Global Business Environment

This document discusses the global business environment, focusing on the SWOT analysis of AstraZeneca. It explores the strengths, weaknesses, opportunities, and threats of the organization. It also covers the functional areas of the firm and the impact of global factors like Brexit and the economy. The document provides insights into the internal and external factors that affect the business and offers study material and assignments on the global business environment.

Global Business
Environment

Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY..................................................................................................................................1
SWOT analysis............................................................................................................................1
Functional areas of the firm.........................................................................................................2
CONCLUSION................................................................................................................................3
REFERENCES................................................................................................................................4

INTRODUCTION
Global business environment is described as the macro as well as micro environment of
the business that affects the working of the organisation in optimistic and negative way. There
are several frameworks that assists the business venture in determining such internal or external
components if the establishments. Business organisation selected here is AstraZeneca, it is a
British Swedish multinational pharmaceutical and biopharmaceutical organisation (Vlados and
Chatzinikolaou, 2019). It was incorporated in 1999 and is headquartered in Cambridge, England.
It has a portfolio for major disease areas considering cancer, cardiovascular, gastrointestinal,
infection, respiratory and inflammation. The following discussion is supported to the SWOT
analysis and diverse managerial functions connected with the company according to the PESTEL
analysis with a effective findings and conclusion.
MAIN BODY
SWOT analysis
This specific model is explained as the analysis of an establishment internally that how the
firm is executing according to their intrinsic resource and it assists to determine the capabilities,
shortcomings, development options and risks of the company. The following analysis is
supported on the organisation of AstraZeneca.
Strengths
The enterprise states that its main strength is obtained from its outstanding portfolio of
commodities, its global reach and above all, the creativity and commitment of its workers. It has
ten products such as Nexium, Seroquel, Crestor, Arimidex and Symbicort, each with
international sales. The global presence of the form is also becoming strong because it is
beginning to show signs of growth in China, developing their business there by over 200% over
the past five years. Apart from the global presence of the business organisation, the particular
venture is a member of the Pharmaceutical Research and Manufacturers of America.
Weaknesses
The main shortcoming of the organisation is that it was affected by drug shortage crisis as
in case of Cefotan. Cefotan has been in short supply cause of production issues and there came a
point when the venture had reached zero supply (Silvius, 2018). AstraZenecais is losing
legitimate battles for the previous few years. There was a recent issue considering the business
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venture of being sued through customers’ heartburn medication Nexium as they claim that firm
sought to preserve their market share and profit margins as the patent on their blockbuster drug,
Prilosec was set to expire, by initiating a massive and misleading promotion and endorsement
campaign to deceive customers into buying Nexium, a nearly identical new drug.
Opportunities
In term of opportunities, the organisation has several to be glad about. Primarily, its
recent success in nations such as China, Latin America and Eastern Europe can open up diverse
possibilities (Swot Analysis of Company Astrazeneca. 2019). Also, the venture is maximising
demand for creative drugs, especially on diseases which are presently difficult to cure such as
cancer and diabetes. The firm has the potential to make breakthrough drugs as demonstrated in
their development of Galida and Crestor. Enhancement and creations in oncology medications is
also one of the brewing opportunities for the business enterprise. Investment in Biotech can also
generate or prove to be a important opportunity for the enterprise. Along with alliances for
oncology growth, AstraZeneca currently tries to penetrate the Biotech sector.
Threats
The main threat and risk which can be faced by AstraZeneca is competitors. The
organisation stated that the acquisitions could assist them to expand the internal biotechnology
research ability but some analysts say that they lack. Risks finally, threats for the organisation
are plenty, specially the present situation of the pharmaceutical sector. Another issue which
affect the business of respective firm is changes in laws and legislations. These threats, if not
carefully planned and addresses, may affect the development of AstraZeneca to a high level.
Functional areas of the firm
Globalisation
Brexit
This aspect affect the marketing of AstraZenecadue to Brexit war in entire nations
business world like UK and European nation, they had modified their trade policies and tax
policies which influences in unfavourable manner to company. They had suffered fiscal issues,
unemployment complexities and development also (Wei, Thurasamy and Popa, 2018). This war
affects the venture value as establishment has several allegiants consumers form different areas
but because of the firm could not reach out other global customers and they has limited area to
render their products and services.
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Economical factor
This aspect affects the business and marketing of AstraZeneca in global business
environment. During pandemic because of lock down situation, the unemployment pace is very
wide and accessibility of resources are also very low (Bejtkovský, Rózsa and Mulyaningsih,
2018). Consumers could not spend more cost for commodities and they have fearfulness of virus,
therefore consumers do not go out something to wear. During lock down, individual could not
visit outlets or stores so they have no choice to scope out individual.
HRM
Brexit
This component on human resource management of AstraZeneca, due to Brexit was
nations modified their policies and their social relations are not effective. Citizens also have to
precede rules and legislations of nations, cause of these individuals are defined to operating
business in other country. HRM did not have range or scope to cover wide area they has limited
locations.
Economic factor
This aspect affect on human resource management of AstraZeneca, during this pandemic,
nation has high pace of unemployment and in business organisation employees did not has piece
of work to do and they thought many plans for growth but all schemes not as much beneficial as
they are expecting (Vlados and Chatzinikolaou, 2019). It influences the performance and
development of establishment due to virus, they has to lower HR strategies and they are not at
operational level as they have planned it could be.
CONCLUSION
It has been summarised that analysis of internal and external atmosphere of the business
is a significant study for each venture in context of managing its operational working of the firm.
It is required to identify rivalry benefits of the establishment so that can get stability in the
market by knowing about its optimistic and unfavourable points and hence it is crucial to
examine to operate the business efficiently. Thus, this assessment covers the examination of the
SWOT analysis as per to the PESTEL analysis of the company and different organisational
functions that are connected to it for good understanding the concept of global business
atmosphere.
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REFERENCES
Books & Journals
Vlados, C. and Chatzinikolaou, D., 2019. Methodological redirections for an evolutionary
approach of the external business environment. J. Mgmt. & Sustainability, 9, p.25.
Silvius, G., 2018. Integrating sustainability into project risk management. In Global Business
Expansion: Concepts, Methodologies, Tools, and Applications (pp. 330-352). IGI Global.
Wei, L.H., Thurasamy, R. and Popa, S., 2018. Managing virtual teams for open innovation in
Global Business Services industry. Management Decision.
Bejtkovský, J., Rózsa, Z. and Mulyaningsih, H.D., 2018. A phenomenon of digitalization and E-
recruitment in business environment. Polish Journal of Management Studies, 18.
Online
Swot Analysis of Company Astrazeneca. 2019. [Online]. Available Through: <
https://acasestudy.com/astrazeneca-swot-analysis/>.
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