Business Strategy for Desklib - Analyzing Macro Environmental Factors, Internal and External Capabilities, and Porters Five Forces

Business strategy

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Analyse the affect of macro environmental factors on the management...............................1
Pestle analysis -......................................................................................................................1
Swot analysis - .......................................................................................................................2
Ansoff model - ......................................................................................................................3
Internal and external capabilities of company. ....................................................................4
Explain porters five forces in order to M&S. .......................................................................7
Applying the theories, concepts and models that communicate the strategic planning for the
management?..........................................................................................................................8
M4 Strategic management plan..............................................................................................9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
The term business is the activity which consist a exchange of monetary funds in return
of goods. The companies can be profitable and non profitable both like multinational companies
and charity groups and many others enterprises. The organisation can be differentiated on the
basis of size, income and capital invested. It can be run by single person or can be owned by
directors. It plays a huge role in trends and society as it contributes in increasing growth scale
of the company by providing job opportunity and many other ways. They also assist in
making creativity and create technological improvement. All business entity have common
goal of making profit (Ganeshan, and et., al., 2018). In this report considering company Mark
and Spencer, the company well recognised in UK it was founded in 1942 by Thomas mark
and Michael Spencer. It deals in home based grocery product , clothing and many more. The
report will cover the pestle analysis, swot, stakeholders and ansoff model. Resource based view
and vrio model or McKinsey 7's model. In part 3 it will cover porters five forces. In part 4
porters generic and bowmen models in brief.
MAIN BODY
While running a business company needs a theories to run a company in a systematic manner,
so that work can be done efficiently. The business theories makes the operations more easy
and impactful for person. The models are described in below.
Analyse the affect of macro environmental factors on the management.
Pestle analysis -
It is a framework that helps in understanding the external factors of the company. This
consist a factors that aids in improving the productivity in order to achieve an institutional
goals. The further discussed more in below.
 Political factors - This component of the theory explains the rules and governance
laws of the particular region or country. It includes taxation , policies and government
control. In order to mark and Spencer, the company is top leading company in
worldwide. The company has a huge business labour from EU but after the movement
of Brexit the company faces a issues like weak supply chain network and reduction in
man power that gives a negative impact in company.
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 Economical factors - This components includes inflation rates, foreign exchange
rate and economic growth. In extent of M&S, the country has the largest economy in
the world and also is an open economy. The monetary policy of UK are properly
controlled as the authorities has powerful funds and has successfully controlled a
minimum charge of deflation. Thus the company always provides a quality goods to
their consumers.
 social factors - this factor of framework considers a trends and taste of the users . In
relation of M&S, the company as taste and preferences changes as per the trends the
company constantly changes their designs and modify their goods and products by
understanding the taste of consumer so that they can expand their concern more.
 Technological factors - This factor considers a technology and automations that
impact the organisation. In case of M&S, the company has launched automation
transformation scheme that would able the institute to be an digital first and deliver
a diversified consumer experience.
 Legal factors - The components that includes a laws and policies that impact the
business in various aspects. In relation of M&S, the laws are changing at every
regions and they changes rapidly as per the conditions. The outlet of the trade in wide
street was getting being renovated at the time when ceiling tiles consisting the
cancer causing material, eventually this issue gives them a huge loss in business.
 Environmental factors - it consist a surrounding and social values of the company.
The considered company has launched their own green policy through this they want
to reduce the wastage that cause a bad effect on the atmosphere.
Swot analysis -
It is model which is helpful in analysing the internal components as it get to know the
strength and opportunities for the company on the other hand it help in improving the
weaknesses and threats of the company so that they can have a good competing power with
the rivals.
Strength
 The company has wide range of the
products and the brand is well
recognised in the global market.
Weaknesses
 Strong competition with other retailers
has reduce the equity market of the
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