation which has influenced
the decision of Asda as well (Commander, and Svejnar, 2011). Negative Influence: If the new policies and terms will be executed in Asda, companies
will not be able to meet needed resource in less cost which can be claimed negative
influence for the company, Also, commercial practices as well as relations among
numerous nations which can direct to numerous negative consequences while functioning
business.
Economical Factor: As per this, numerous elements can impact the practices of business
such as inflation, growth and deflation rates of numerous countries. Whole these factors consist
of various perspective as per the nation as well as Asda function the business operations in the
different countries. In regard of this, the impact over evolution and sales of firm is significant
while improving the economy. It is essential for the company's manager to analyse whole
essential changes which are required in the existing firm's environment. Positive influence:Economical determinants are extensive which are positive influenced
through the economical factors that can enlarge the funds flow within the company. It can
improve the assistance in sales emphasising as well as improving the benefits level within
the organisation. Negative Influence: According to this, environment is dynamic i.e. changing
continuously which can build numerous complications which are faced through Asda
management.
Social Factor: Ever organisation is outlining the effective optimisation of resource from
the environment which is required (Boons, and Lüdeke-Freund, 2013). The social preferences
and culture is fundamental in regard of developing the services and products of organisation as
they are the major focus. Positive Influence: The components is assisting in rendering several business
opportunities by satisfying the targetted people demand. Through this, company can
enable emphasised productivity within organisation.
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 Negative Influence: the company might need have to consequences which are not
positive due to improper analysis of social factor.
Technological Factor: It is fundamental for Asda to make use of modified and advanced
technologies in the business for enlarging the product sales and emphasise the quality level
within less time and cost. Organisation can function the operation through using better
technologies which can enable assistance in numerous division including marketing, production,
management etc. making the decision making a lot more easier. Positive Influence: If the organisation will opt more advanced technologies, they can
successfully reduce the distribution and production cost. Negative Influence: More product and service cost invested on the technologies can be
dangerous as it is modifying rapidly (Burns, and Winter, 2011).
Legal Factor: This is essential to make inclusion of legislative framework and governments
policies under the consideration while making decision associated with this. Positive Influence: these are assisting for providing employee rights and satisfaction and
shapes the practices in ethical manner. Negative influence: Numerous times, when organisation laws are avoided, organisation
might have to cope up with negative consequences.
Environmental Factor: Environmental elements are needed to evaluate in regard of achieving
business objectives as this can aid in attempting the practices and gain the credibility of society. Positive influence: the new methods of ecological activities, organisation are delivering
positive response from the consumer and potential buyer.
 Negative Influence: Company need to adopt the method of lean production in regard of
reducing waste production.
TASK 4
P5 Internal and External analysis
While evaluating the internation environment, organisation need to coordinate proper
SWOT assessment on the grounds of PESTLE analysis by organising external components
evaluation of Asda (Bar-Isaac, and Shapiro, 2013). Here are discussed major strengths and
weaknesses of organisation along with opportunities and threats to set a portrayal of business:
Strengths Weaknesses
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 Wide commodity range offering the
financial and other services.
 It has approximate 1,40,000 employee
organising the activities in nearby 500
stores.
 Company conduct corporate social
responsibilities which has built unique
brand recognition.
 This c an be considered for their
marvellous campaign of marketing.
 Limited global presence in relatively to
other competitor companies.
 Selling cost skills to restrain them from
creating global presence.
 Asda contain less dedication and
consumer loyalty relatively to the the
Tesco and Sainsbury consumer.
 Product quality is less better from other
competitor products such as Waitrose
which is another similar brand.
Opportunities Threats
 Deployment in the existing or new
region of business such as optician,
jewellery etc.
 Delivering business into more
economies and grow in numerous
markets such as India.
 New and online media delivering
different services in the competitive
marketplace.
 Cost war among other retailing stores in
market of United Kingdom.
 Pressure of maintaining the new costs.
 Ever alternating policies of several
central government.
 Huge competition in market from
smaller as well as larger market
retailers is main threat for organisation.
 Independent of growth online retailer or
supermarket is one of the biggest threat
of enterprise.
