Business Strategy Assignment - John Lewis Ltd
13 Pages3913 Words309 Views
Added on 2020-10-05
Business Strategy Assignment - John Lewis Ltd
Added on 2020-10-05
ShareRelated Documents
Business Strategy
Table of ContentsINTRODUCTION ..........................................................................................................................4TASK 1 ..........................................................................................................................................4P1 Impact and influence ofthe macro environment on a John Lewis Ltd and its strategies.................................................4TASK 2............................................................................................................................................6P2 Internal environmentand capabilities of a John Lewis Ltd. ........................................................................................6TASK 3 .........................................................................................................................................8P3 Porter’s Five Forcesmodel evaluate the competitive forces of a John Lewis. ..........................................................8TASK 4 .........................................................................................................................................9P4 Theories,concepts and models, interpret anddevise strategic planning for John Lewis Ltd............................................................................9CONCLUSION ..........................................................................................................................11REFERNCES.................................................................................................................................12.......................................................................................................................................................13
INTRODUCTION Business environment is the mixture of all forces, factors which are external and beyondthe control of an organisation but which exercise a significant influence on the functioning andgrowth of a business enterprise (Akter and et. al., 2016). It is dynamic and flexible as it providesenormous opportunity to company and enable them to adapt innovative technology in order tomaximise the profit effectively. In context to John Lewis Ltd, leading retailer chain of high enddepartment store which is founded in the year of 1864. It is headquartered in London UK whichis diversified in home ware, electricals, clothing etc. It is well known for identifying theopportunities and threat which enable them to face the challenges and helped them to capture themarket. This research covers the impact of internal and external environment on businessstrategies, usage of Porter's Five force model to evaluate competitive forces. Along with thistheories, concepts, models are also mentioned in this report which help in implementing strategicplanning within organisation.TASK 1 P1 Impact and influence of the macro environment on a John Lewis Ltd and its strategies.Business environment encompasses of internal and external environment of companywhich has greatly impact on its functioning and operations. It includes several factors likecompetitors, government, customer, political, legal, economic and legal conditions. Businessenvironment is unpredictable as it keeps on changing according to the economic, culture changesand it effect its growth (Anwar and Hasnu, 2016). It has control over internal environment(withinthe organisation) while it has no control on external environment (outside the company).External environment is classified into micro environment and macro environment. Microenvironment has direct impact on company and it includes customer, suppliers, competition etc.On the other other hand macro environment signifies the general environment and influencecompany indirectly and it contains several factors like political, legal, economic, technologicaletc. It helps company to identify the opportunities and threats and enable them to meet out thechallenges effectively. Apart from this it enable the company to recognise the competitorsstrategy and based on that they formulate their own business strategy in order to capture themarket effectively and efficiently. Business strategy is the framework which is prepared by
company in order achieve its vision, objective efficiently by optimising the available resource.In relation to John Lewis Ltd, a leading omni channel retailer in UK with 51 stores throughoutEngland, Scotland and Wales. It has highly influenced by its macro environmental factors whichimpact indirectly or distantly. However in macro environment there always a chances of riskfactors but John Lewis Ltd managers are capable of anticipating the influences of these changeson company and they are able to adjust their product and process in order to pre determined goal.In order to analyse or evaluate the external environment, John Lewis applies PESTEL whichdescribes the elements of macro environment are as follows: Political Factor: This factor deals with political stability, tax policy, regulations etc. which impact the operationof company (Bocken, Pauw, Bakker and van der Grinten, 2016). Due to Brexit, UK governmentchanged its trading policy as it decided to exit the European Union which has weakened thepound and created an uncertainty with trade restriction in Europe and it impact the businessoperation of John Lewis. However, UK government is stable in nature and it decreased thecorporation tax which helped John Lewis to gain competitive advantage. Economic Factor: Under this factor it includes economic growth, trade balance, interest rate, inflation rate etc.which impact the profitability of company. Recently, UK undergoes through political andeconomic certainty which causes economic fluctuation, increased cost of the product and shift inconsumer spending that affected the productivity of John Lewis. Yet, John Lewis took this threatas an opportunity to grow and they implement several discounts, offers on product which helpthem to sustain in market. Social Factor: This factor deals with customs, values, demographic characteristics, customer taste and attitudeetc. which influence the output of company. In present scenario most of the customer preferlatest trend in clothing and concern about their lifestyle (Chu, KrishnaKumar and Khosla, 2014).However, John Lewis introduced trendy and fashionable product for young and middle agedgroup which gain the attraction of customer and improved the productivity of company. Technological Factor: This factor concerned with information technology , innovative functions etc. which highlyinfluence the profitability of company. Now, internet trading becomes a trend among the
End of preview
Want to access all the pages? Upload your documents or become a member.
Related Documents
Business Strategy For John Lewis Ltdlg...
|13
|3863
|308
Macro Environment and Capabilities of John Lewis Ltdlg...
|17
|4246
|185
Analysis of Macro-Environment and Internal Environment of John Lewis Ltd.lg...
|16
|5013
|22
Analysis of Macro-Environment and Internal Environment of John Lewislg...
|18
|5304
|32
Analyzing the Impact of Macro Environment on John Lewis Ltd's Strategieslg...
|12
|3545
|37
Macro Environment and Competitive Forces in Business Strategy Table of Contentlg...
|13
|3854
|111