External Environment Research and Analysis

External Environment
Research and Analysis

Table of Contents
INTRODUCTION.................................................................................................................................3
MAIN BODY........................................................................................................................................3
PESTEL Analysis (Sainsbury)..............................................................................................................3
CONCLUSION.....................................................................................................................................6
REFERENCES......................................................................................................................................7
Books &Journal:................................................................................................................................7

INTRODUCTION
In business sector, environment plays important role because activities are carried out
within us earnings of market. Business environment are those which includes both external
and internal factors affecting overall organisational structure (Pupo, 2020). External
environment it refers to factors which occur outside the organisation and impact upon
activities functions and operations. With changing period of time environment of business
sector has been also changed and it has become important to be aware about Sachin are metal
factors which impact upon operations Sainsbury, largest supermarket headquartered in UK.
The enterprise is located globally and has number of subsidiaries such as Argos, habitat,
Home Retail Group etc. Main purpose of this report is to understand the external environment
and research analysis of business. This report comprises of PESTEL analysis on firm
operating environment.
MAIN BODY
PESTEL Analysis (Sainsbury)
It is a framework which is used by enterprise to determine and examine external
factors affecting organisational activities. It is a time consuming process because reliable
information is needed to use this framework. Through use of pestle analysis it is easier to
make decisions about business and to implement effective decision making. It is duty of
manager to make ensure that appropriate frameworks are used which help in carrying out
business activities in most efficient manner. This enterprise does not have a direct impact on
enterprise operations but affect indirectly. This is a reason why it is important to conduct a
proper market research analysis as well as carryout brainstorming sessions so that reliable
information and data is being gathered by organisation (Çitilci, 2020).
In context of Sainsbury, they also used this analysis through which they are able to
make decisions regarding the external factors which affect their workflow and overall
structure. Moreover, it gives them Idea and makes them aware about how they can improve
and strengthen their base of a firm.
Sainsbury
It is the largest supermarket which is headquartered in United Kingdom and operates
its activities at global level of market. They have large number of competitors such as
Amazon, Walmart, Tesco, Asda etc. As the operator global level they use addict strategies as
well as tactics accordingly through which they gain competitive advantage. The operation of
company is expanding at more foreign countries and due to this there are many factors which
business operations. These sectors are identified by carrying PESTEL firm work which is
further mentioned below-
Political factor
It is a component of a PESTEL analysis in which it reflects the involvement of
government with an economy of a country. Moreover it focuses on environmental law trade