Business Strategy: Analysis of Nissan's Macro and Internal Environment

BUSINESS STRATEGY

Table of Contents
INTRODUCTION.......................................................................................................................................3
LO1.............................................................................................................................................................3
P1 Analyse the impact and influence of macro environment...................................................................3
M1 critically analyse macro environment to determine and inform strategic management decisions......5
LO2.............................................................................................................................................................5
P2 Analyse internal environment and capabilities of given organisation using appropriate framework. .5
M2 Critically evaluate internal environment to assess strength and weaknesses of an organisation
internal capabilities, structure and skill set..............................................................................................7
LO3.............................................................................................................................................................7
P3 Applying porter’s five forces model...................................................................................................7
M3 Devise appropriate strategies to improve competitive edge and market based on outcomes.............8
LO4.............................................................................................................................................................8
P4 applying range of theories concepts and models interpret and devise strategic planning for given
organisation.............................................................................................................................................8
M4 Produce a strategic management plan that is tactical and tangible strategies priorities and objectives
...............................................................................................................................................................10
D1 Critique and interpret information and data apply environmental competitive analysis to produce a
set of valid strategic directions, objectives and tactical actions.............................................................12
CONCLUSION.........................................................................................................................................12
REFERENCES..........................................................................................................................................13

INTRODUCTION
Business strategy refers to a framework that is used to set the competitive edge and actions that
an organisation use to attract public, compete with competitors, strengthening performance that helps in
accomplishing and reaching the organisational goal. It helps in making the decisions that assists the
business owner to achieve the strategic objectives. These reports taken the Nissan Motor Company that is
one of the famous Japanese multinational automobile manufacturing company. It includes the analysis of
macro and micro environment by using PESTLE, Stakeholders matrix or McKinsey model that helps in
identifying the ability and capability of gaining the competitive advantage and earning more profits.
Further it includes the porters five forces model that helps in gaining the competitive edge in the
competitive market within the same industry. At last apply a strategic model and concepts that is helpful
in building a strategic plan so that company will earn high amount of profits and enjoys longer
sustainability (Akter and et. al., 2016).
LO1
P1 Analyse the impact and influence of macro environment
Organisation overview
Nissan is one of the largest Japanese automobile manufacturing company that was founded in 28
December 1993.The company sells their products with a name of Nissan, infinity and Datsun. there are
number of employees are working in Nissan with in a two category i.e. consolidated employees and non-
consolidates employees(Peng, 2017).
Vision
The Vision of the Nissan in which they work is enriching the people’s lives and stay in the
market with longer term.
Mission
The main mission of Nissan is to provide the unique and creative automotive goods and services
that delivers to the customers in a superior quality which contains valued to all the stakeholders in the
alliance of the Renault(Martinez-Simarro, Devece and Llopis-Albert, 2015).
Stakeholder analysis

It refers to that procedure which is helpful for the manager to identify the impact on the
performance of an organisation before starring of any project. It can benefit the Nissan to know the
impact of the stakeholders by using three steps that can be shown below(Amran and et. al., 2016).
Step-1 – In this step manager can determine the individual stakeholders by making an appropriate
list. In case of Nissan major stakeholders are sales department, customer’s employees, public, government
and their shareholders.
Step-2 – After identifying the stakeholders and make a proper list manager of Nissan can
prioritize the different categories as per their interest level, participations and low interest level.
 High power, high interest- This type of stakeholders will be more important for Nissan that will
helps the company in performing the functions in an appropriate manner.
 High power, low interest- Theses type of stakeholders is working in the company but they have
low interest in projects of Nissan(Yuliansyah, Gurd and Mohamed, 2017).
 Low power, low interest – In this aspect stakeholders are informed about the projects and
products of an organisation so that it will create no problem for Nissan.
 low power, high interest – This type of stakeholders does not involves in any activities of Nissan
but have a high interest and power that will impact their working.
Step-3 – It is the last step where manager of Nissan can communicate with the stakeholders as
per their holding interest and power so that work can be done without facing any hurdles.
Pestle analysis
It defines to an effective external tool that is very effective for Nissan to analyse the external
business environment that may affect the operations of the company. It includes six aspects that can be
mentioned below(Yuliansyah, Rammal and Rose, 2016).
 Political – This factor influenced by the tariff rates, tax rate and the stability of an condition of
government. The political condition of UK is stable and the related rate of tax is also less that
helps the Nissan to operating the business in a beneficial and effective way.
 Economical- It considers the inflation rate, interest rate and the GDP of the country, spending
power of public. In this due to high growth rate in UK purchasing power of people are also high
due to this it will benefit the Nissan sales in a positive manner but high inflation rate due to
recession period Nissan sales may be impacted in a drastic way.
 Social- It involves the values and attitudes of a person in the society of UK. As UK people are
modern and excited to use advanced technology products due to which sales of Nissan may be