Importance of Pestle Analysis for Pearson PLC

Business Environment

Executive summary
The report has given the corporate governance and structure of Pearson plc. Report has also
identified importance of pestle analysis for the organization. Pestle model has used in the study
so that external environment of the company can be analysed.

Table of Contents
INTRODUCTION ..........................................................................................................................4
MAIN BODY...................................................................................................................................4
Task 1: Governance of Pearson PLC...............................................................................................4
Task 2...............................................................................................................................................6
Importance of carrying pestle analysis for company...................................................................6
Task 3...............................................................................................................................................7
Analysing external environment of company with pestle analysis..............................................7
CONCLUSION .............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Business environment is the surrounding in which company operates. Positive business
environment can lead to successful organization (Khan, Çera and Nétek, 2019). Pearson plc is
the British multinational company which deals in education and publishing work. It is the largest
book publishing company worldwide. Company is also listed on London stock of exchange. This
report will discuss corporate governance and structure of the company. Further it will evaluate
importance of pestle analysis for the organization. Study will also discuss how pestle framework
has analysed external environment of Pearson plc.
MAIN BODY
Task 1: Governance of Pearson PLC
Overview of Pearson PLC
Pearson PLC is the British multinational company which tend to provide products like
published books, newspaper and magazines in different geographic areas. The company was
been established in the year 1844, with the brand name as S. Pearson & Son. The founder of the
company was Samuel Pearson who have established the company in the year 1844 as an building
and engineering concern which was operating in Yorkshire (Radovic Markovic and Salamzadeh,
2018). The tend to achieve several engineering products in various geographic areas and
managed to accomplish some of the biggest engineering marvels and build several projects. This
was being continued and Pearson PLC managed to achieve several engineering projects like East
Railway Tunnel in New York, Tehuantepec railways and several with different harbours as well
all across the globe. In the year 1915 Pearson PLC managed to began construction of the HM
factory which is the largest cordite factory of the UK.
In the year 1907 Weetman Pearson has founded investment company which is being
known as Whitehall Securities which has played a significant role in the development of the
British airways. During the year 1920 the company has officially shut-down the operations of
construction and the overall last construction of the company was the construction of Silent
valley. Between the year 1920 to 1990 the company manages to buy some of the stakes of 45%
of the London Branch of the merchant bankers and several stocks of other market competitors
like Financial Times and many more (Bedi, 2019). Through this the company has managed to