Analyzing the Impact of Macro Environment on John Lewis Ltd

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Contents
Contents...........................................................................................................................................2
INTRODUCTION...........................................................................................................................3
PART A...........................................................................................................................................3
Applying appropriate frameworks analyse the impact and influence of the macro environment
on a given organisation and its strategies....................................................................................3
Critical analysis of macro environment to communicate strategic decisions..............................5
Analyse the internal environment and capabilities of a given organisation using appropriate
frameworks..................................................................................................................................5
Critical analysis of internal environment.....................................................................................2
Applying Porter’s Five Forces model evaluate the competitive forces of a given market sector
for an organisation.......................................................................................................................3
Strategies to enhance competitive advantage and market position.............................................4
PART B...........................................................................................................................................4
Applying a range of theories, concepts and models, interpret and devise strategic planning for
a given organisation.....................................................................................................................4
Strategic management plan..........................................................................................................5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
The term "marketing strategy" alludes to the situation and judgments which collectively
provide guidance to a firm's management (Al-Surmi, Cao and Duan, 2020). It is primarily intended
to capture the support of a majority of people in order to make sure that corporate requirements are
fulfilled inside the time limit allotted. Business strategy aids a company in acquiring a key strategic
advantage over competitors in the industry. The preceding study relied on John Lewis, an UK store
that sells timepieces, apparel, jewels, foodstuff, skincare, and furnishings, among other things. The
study includes a PESTLE analysis to learn about the impact of the macro - environmental, a SWOT
analysis, and a VRIO study to learn about the organization's competencies. In addition, a Porter
Five Forces study is used to evaluate a company's competitive situation. In addition, the Ansoff
matrix was utilised to evaluate the various potential alternatives and create a marketing
management strategy.
PART A
Applying appropriate frameworks analyse the impact and influence of the macro environment on a
given organisation and its strategies
To practice systematically and execute commercial activities, major corporations must
examine their macro - environmental variables, that will help them identify possible deviations that
have a major impact on the company. PESTEL analysis was used by John Lewis Ltd to examine
macro environmental issues.
PESTEL Analysis- This is a methodology for analysing external influences affecting the
company in order to establish appropriate plans for conducting business activities efficiently.
Moral, financial, cultural, scientific, climatic, and regulatory considerations are all part of the
investigation. In the perspective of John Lewis Ltd, PESTEL assessment is characterized as under:-
 Political: This company have opted to join the industry of the Great Britain, which is a
member of the European countries. In EU, trade restrictions are fairly reduced, which
allows new entrants to entering the industry without relative ease, resulting in increased
rivalry for John Lewis Ltd. As a result, the British government has chosen to reduce
corporate tax from 30% to 28% that will be extremely beneficial to businesses in terms of
increasing competitiveness in the industry. The adoption rate of the governmental
component would contribute to the organization's ability to conduct product development
in an effectively and efficiently. John Lewis is often expected to design policy in line with
the administration's policies and standards (Aversa, Haefliger and Reza, 2017).

 Economical: The entire economy of the Great Britain has been impacted by Brexit, that
has resulted in a depression and excessive bank rate swings. To properly deal with this
circumstance, retail businesses must give low - cost products to their buyers. Such
economic environment will have an impact on John Lewis Ltd's operational processes;
companies would need to lower the prices of the goods and services for clients, as well as
offering exceptional deals to stay competitive. John Lewis Ltd. is critical to create goods in
order towards being able to gain new customers through their price strategy. However, it is
extremely difficult for the organization's director to adjust the properties related.
 Social: This mindset of civilization is changing at a rapid rate, resulting in numerous
possibilities for businesses to attract the imagination of consumers by introducing new
products or services to the marketplace. This aids a company in developing a wide core
audience and profit maximisation in the industry. John Lewis Ltd. successfully attracts
clients' interest by introducing innovative and attractive merchandise. It may also cause a
loss for the company organization that makes adjustments in response to its rivals'
demands, because otherwise its client base will migrate to a rival. As a result of this factor,
retail companies are now capable of promoting innovation in response to societal need.
 Technological: Those elements apply to online buying, which has been launched by John
Lewis Ltd with both the goal of reducing paper waste and attracting clients by allowing
them to buy at any time and from any location. Businesses today also employ advanced
technologies and procedures to efficiently control its activities. Such elements aid
companies in implementing technology that streamlines and improves their job. However,
implementing modern technology is costly for a firm for a period that has an impact on
financial strategy as well as other operations (Beamish and Lupton, 2016).
 Environmental: Organizations in the business market are already taking enticing efforts
toward creating a cleaner atmosphere. John Lewis Ltd has accumulated a variety of
equipment as well as a plan for reducing its co₂ emissions. In addition, companies have
begun to employ recyclable materials in order to reduce environmental pollution and
manufacture it efficiently. As a result, the largest economy is capable of producing items
that are more environmentally friendly in order to attract more clients. However, as a result
of this, John Lewis Ltd. will need to invest more dollars in order to integrate these
approaches in the firm.
 Legal: In operating with in retailing industry, John Lewis Ltd. ensures that almost all
legalities pertaining to individual and organisational safeguarding are applied consistently.
They use appropriate natural energy in the clothing production process. Aside from that,