Business Environmental Analysis

BUSINESS
ENVIRONMENTAL
ANALYSIS

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
1. PESTLE analysis in order to identifying and discussing different macro environmental
factors which have impact on businesses.....................................................................................3
2. SWOT analysis in order to identify strength, weakness, opportunity and threat of chosen
business entity..............................................................................................................................5
3. Key findings and role of SWOT and PESTLE analysis in decision-making for companies...7
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
The term business environment can be defined as a combination of internal and external
factor which can impact to companies monetary and non monetary performance. The aim of
project report is to demonstrate understanding about impact of environment on business
performance (Patnaik, 2017). In the project report a company has been chosen which is British
American Tobacco plc. This company operates its operations in the context of manufacturing of
Cigarette and Tobacco products. The project report covers detailed information regards to
positive & negative impact of macro environment. As well as internal & external analyse of
chosen business entity.
MAIN BODY
1. PESTLE analysis in order to identifying and discussing different macro environmental factors
which have impact on businesses.
PESTLE analysis- This can be defined as a kinds of tool which is applied by business entities in
order to evaluate macro environmental factors. It is useful for those companies who started a new
business or entered into new market (Jenkins and Williamson, 2015). Under this method, a vital
range of factors analysed. Herein, below in the aspect of British American Tobacco plc this
framework has been applied in such manner:
Political factor- It is a type of factor which includes government policies, political stability &
instability, political relation of one nation with another etc. This can impact to performance of
businesses in both positive and negative manner. In the aspect of above respective company, its
positive and negative impacts are demonstrated below in such manner:
 Positive impact- In the case when political conditions in UK are stable and in the favour
of doing business then it can be easier to British American Tobacco plc to conduct their
operations effectively.
 Negative impact- The negative impact of this factor is that if political relations are not so
good between UK and other countries then above respective company can not expand
their services in rest of nations.