Thus, this can be affirm that several profits are availed to the company by considering
enterprise's business environment which is leading business to more revenues of organisation
(Adeoye, and Elegunde, 2012). Hence, on the referred analysis, this can be claimed that PESTEL
evaluation is needed for the company to outline which is mentioned as below:
Components EXPLANATION
Political  Company render continuous changes in the political environmental
term.
 Frequent modification creation and new policy development
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according to the condition.
 Policies associated with the system of taxation.
Economical  This presents the emergence in the income of individual of UK.
 Delivering the employment opportunity in the society.
Social  Aiming over continuous changes among the customer.
 It create strong reputation building through execution of guidelines.
Technological  Alternation due to the advancement in technological provide positive
economical influence.
 Company require to deliver numerous communication and different
data solution.
Legal  This involve policies packaging standard and are utilise or the
material of economy.
Environmental  It is significant to focus over the waste management.
 coordinate CSR practices for management of nature pollution.
P6 Interrelation of Strength and weakness with external Macro factors
This can be claimed that the environment of business is improving numerous operations
such as influence on the outcome of Asda. Organisation is managing more weaknesses and
proper strengths which are paramount for considering and outlining the management. Asda is
leading to more revenues of organisation within United Kingdom which is enabling more better
global recognition (López-Gamero, Molina-Azorín and Claver-Cortés, 2011). Though, firm has
faced different several issues after the Post-Brexit time period as this has refrained organisational
expansion in certain region of the global market. Such external components analysed in the
discussed report are directing to numerous changes required in the market condition of Asda
leading to the expenditure of finance along with demand accomplishment at the same time.
Asda is a reputed organisation with Walmart as the mother company which have a strong
equity of brand. Due to this, organisation has been able to improve such huge position of market
and presence in the global trade. The company has been able to make strong buying power in
market and increasing rate of growth economy that is emerging on the constant basis. The
extrinsic components of organisation are assisting Asda in the company's investment
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presentation in certain period of time. They are operating activities for enlargements of income
through dealing with lower and middle class individual rendering premium commodity quality
which has created several available expenses. Asda is constantly increasing their market
condition and growth along with planning to expand their business efficiently in the open
economies such as Chain, S. Africa (Avramenko, 2012). These extrinsic elements are assisting
the organisation in improving more effective expansion plan along with developing fundamental
business strategy for the development and organisational sustainability of enterprise.
CONCLUSION
This can be summon from the above discussed assignment that business environment is
significant part of the organisation which determine its sustainability and their productivity of
business. Th environment of business influence each other along with perform together to affect
then activities of an organisation. These activities help in understanding competitive environment
of business along with certain revenues of firm. The main business target is focusing over
gaining more consumer and improving the basic living standard. Generally, these entities are
segregated into key two segments i.e. private and public company. this is fundamental for
organisation to plan proper structure and plan of company to set the authentic target and
objectives in more easier manner. In regard of carry out different function through Asda such as
sales and marketing, division of HRM, finance and accounting, department of HRM etc. While
evaluating the internation environment, organisation need to coordinate proper SWOT
assessment on the grounds of PESTLE analysis by organising external components evaluation.
This can be claimed that the environment of business is improving numerous operations such as
influence on the outcome.
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REFERENCES
Books and Journals
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growth? Business environment and employment growth across firms. Economic
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control systems: a study of Malaysian hotels. International Journal of Business and
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Education+ Training. 54(5). pp.355-367.
Adeoye, A. O. and Elegunde, A. F., 2012. Impacts of external business environment on
organisational performance in the food and beverage industry in Nigeria. British Journal
of Arts and Social Sciences. 6(2). pp.56-65.
Bar-Isaac, H. and Shapiro, J., 2013. Ratings quality over the business cycle. Journal of Financial
Economics. 108(1). pp.62-78.
Burns, C. and Winter, S., 2011. Introduction. Australian Farm Business Management Journal.
8(2). p.iv.
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Chow, A. T. and et. al., 2011. Broadband network with enterprise wireless communication
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Dahan, N. M. and et.al., 2010. Corporate-NGO collaboration: Co-creating new business models
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Halbert, T. and Ingulli, E., 2011.Law and ethics in the business environment. Cengage Learning.'
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