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BUSINESS STRATEGY INTRODUCTION 3 P1. Framework for macro-environment analysis 6 P3. Business strategy

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Such course of actions assists an enterprise in undertaking a competitive edge in market place so as to enhance the present market positioning and profitability of company(Brewster, 2017).Business strategy is designed by senior executives and enforced by middle management to ensure that all the activities and processes being executed within organisational premises are aligned with it. Framework for macro-environment analysis It is essential for a business organisation to constantly analyse and evaluate its external environment along with its influence upon business in order to devise strategies in accordance with that

BUSINESS STRATEGY INTRODUCTION 3 P1. Framework for macro-environment analysis 6 P3. Business strategy

   Added on 2021-02-21

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Table of ContentsINTRODUCTION...........................................................................................................................3P1. Framework for macro-environment analysis...................................................................3P2. Framework for internal analysis.......................................................................................6P3. Industrial analysis.............................................................................................................8P4. Selection of a strategic option along with rationale.......................................................10CONCLUSION..............................................................................................................................12REFERENCES..............................................................................................................................13
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INTRODUCTIONThe strategic series of processes, activities, actions or decisions aimed at attainment ofgoals and objectives in a timely manner is referred to as strategy. Such course of actions assistsan enterprise in undertaking a competitive edge in market place so as to enhance the presentmarket positioning and profitability of company (Brewster, 2017). Business strategy is designedby senior executives and enforced by middle management to ensure that all the activities andprocesses being executed within organisational premises are aligned with it. The followingassignment consists of the strategic analysis of Tesla Motors that is an energy and automotivecompany having specialisation in manufacturing of electric cars. The report contains internal andexternal analysis with the help of frameworks and models. Also, it includes strategic optionsavailable to the entity along with strategic management plan.P1. Framework for macro-environment analysisIt is essential for a business organisation to constantly analyse and evaluate its externalenvironment along with its influence upon business in order to devise strategies in accordancewith that. With the help of effective strategies, company can easily attain growth and ensuretimely accomplishment of goals and objectives. This provides assistance to entity in gainingknowledge of the threats to overcome them shortly so that an edge can be gained over rival firmsprevailing in market place. In this regard, Tesla Motors has also conducted a macroenvironmental analysis with the help of PESTLE. This will help the respective enterprise to gainknowledge of the related opportunities and threats (Cavusgil and et. al., 2014).PESTLEIt is an assessment and evaluation tool that provides guidance to an organisation ingaining information about the macro environment. Tesla Motors, being an internationalcorporation and a leading automotive brand, realises the need to determine the outcome ofexternal environment so that opportunities can be capitalised and threats can be dealt withappropriately. In this relation, PESTLE of Tesla Motors is presented as follows:-Political: This consists of policies and procedures stipulated by government of the nation,such as taxation laws, trade regulations, political stability etc. The strong and stable political stateof UK government holds opportunities for Tesla to feasibly grow and expand its operationswithin this nation by acting within the jurisdiction of national policies. However, factors such as3
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BREXIT, political instability, trade wars, terrorist attacks may pose threat to sustainability ofcompany. This impacts upon Tesla Motors' inventory management strategy in a negative mannerand to deal with it, the entity focuses upon maintenance of enough stock at all times so as to fulfilthe needs and demands of customers in any political situation.Economic: It consists of inflation, interest and savings rate, economic growth etc. In thisregard, it can be said that the rising prices of fuel-engine automobiles have given rise to thedemand of sustainable cars which tends to act as a lucrative opportunity for Tesla Motors to selleco-friendly cars and gain trust of customers. Further, the adversities such as recession, BREXITmay hold threat for the demand of cars of company within the UK market place. This impactsupon company's business strategy in a significant manner and facilitates the firm to adopteconomic pricing model which is consistent with all the income groups as well as the high techfeatures of its vehicles(Chang, 2016). Social: Change in trends, beliefs, practices, lifestyles, attitudes and behaviours of consumerscomes under this element of PESTLE. With changing time, customers have now become awareof the environmental concerns and thus demand vehicles which pose least threat to society orenvironment. This presents opportunity for Tesla Motors to tap advantage of the rising demandfor rendering sustainable offerings to people. However, there are many companies present withinthe market place that possess the material, labour and funds to come up with eco-friendly carswhich can disrupt the market and automotive industry (Mittal and Dhar, 2015). This can act asthe biggest social threat for Tesla Motors. This impacts upon new product development strategyof organisation and facilitates it to launch innovative, high tech and latest car designs at rapidintervals of time, to appeal to customers effectively and retain them for long term.Technological: This aspect consists of latest trends, techniques and technologies which possess thecapability to change the face of market. Tesla Motors has always been an organisation which hascome up with models based upon hydrogen fuel and having latest and distinguished features.This has instilled expectations in its loyal customer base and such people expect better withevery upcoming model. This put pressure upon the organisation, to deal with which, thecorporation should develop unique and innovative offerings for customers. Further, the existenceof rival firms in market such as General Motors, Ford, Nissan, Audi, Volkswagen pose threat to4
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