Business Strategy

BUSINESS
STRATEGIES

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 1 ..........................................................................................................................................3
P1 Using different frameworks examine the impact of macro environment .............................3
TASK 2............................................................................................................................................5
P2 Evaluate internal environment and capabilities of enterprises..............................................5
TASK 3............................................................................................................................................8
P3 Use Porter Five force model in relevance with organisation.................................................8
TASK 4..........................................................................................................................................10
P4 Apply concept/ frameworks for strategic planning in relevance with organisation ...........10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12
BOOKS & JOURNAL:.............................................................................................................12

INTRODUCTION
Organisation comprises of functions and operations in which proper management and
business plan is needed. Competition in market is increasing at rapid rate and various
organisation are coming up with new ideas and technologies. So, to survive in this competitive
market it is essential for business to prepare business strategies and to tackle their competitors as
well as rivals. Business strategies act as a guidelines and road map which assists the firm to
achieve the goals as well as objective within a given a period of time. Also, strategies functions
according to different levels such business, corporate and functional level. Starbucks which is
multinational company in UK, has broad market area in country and still rising. Firm uses
strategies at all level to smoothly run the business activities and perform multitasking operations.
Caffe Nero, Cost Coffee are the competitors of Starbucks and due to rising competition they
have used strategies and tactics to overcome with challenges and threats. This report comprises
of impact of macro environment- PESTEL, examining internal environment SWOT, analysing
porter five forces model and theories as well concepts/ models which in relevance with strategic
planning.
TASK 1
P1 Using different frameworks examine the impact of macro environment
Strategies in business are important because they affect the firm productivity and overall
growth and development. Business needs to develop and adapts change at every phases finance,
human resources so implementation of strategies are necessary in firm. (Anderson, 2019)
Strategies assists business to generate new ideas, thoughts and new processes to stimulate entities
marketing activities. There are various macro environment factors which affect business
strategies which are mentioned below-
PESTEL Analysis-
PESTEL Analysis refers to tool which is used to determine various activities in market
and factors. Starbucks uses this tool to evaluate the factors which affect their business growth.
Using of PESTEL Analysis is essential because it assist in understanding of proper evaluation of
business and strategies at different level. Also, adoption of this analysis makes firms active and
aware about market trends as well as changes happening worldwide. So, entities uses this firms
to save time, cost, manpower as well as resources (Park, 2019).

Political factors- Political factors are those comprises of tax policy, trade, environmental
law etc. These factors indirectly affect the business growth and distract the from their core
activities. Proper market research and information is important to to overcome with these
political factors. Countries have different rules and regulations and according to which
organisation perform their activities so, it is for entities to focus on every segment for coninuity
of business. Starbucks successfully follows and pay attention to these factors so that conflicts
does not arises in ongoing process (Wei, 2016).
Economical factors- Economic factors are those which includes inflation and deflation
rate, wages, and involvement of government slow down the business progress at rapid level.
These types of factors are not controllable by firm so a proper market research is to be
considered when facing economic factors. In context to Starbucks, they properly maintain their
relationship with both government as well as management which assist business to face such
type of challenges (Garrette, 2017).
Social factors- Social factors those which includes behaviour, religion, culture etc. These
factors important to analyse because they help in determining the outcomes of business.
Organisation uses social factors so that marketing strategies are performed in proper manner.
Also, customers behaviour and perception depends upon these factors so, it is crucial to analyse
these social factors because following these factors assists business to use strategies in [proper
manner. In relation with Starbucks, they focus on these factors with motive of acquiring more
and valuable customers and large profit share growth. For example – earlier Starbucks used to
focus on high prices and high status of people but due to availability of alternatives in market
now they have also started targeting middle class people by focusing on social factors so that
product is consumed by everyone worldwide.
Technological factors- Technology is important for both organisation as well as society.
These technological factors includes use of artificial intelligence, advanced tools and equipments
etc. New entities are coming with innovate approaches and commercialisation which has
increased the value of technology in market. Due to excess use of technology, people have
become addicted to technology and its use. No matter what human work has been simplified by
use of technology but it has also created a negative impact in minds and behaviour of the people.
Starbucks uses various advanced coffee makers machines with advanced functions. Adoption of
technological actors has risen the sales revenue but also have lead to huge cost of production in