Context of Business: SWOT and PESTLE analysis of Ikea, Leadership Styles, and Corporate Social Responsibility

Context in Business

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Frame SWOT and PESTLE analysis of Ikea and the impact of changes in PESTLE that create
threat and opportunities for an organisation................................................................................1
Compare & contrast different leadership styles and provide recommendations for the best
leadership & management approaches........................................................................................3
Recommendation of a suitable leadership style..........................................................................4
Corporate social responsibilities in the business procedure........................................................5
Writing a reflection on experience in preparation of the report..................................................5
CONCLUSION ...............................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Business in context is the concept which includes those factors that is having direct or
indirect impact on the operations of the business. This also represents the various issues in the
different business so that they can rightly improved and all the business activities can be run an
appropriate manner(Sari, Mariam and Sinaga, 2021). For understanding the concept of business,
the report is based on the Ikea, it is the leading company which is operating their business in
furniture, home ware, kitchen appliances and certain goods which are effective for home decor.
This report will analyse the factors which is presented in PESTLE analysis and the impact on
operations business. This also analyse the internal capabilities by conducting the SWOT analysis
by which threats and opportunities can be identified for the business. Moreover, different
leadership style is being elaborated and their comparison so that right leadership style can be
recommended to the company in order to attain organisational goal. At last, It reflects corporate
social responsibilities which is influencing the business along with the reflection of the report.
MAIN BODY
Frame SWOT and PESTLE analysis of Ikea and the impact of changes in PESTLE that create
threat and opportunities for an organisation.
SWOT ANALYSIS
It is the framework which helps in analysing the internal and external capabilities to
evaluate the profitability and accessibility of business by which they can meet the competitive
advantage. In UK, Ikea is a leading company and that is important to analyse the SWOT
analysis( Shahzad, Raja and Hashmi, 2020). Thus, It helps in conducting the business by
analysing the different aspects of the marketplace related to the internal strength and weakness
along with the external opportunities and threats that are explained by which they can have the
have the long term term sustainability.
Strength Weaknesses
 The main contribution of the company
is their clear vision is to add value to
the customer buying behaviour by
which they can contribute in upgrading
 The main weakness of Ikea as they are
offering less quality products to their
customers by using low pricing
strategy. This lower down their market
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the market(Kallenos, 2021).
 Nominal prices of the Ikea products
and services are the main strength by
which they can attract the large pool of
potential customers.
image.
 The Environmental concern is major
concern in the operations of Ikea and it
shows the weakness for the company
while communicating their policies to
their employees, stakeholders and
customers.
Opportunities Threats
 They are launch the new business
model in which they focuses on
renovating their products so that they
can rightly attract the large customer
base and main concern is to use the
green and eco-friendly products which
helps in establishing the good brand
image in the market.
 They can expand their business by
using online platform where they can
easily attract the large group of
potential customers and generate huge
profits with easy access to the
customers.
 Changing law and the rules within the
country badly impact the price and the
functionality of the Ikea goods and
services.
 The main concern for the Ikea is
emerging competition in the market
place(Jia, 2020).
PESTLE Analysis
It is a tool which is used as situational analysis for the business evaluation purpose, it
evaluate the highly dynamic external business environment that affect the management
decisions. It give an overview of different macro-environment factors to be taken into
consideration and help in understanding the market growth and decline, potential and business
position etc. In context of IKEA, certain factors are given below:
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