Global Business Environment

Global Business
Environment

Table of Contents
INTRODUCTION...........................................................................................................................1
SWOT analysis ..........................................................................................................................1
Impact of key drivers of business environment on firms functional areas.................................3
CONCLUSION ...............................................................................................................................4
REFERENCES................................................................................................................................5
.........................................................................................................................................................5

INTRODUCTION
Global business environment is mainly associated with uncontrollable and exogenous
factors of an international market that have influence on decision making and other capabilities
and operations of an organization (Stanković and Novaković, 2019). This part of assignment is
based on TESCO plc which is a leading and well known British multinational retailer having its
headquarter in England, UK. This assignment consists a SWOT analysis together with impact of
key drivers on functional areas of a firm.
SWOT analysis
SWOT analysis is basically a matrix that provide information regarding the internal
strengths and weakness of an organisation that makes it able to grab the opportunity and reduce
the negative consequences of threat. TESCO is among one of the leading retailer which deals in
groceries, F&F Clothing, and other associated items across various regions of world that includes
UK, Europe, Asia, Ireland, Hungary, Thailand, etc (Andresen and Bergdolt, 2019). Following is
the SWOT analysis of TESCO organization reflecting its internal capabilities and weakness
together with the existing business opportunity and threats:
Strengths Weakness
 The biggest strength of TESCO is long
standing history in UK which is the
reason behind having a credibility and
loyalty among customers and accounts
for 28.1% of total market share of UK
which makes it a leading retailer across
the UK (Tesco SWOT Analysis 2019,
2019).
 Strong and wide range of Product
portfolio especially in top driving
sectors that includes groceries, clothing,
electronics, furniture etc. enhance its
capabilities.
 TESCO is also among one of the
 Failed operations and business project
in US and Japanese market thus, have
to close many stores and faced a lot of
loss in these markets.
 After the Brexit referendum the
TESCO is facing a worst performance
that has lead to reduction in its
operating profit by 9% after 2018.
 Brexit issues has also lead to a decline
in share price of TESCO which are at
below peak in October 2019.
 Maximum amount of spendings are
made in markets of UK and Europe
which hinder performance of TESCO at
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