P1 Analyse impact and influence of macro environment and its strategies
Added on 2021-02-19
17 Pages5714 Words390 Views
Business Strategy
Table of ContentsINTRODUCTION...........................................................................................................................3TASK 1............................................................................................................................................3P1 Analyse impact and influence of macro environment and its strategies...........................3M1 Critically analyse macro environment to determine and inform strategic managementdecisions.................................................................................................................................5TASK 2............................................................................................................................................6P2 Internal environment and capabilities using appropriate frameworks..............................6M2 Critically evaluate the internal environment to assess strengths and weaknesses of anorganisation’s internal capabilities, structure and skill set.....................................................9TASK 3..........................................................................................................................................10P3 Porter’s Five Forces model evaluate competitive forces of a given market sector.........10M3 Devise appropriate strategies to improve competitive edge and market position based onthe outcomes.........................................................................................................................11TASK 4..........................................................................................................................................12P4 Range of theories, concepts and models, interpret and devise strategic planning..........12M4 Produce a strategic management plan that has tangible and tactical strategic priorities andobjectives..............................................................................................................................13D1 Critique and interpret information and data applying environmental and competitiveanalysis to produce a set of valid strategic directions, objectives and tactical actions........14CONCLUSION..............................................................................................................................14REFERENCES..............................................................................................................................16
INTRODUCTIONBusiness strategy is defined as competitory actions as well as moves which firms uses inorder to attract their customers, strengthening performance, competing successfully and achievegoal and objectives of organisation (Business Strategy: Definition, Levels, Components &Examples, 2019). This is regarded as master plan which management of organisation implementfor securing competitive position at marketplace, carry operations, satisfying customers andachievement of desired ends of business. Business strategy is very important for organisation tocarry their activities and operations in an effective and efficient manner. The different types ofbusiness strategy are cost leadership, differentiation and focus. The enterprise given for projectwork is Tesla that was founded in 2003. This is American automotive organisation specialisingin electric car manufacturing. Being the Junior Strategy Manager of Tesla, line manager hasasked for preparation of various report. The micro and macro investigation and strategicalgrowingdirectionthought along with analytic tools has been discussed. This report highlightsPorter's five force model for given firm. TASK 1P1 Analyse impact and influence of macro environment and its strategiesIt is very essential for organisation to evaluate and analyse macro environmental factorsfor making proper plan and decision (Acquaah, 2013). This helps in knowing about variousexternal factors in order to make proper business strategies for organisation. For macroenvironment, PESTLE analysis has performed by manager of Tesla to make business strategy.They are described below:PESTLE AnalysisThis is referred as techniques or framework which is utilized for investigation andmonitor of different element of environment that consequencecarrying outactivitiesofenterprise (Alsudiri, Al-Karaghouli and Eldabi, 2013). This is applied whenever organisationwants to start new business or enter foreign market. In context of Tesla, they are describedbelow:Political Factors- This is defined as intervenes of government in an economy whichincludes foreign trade policy, labour law, environmental law, instability and so on. The UnitedKingdom runs under system of parliament. It is stable, fair and provide opportunity to business
for expanding it in other country. In context of Tesla, it is running business in United Kingdomwhich has opportunity to expand it in other place easily because of political stability, proactivegovernment and large influence on inner working. As it deals in manufacturing of auto mobilesfor users which has stability in political condition for maximum production. There are somenegative aspects because of corruption and Brexit of EU. Economic Factors- This is defined as performance of economy which considerinflationrates, economic growth, interest rates, exchange rates and many more (Bharadwaj and et. al.,2013). The economic position of UK is considered as strong as compared to others. Under theview of respective organisation, it has better possibility to grow business in other parts of UK.The different opportunities available to respective organisation are in terms of free market,increase in foreign direct investment, 5th highest GDP and variedeconomic system in both openand private body. Negative aspect of expanding business is that huge amount of wealth is spenton free open work and money assist in slow recovery from recession which occurred in 2008/09.Social Factors- This elements of social factors includes demographic features, values,population, customs, that business is operating their functions. It consists of safety, incomedistribution, health, growth rate and so on. UK carry high social standards which leads for betterall-round circumstance to Tesla for running their business in an effective and efficient manner.UK consists of 64.1 million densely populated area having high standard and cheap workforcethat assist respective organisation to enhance their profits and business (An Example PESTAnalysis of The UK, 2019). With rise in education costs, less people buy products of Tesla asstudy is more important than others. Thus, it is very significant for organisation to considerrespective components for maximum gains and profits. Technological Factors- It refers to innovation in technology which affect operation ofindustry. It consists of automation, technological change, level of innovation, research anddevelopment and others. UK is considered as MEDC (More Economically Developed Country)which does not have greatentree for application of new innovation. It has few positive impact onTesla because of prime innovation skills, expertise in IT, science and laws related to intellectualproperty. Technological factor impact Tesla in terms of slow technological development ascompared to United States. Though, respective organisation has opportunity for expandingbusiness in respective market for fulfilling need and demand of consumers in an effective andefficient manner.
End of preview
Want to access all the pages? Upload your documents or become a member.
Related Documents
Business Strategy: Impact of Macro Environment on Teslalg...
|16
|5466
|79
Unit 32 Business Strategy – Assignmentlg...
|16
|4955
|382
Analyzing Macro and Internal Environment of Teslalg...
|17
|5646
|24
Business Strategy: Impact of Macro Environment on Teslalg...
|19
|6073
|100
Business Strategy Assignment PDF | Teslalg...
|11
|4357
|67
Business Strategy Assignment PDF : Teslalg...
|12
|4378
|25