Global Business Environment: SWOT and Operational Impact Analysis

GLOBAL BUSINESS
ENVIRONMENT

Table of Contents
GLOBAL BUSINESS ENVIRONMENT.......................................................................................1
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
SWOT Analysis..........................................................................................................................1
Operational Impact Analysis.......................................................................................................2
CONCLUSION ...............................................................................................................................3
REFERENCES................................................................................................................................5

INTRODUCTION
Global business environment is the aspect which provide the brief information about the
different sovereign countries with the various distinct factors to the native environment of the
company that is influencing the capabilities, resources and decision making of the
company( Pant, Virdi and Chaubey, 2020.)). Aldi is the chosen organsaition for this report, It is
the leading supermarket business which is established in 1946 and ensure deliveries of the
products that is reasonable for the customers. This report will cover the SWOT analysis of the
company is also analyse their operational analysis.
MAIN BODY
SWOT Analysis
It is the framework of analysing the micro factor of the business which is impacting the
overall functionality of the business. In includes the strengths, weaknesses, opportunities and
threat of the company so that they can exist in the competitive environment in order to have the
effectiveness in the operations. In context to Aldi, Swot analysis is explained as follows:
Strength:
 Stores like Aldi is surviving due to discount store chain as most of the products are what
the customers uses on day today basis and they are offering lower of their products then
other companies.
 Aldi is also having the strong ecosystem which has analysed the critical parameters of
food retailing and This aspect making them more successful in their business.
 The company is having good product mix as they are offering general merchandise which
cover more than 25% of the total shelf in the stores(. Morrison, 2020).
Weaknesses:
 Aldi is having low profit margin as it is completely based on the sales volume but they
eliminates the actions such as price discrimination and treat their suppliers badly to
ensure high profit margins.
 Discount store are mostly preferred by the low and medium income group of consumer
and this is very rare to find in the high-income groups in Aldi. Hence, they are having
poor penetration in high-income groups.
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