IKEA: Analysing Internal and External Factors for Sustainable Growth

In Collaboration with
Name of Assignment
FdA Leadership & Management
Module: Understanding Organisation and Environments
Student Number: ####
Tutor: Julia Davidson
Date Month Year
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Table of Contents
1.0 Introduction................................................................................................................................4
2.0 Internal and external factors......................................................................................................5
3.0 Analysing the factors.................................................................................................................7
4.0 Social Consequences: -............................................................................................................11
5.0 Conclusion...............................................................................................................................14
6.0 Recommendations....................................................................................................................15
References......................................................................................................................................16
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1.0 Introduction
The organizational environment can be explained as the process that composed with various
factors which are surrounded around the organization and having great impact on the
performance, operations and different resources that is used in the organization. This may
include all those elements that stay outside the organization but still having eth potential impact
on the organizational productivity and profitability. It is necessary to understand the concept of
the business organization that influences the organization productivity. An organization is
facing the external environment as the vast impact on the management of the organization
uncertainty. The study focuses on the concept of the organizational environment and elaborates
the impact of internal environment (SWOT analysis), External environment (PESTLE) and
theories of legal systems.
Overview of the organization
For this project the IKEA is chosen is a Swedish founded Dutch based multinational company
that operate its business in designing and selling the ready to assemble the furniture, home
accessories and kitchen appliances. The company is considered as the largest furniture retailer
company since 2008. The company is founded by the 17 years old boy whose name is Ingvar
Kampar and now listed as 10 of the billionaire personality. They IKEA is known for its unique
designs that is adopted or implemented in the home appliances and furniture and the interior
design work with context to the eco-friendly simplicity. Additionally, the company is well
known for the attention rot the cost control, continuous product development and the
operational details that allowed the company to deliver the products and services at a very low
price.
Due to increase in the competition the IKEA Company needs to understand the applications that
as strength and weaknesses of the organization with understanding the concept of the external
envioreonmnt that Maya involve the opportunities and threats.
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