Business Strategy

Business
Strategy

Table of Contents
INTRODUCTION...........................................................................................................................3
LO1 Analyse the impact and influence which the macro environment has on an..........................3
organisation and its business strategies..................................................................................3
Applying appropriate frameworks analyse the impact and influence of the macro environment
on a given organisation and its strategies..............................................................................3
Critically analyse the macro environment to determine and inform strategic management
decisions................................................................................................................................5
LO2 Assess an organisation’s internal environment and capabilities.............................................5
Analyse the internal environment and capabilities of a given organisation using appropriate
frameworks............................................................................................................................5
Critically evaluate the internal environment to assess strengths and weaknesses of an
organisation’s internal capabilities, structure and skill set....................................................8
LO3 Evaluate and apply the outcomes of an analysis using Porter’s Five Forces model to a given
market sector...................................................................................................................................8
Applying Porter’s Five Forces model evaluate the competitive forces of a given market sector
for an organisation.................................................................................................................8
Devise appropriate strategies to improve competitive edge and market position based on the
outcomes................................................................................................................................9
LO4 Apply models, theories and concepts to assist with the understanding and interpretation of
strategic directions available to an organisation...........................................................................10
Applying a range of theories, concepts and models, interpret and devise strategic planning for
a given organisation.............................................................................................................10
Produce a strategic management plan that has tangible and tactical strategic priorities and
objectives.............................................................................................................................12
Critique and interpret information and data applying environmental and competitive analysis
to produce a set of valid strategic directions, objectives and tactical actions......................13
CONCLUSION.............................................................................................................................13
REFRENCES................................................................................................................................15

INTRODUCTION
Business strategy is consider as set of competitive moves as well as actions which is
mostly used by a company for various purpose such as attracting customers, gain succession,
improve performance and attaining goal (Alstete and Beutell, 2016). This will also help an
organisation to carry out their business operations as well as functions effectively so that they
can attain desire end. Business strategy include three basic strategics i.e. cost leadership, focus
and differentiation. Organization taken for this is Canon Inc. which is a public company
operating at electronics industry. This company is offering different products such as
Interchangeable Les Cameras, Fixed Lens Cameras, Instant cameras and many more. It is
founded in 1937 by Takeshi Mitarai, Saburo Unchida, Goro Yoshida and Takeo Mardo. Its
headquarter is situated at Tokyo, Japan and they offer their products at worldwide level. This
report will include several topics that are impact as well as influence of macro environment at a
company, evolution of internal environment and capabilities. Moreover it will also include other
applications of different models like porter's five force as well as it will include strategic plan
that can be used for the evaluation of environmental factors. New strategic consultant has been
recruited by respective company and their role is to develop as strategic management.
LO1 Analyse the impact and influence which the macro environment has on an
organisation and its business strategies.
Applying appropriate frameworks analyse the impact and influence of the macro environment
on a given organisation and its strategies.
It is essential for an organisation to conduct analysis of macro environmental factors
because through it they able to develop decision according to the situation or desire of the
company. For which The Canon Inc. can adopt various methods such as PESTEL analysis,
whose explanation is given below:-
 Political factor- It refers to those elements or policies which are develop by government
that impact on company's business performance. In respect of respective company it is
essential for them to conduct regular and proper analysis of political policy, trade, fiscal,
taxation and so on (Baraibar‐Diez, Odriozola and Fernández Sánchez, 2017). The
political factors of UK is stable which help respective firm to conduct their business in
effective manner. This will have positive impact on company as it will increase its work

performance. Canon's CEO told that he was horrified by Britain's announcement to leave
the European Union. This move hurt the growth prospects of Japan. Europe accounted
for 28% of Canon's sales in 2015 but it does not provide country details. In context to tax
rates, there are chances of notable impacts on Customs Duty and VAT as UK would
need its own tax systems. Transactions to /from will become imports and exports leaving
the other indirect taxes unaffected.
 Economical factor:- This will include factors like employment and unemployment rate,
profitability, buying behaviour of customers and so on. It is essential for The Canon Inc.
to conduct proper analysis of UK economical condition because it will help them in
developing products according to economy of country, peoples and company. The
“Renminbi” is the official currency of China meaning “people's currency”. Many
investors consider the Chinese currency as a potential successor to the US dollar as the
world's top currency, with the rise of China as a global economic power. China will have
to devalue the Chinese Yuan in line with other emerging currencies due to Brexit,
officials are determined to control the pace of the depreciation.
 Social factor:- This will help a company in understanding demographic of market,
customers buying pattern, culture of country lifestyle of peoples and so on. Through
which The Canon Inc. can develop its electronic products accordingly. The UK peoples
are more attracted toward electronic products so it can be opportunities for respective
firm to develop products accordingly. In today environment customer are more using
phones for capturing pictures and it reduces traditional use of cameras.
 Technological factor:- This will help a company in understand technology advancement
at the marketplace so that they can develop products and services accordingly (Ciasullo,
Cardinali and Cosimato, 2017). In respect of The Canon Inc. through this factor they able
to understand UK people views on technology which help them in developing their
electronic products. This company is using new and innovative technological in its
cameras.
 Environmental factor:- It is define as that factor which help a company in developing
strategies by considering environmental functions. In respect of The Canon Inc.
according yo this they can develop their products through eco friendly raw materials as
well as they may also reuse their waste material. Through this UK peoples as well as