Organisations in a Global Economy

Business
Organisations in a
Global Economy

Table of Contents
INTRODUCTION......................................................................................................................3
MAIN BODY.............................................................................................................................3
Background of organization...................................................................................................3
PESTLE analysis....................................................................................................................3
Porter’s 5 Forces....................................................................................................................5
CONCLUSION..........................................................................................................................7
REFERENCES...........................................................................................................................8

INTRODUCTION
Global economy is changing continuously because of factors like globalisation,
liberalisation and privatisation. This is impacting on the performance of the organisations
working in different countries as well as helping them in grabbing the opportunities to
increase their business in global world (Aljuwaiber, 2016). For doing business, it is
mandatory for organisation to perform different kind of activities which will help in
managing successful business operations and increasing future abilities. In the present report,
choose an organisation is Kaufland. This report is consisting of discussion on business
environment of Norway where foreign direct investment and other factors related to business
environment will be used to identify the capability of the environment of Norway for
increasing the business of Kaufland.
MAIN BODY
Background of organization
Kaufland is a German organisation which is trading in hypermarket chain which is a
part of Schwarz Grippe Group which also owns LIDI. Hypermarket can be defined as a big
box store which is combination of a supermarket and departmental store and include all kind
of retail facilities which is related to wide range of products under one roof. In relation to
kaufland, it is operating with more than 1200 stores across the Germany which also includes
Czech Republic, Slovakia, Poland, Romania, Bulgaria and many other countries. Company is
also planning to increase its stores in Australia and Norway. Company get its major existence
after the Second World War where it rebuilt itself by the nation (Dei Ottati, 2018) . After the
reunification of Germany in the front chain expanded to the Great Eastern German states and
open number of markets which has the company in increasing its market share continued till
1990. In 2006 and 2007, organisation adopts the policy to take over the shares of competitor
so that it can increase its market cover as well as range of products was serving the large
market. In Current, it employs 73000 employees in Germany as well as other part of the
Germany which help the organisation in dealing with the current atmosphere of global
economy. In relation to the current report, there will be analysis of the business environment
in Norway where book of land is going to start is it business. For this there is use of different
kind of frameworks to identify the business environment as well as potential resources
required by the firm for performing and the business environment of Norway (Gashgari,
2017).
PESTLE analysis
Pestle analysis can be defined as a Framework which is used by the organisation to
identify the external factors which can effect on the decision making ability of the
organisation while performing in a particular market. In relation to the current report, this
special analysis is conducted on the environment of Norway in relation to Kaufland for
identifying impact of external environment on the organisation.
Political factor: Political factors which include government policies political stability
in stability, bureaucracy, corruption, competition regulation, foreign trade policy, tax policies