Business Strategy: Analysing Macro and Internal Environment, Competitive Analysis with Porter's Five Forces Model

Business Strategy

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK...............................................................................................................................................4
P1 Applying appropriate
frameworks analyse the impact
and influence of the macro
environment on a given
organisation and its strategies....................................................................................................4
M 1 Critically evaluate the macro environment .........................................................................7
P 2 Analyse the internal environment and capabilities of the given organisation .....................7
M2 Critically evaluate the internal environment .......................................................................9
P 3 Explain the competitive analysing with the help of porters five forces model ....................9
M3 Coitally evaluate the appropriate strategies for the competitive edge ...............................10
P4 Applying a range of theories, concepts and models, interpret and devise strategic planning
for a given organisation.............................................................................................................10
M4 Critically evaluate the strategic plan .................................................................................12
CONCLUSION .............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
The Business strategy can be defined as the clear set of plan, actions, and the various
objectives and goals which outlines that how the business organisation will compete in a
particular market. It is very important for the business organisation to take the various strategies
into consideration so that the company can have a competitive advantage of it. This enhance in
the productivity of the company. There are the various model which need to be considered by the
marketer in order to fulfil the needs of the customhouse. This report is based on the Marks and
Spencer company which is the British multinational brand in the retailing sector. The company is
headquartered in London, England. The company was established in 1884 by Michael Marks and
Thomas Spencer. It deals in various products such as home products, clothing products, food
products etc. This report will include various topics such as
TASK
P1 Applying appropriate frameworks analyse the impact and influence of the macro
environment on a given organisation and its strategies.
The use of the various models can help in analysing the different aspects of the macro
environment which can influence the business operations and its other activities. Here is the
discussion of the models which can help in context of Marks and Spencer
PESTLE analysis
This is the tool which is used by the business organisation in order to analyse the
different macro factors which can impact the operations of the business organisation. In context
of Marks and Spencer the various factors are discussed below:
 Political- This is the factor which is related to the extent to which the government
policies may interfere within the operations and other activities of the business enterprise.
such factors include trade policies, tariffs, trade restrictions etc. it is been analysed that
the Brexit move impacted the Marks and Spencer in the various aspect. The trade

restrictions outside the European unison have bee4n more strict in which the company
has to now look for the export of the products,.
 Economical- This is the factor which is related to the performance of the economy which
have a direct impact on the business organisation. Such factor include interest rates,
inflation rate, etc. this has a great influence on the Marks and Spencer. As it is analysed
that the pandemic over the world have impacted a lot to the organisation. Due to the rise
in the inflation rate there was decrease in the demands of the products and services which
affected the company.
 Social This is the factor which is related to the current market trend in the market and this
can impact the business organisation. This is the most important factor for the
organisation in order to meet the demand of the customers. Such factor incudes the
lifestyle, attitude, behaviour of the consumers. It is very important for the Marks and
Spencer to understand the consumer trend in order to satisfy them. This factor has the
great influence over the customers and this can impact the organisation
 Technological- This is the factor which is related to the innovation and development in
the technology over the world can influence the operations of the business organisation.
Such factor include artificial intelligence research and development etc. This is the factor
which should be taken into consideration by the Marks and Spencer in order to attract
customers. The company need to provide the both online and offline services. It is very
important for the company to use the new latest machines in the production process for
the exclusive designs which can help in attracting the wide range of customers.
 Legal- This is the factor which is related to the certain laws which can impact the
operations and activities of the business organisation. Such factor include labour law,
employment law etc. This is the most important for the Marks and Spenc3er to adhere to
the certain laws so that the company does not have to face any legal issues. The company
should give the fair prices to its labour which is the most important in order to be
competitive in the certain country in which the company is situated in.
 Environmental- This is the factor which is related to the surroundings which have a
impact over the business organisation. Such factors include sustainable development,
climatic c0ondistion, dusters etc. The marks and Spencer need to take initiative in the
sustainable development practices which can reduce the wastage of the plastic poly bags