Internal and External Factors: AstraZeneca Case Study
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This case study examines the internal and external factors affecting AstraZeneca, a leading pharmaceutical company. It discusses the SWOT analysis, PESTLE analysis, and the company's impact on its external environment.
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\ Business environment can be defined as the analysis of the internal and external environment of the business so that an organization can examine the impact of company on the business environment (Khajeheian, Friedrichsen andMödinger,2018).Organizationchosenhereis AstraZeneca,itisoneoftheleadinginternational pharmaceutical company based in UK in 1999. It mainly dealswiththeproductslikemedicinesandother medical equipments and requirements. The following discussion is made on the internal factors that is SWOT analysis, external factors that is PESTLE analysis and impact of business on it's external factors in context of AstraZeneca. Environment factors:Role of leadership is taken by the company to fight against the climate change globally Internal factors SWOT Analysis:It is defined as the analysis that affects the internal environment of the business which includes the company's strengths, weaknesses, opportunities and threats (Teoli and An, 2019). Strengths:Ranked first company in terms of innovation. High usage of research and development among the industry leaders. Financial performance is strong. Weaknesses:Image in public relations are bad along with complicated controversies associated with it. Failure in rate of drugs resulted in high losses in its operations. Leadership and effective management is lacking.Opportunities:It has a growthopportunityinanemergingmarketthatcanbe considered as the drivers of future for growth.Threats:It is facingacquisitionbyfinanciallywealthier,biggerand powerful companies in an industry. Generics has led to the losses and very low revenue generations in an organization. Drug development cost is increasing day by day. HowthecompanyimpactitscontextExternal Environment Company has a moderate impact on political factors due to Brexit and support by government Company has a moderate impact on economical factors due to less drugs prices and deteriorating returns Company has growth opportunities in it's social factors due to increase in ageing, disease and income levels Company has growth opportunities in it's technological factors due to innovation and artificial intelligence Company is facing threats in terms of legal factors due to GDPR, CTR and decline in drug approval Companyhasgrowthopportunitiesinit's environmentalfactorsdue to contributing in global climate change (Perera, 2017). External factors PESTLE Analysis:It is defined as the analysis that affectstheexternalenvironmentofthebusiness (Hamilton and Webster, 2018). Politicalfactors:Brexitisthereasonofuncertain political factor. Increase in government spending and supporting on healthcare programs. Economical factors:Drugs prices are being lowered by the economy of the country. Lack in return on investment by research and development of the company. Social factors. Growth opportunities for the firm due to ageing increase of the population. Growth in number of patients due to urban lifestyle. Rise in levels of income. Technologicalfactors:Companyisinvestinginthe centreofbuildingforinnovationtopromote manufacturing on a quality basis. Innovation in artificial intelligence and tracking systems to tackle counterfeits. Legal factors:Company is facing the declining in the approval of drugs from the regulatory bodies. Changes in corporate rate of taxes. GDPR is affecting operations of an organization. Individual poster INTRODUCTIONInternal and external factors References: Books and Journals Hamilton,L.andWebster,P.,2018.Theinternational business environment. Oxford University Press. Khajeheian, D., Friedrichsen, M. and Mödinger, W., 2018. An introduction to competitiveness in fast changing business environment. InCompetitiveness in emerging markets(pp. 3-11). Springer, Cham. Perera, R., 2017.The PESTLE analysis. Nerdynaut.