Competitive Strategy Analysis

Running head: COMPETITIVE STRATEGY ANALYSIS
COMPETITIVE STRATEGY ANALYSIS
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Author Note

1COMPETITIVE STRATEGY ANALYSIS
Strategy 1
I. Introduction and explanation of PESTEL framework
PESTLE framework can be defined as a tool that can be used by the marketers for the
purpose of analysing and monitoring the external or macro environment based factors that are
able to affect the organization. The different factors that are a part of the PESTLE framework
include, political factors, economic factors, social factors, technological factors, legal factors
and environmental factors (Annarelli and Nonino 2016). The macro environment of modern
organizations can be analysed in a detailed way with the help of the implementation of this
framework in a detailed manner. The macro environment of an organization is able to
influence the strategies that are developed and implemented in different operations. The
international expansion based strategies of organizations are also supported by the PESTEL
analysis framework (Daspit et al. 2017).
II. Application of strategy
PESTEL framework can be used by Woolworths in order to analyse the ways by
which the macro environment based factors can affect its strategies.
Political factors – The major stakeholders of Woolworths are the non-government
organizations and the policy makers. Government regulations have an influence on the prices
of the products and services of the company.
Economic factors – The inflation rate and exchange rates will have an impact on the
regulations and policies that are formed by Woolworths (Demir, Wennberg and McKelvie
2017).
Social factors – The demographics and gender roles of the customers are able to play
a major role in the development of product portfolio of Woolworths.

2COMPETITIVE STRATEGY ANALYSIS
Technological factors – Woolworths will be influenced by the technological
disruptions that have occurred in the retail industry and investments that have are made by
the company (Durand, Grant and Madsen 2017).
Environmental factors – The government of Australia has signed the Paris Climate
Agreement and an organization like Woolworths needs to adhere to the regulations and
policies.
Legal factors – The Intellectual Property Rights in Australia will be affect
Woolworths if the organization does not develop protective policies (Hitt, Ireland and
Hoskisson 2016).
Strategy 2
I. Introduction and explanation of SWOT framework
SWOT analysis is considered to be a strategic planning based technique that can be
used in order to offer backing to the organization in order to identify the strengths, the
weaknesses, opportunities and threats that are a part of the business operations. The proper
specification of objectives that have been formed by the business in order to gain success in
the industry. The internal factors that are considered to be favourable by the organization are
analysed with the implementation of this framework (Kenworthy and Verbeke 2015).
II. Application of strategy
Apple can use SWOT framework in order to study the internal environment related
factors that have an impact on the strategies that are implemented.
Strengths – The brand image of Apple is strong and the company has gained high
profits in the industry with the help of rapid levels of innovation in products.