PESTLE Analysis of RB: Examining the Global Business Environment

This article provides a PESTLE analysis of RB, a leading international health, hygiene, and home company. It examines the political, economic, social, technological, legal, and environmental factors that impact RB's business. The analysis reveals both opportunities and threats for the company.

Global Business
Environment

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
CONCLUSION................................................................................................................................2
References:.......................................................................................................................................3

INTRODUCTION
PESTLE model is defined as the structure to identify the exterior environmental elements
that shakes the interior environment of the firm. It stands for political, economical, social,
technological, legal and environmental (What is PESTLE Analysis? An Important Business
Analysis Tool, 2020). Reckitt Benckiser(RB) Group is one of the leading international health,
hygiene and home company. It was set up in 1999 in UK. It contracts with the products includes
Dettol, Disprin, Veet, Airborne, Gaviscon, Air Wick, Durex and many more. The following
analysis is built on PESTLE Examination of RB.
MAIN BODY
Political Factors:
These are the elements which include the determinations that government create which
can shake the business confidently as well as harmfully. In context of RB, tensed political factors
which are mostly unstable due to Brexit affects the unpredictable economy. This can be a risk for
the firm for it's own steadiness in a market. RB has a better brand appearance and income and
can effortlessly manage up with this hazard by it's approaches to function business and staff.
Economical Factors:
This factors aims at GDP growth rate and currency rates distressing the industry. In
context of RB, there is a powerful GDP growth rate in upcoming market. Moreover, intense
differences in exchange rates. So this can neither be an opportunity nor be a risk for the
company, economical elements are considered as moderate because of higher GDP growth and
high fluctuations of currency in a market (Achinas, Horjus, Achinas and Euverink, 2019).
Social Factors:
This factors focuses on the life expectancy and people mind set about healthcare goods.
In context of RB, now-a-days individuals are extra sensible about healthcare items. So they can
easily afford higher prices for health care products. Moreover, the firm can partner with the save
the children NGO so that they can gain more trust of the customers in selling their products. This
is an opportunity for the firm to increase it's prices by increasing it's cost of hygiene resulting in
higher life expectancy and get a partnership with NGO.
Technological Factors:
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This elements objects at the digital innovation and lasting development of a company. In
context of RB, this can be an prospect for an organization to revolutionize themselves in
machinery and digitalization for their viable growth. Today, machinery is at it's altitudes and
maximum persons favour digital domain so it is significant to change with the person selections
to continue solidity in the marketplace (Brito and Harkiolakis, 2017).
Legal Factors:
This element emphasis on tax laws and agreement with suppliers. In context of RB, there
are variations in tax regulations but settled agreement structure for suppliers so that there can be
low bargaining power of suppliers. This can be the both opportunity as well as the threat due to
change in laws and accepted suppliers agreement. So this factor can be considered as moderate
for the firm.
Environmental Factors:
This element objects at the carbon footprints and supply chain management. In context of
Rb, the firm should take the initiatives for durable and reduced use of carbon footprints which
can result in lasting sourced supply chain that can benefit the firm as well. So this can be an
opportunity for the company as to consider environmental factors in a positive way
( Christodoulou and Cullinane, 2019).
CONCLUSION
It is decided that PESTLE investigation of RB portrays positive sideways supplementary
as compared to the negative sideways. There are additional prospects rather than threats. So firm
must grind on it's risks initially so that it can be on a harmless side. Openings can give an
organization a good progression and returns by concentrating and examining them at each
viewpoint of these dynamics.
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References:
Books and Journals:
Achinas, S., Horjus, J., Achinas, V. and Euverink, G.J.W., 2019. A PESTLE Analysis of
Biofuels Energy Industry in Europe. Sustainability. 11(21). p.5981.
Brito, T.L.D. and Harkiolakis, N., 2017. Influence of UK economic and market policies on a
small wine merchant. International Journal of Teaching and Case Studies. 8(1). pp.29-
45.
Christodoulou, A. and Cullinane, K., 2019. Identifying the Main Opportunities and Challenges
from the Implementation of a Port Energy Management System: A SWOT/PESTLE
Analysis. Sustainability. 11(21). p.6046.
Online
What is PESTLE Analysis? An Important Business Analysis Tool. 2020. Available through
<https://pestleanalysis.com/what-is-pestle-analysis/>./
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