Business Strategy: Analyzing Macro and Internal Environment, Devising Tactics, and Producing a Strategic Management Plan

BUSINESS STRATEGY

Table of Contents
M1- Critically analyse macro environment to identify and inform strategic management
decision.......................................................................................................................................3
M2- Critically evaluate internal environment to assess strengths and weaknesses of company
internal capabilities, skill set and structure.................................................................................3
M3- Devising right tactics to improve competitive benefit and market position based on
results..........................................................................................................................................4
M4- Producing a strategic management plan that has tangible and tactical strategic objectives
as well as priorities......................................................................................................................5
D1- Interpretate data and information applying competitive and environmental analysis to
produce set of relevant strategic directions, tactical actions and objectives...............................6
REFERENCES................................................................................................................................7

M1- Critically analyse macro environment to identify and inform strategic management decision
In the context of analysing macro-environment, PESTLE model is used, which help to
determine varied factors such as political, social, economic, technological, environmental and
legal. By using this model, it is quite easy to identify these elements that may impact positively
and negatively (Repnikova and et.al., 2020). It enables manager to take better action and inform
in regard to develop effective plan which help occurrence of those factors that may put negative
impact on productivity and profitability of TESCO. This model encompasses key six elements
that affect directly to current management practices and inform strategic management decision in
term of determining current market threats and opportunities that are available in retail sector
where organization is operating its venture in effective manner from longer period. Furthermore,
through analysing and using PESTLE concept, management has been analysed the existing
growth opportunities in market, which they may grab by taking appropriate decision. It informs
strategic management judgement, in term of helping company to determine those factors that
may affect negatively, and awaking them to take better action in context of so, which reduce risk
of complexities and challenges.
It helps in term of making management able to forecast possible trends, threats and other
aspects based on what firm currently known about its business environment (Chege and Wang,
2020). PESTLE analysis in form of macro environment analysis, enable TESCO and its
management to study environment in sector and formulate tactics accordingly that help to obtain
desire outcomes and bring benefits as well.
While it bring challenges as well, because this kind of analysis only inform about
external factors instead of internal, which may also put negative impact on strategic planning and
other practices of management. It just gives an outside perspective about TESCO not insider.
M2- Critically evaluate internal environment to assess strengths and weaknesses of company
internal capabilities, skill set and structure
In the world of business, there are varied forms of models and concepts available that has
been used by many marketers to identify the strengths and weaknesses of their companies
structure, skill set and internal abilities. By using McKinsey’s 7s framework, marketer may asses
the strength of TESCO capabilities, organizational structure and other resources or competences
(Widiantoro and et.al., 2020). Furthermore, along with these, it enables marketer to determine
weaknesses in the context of same things that has been discussed above. The model is quite