Management in Practice: Analysis of External and Internal Environment of Fusion Retail

Running head: MANAGEMENT IN PRACTICE
MANAGEMENT IN PRACTICE
Name of the Student
Name of the University
Author Note

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Table of Contents
Introduction......................................................................................................................................2
Discussion and analysis...................................................................................................................3
1. External macro environment analysis..........................................................................................3
ESTEMPLE Analysis of Fusion..................................................................................................3
VUCA Analysis of Fusion...........................................................................................................5
Porters 5 forces analysis of Fusion..............................................................................................6
Industry analysis/ external micro environment analysis..............................................................7
2. Internal environment analysis......................................................................................................9
VRIO Analysis of Fusion............................................................................................................9
Value chain analysis of Fusion....................................................................................................9
3. The management challenge-......................................................................................................12
SWOT analysis of Fusion..........................................................................................................12
Redefining the management challenge of Fusion......................................................................12
Conclusion.....................................................................................................................................13
References......................................................................................................................................14

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Introduction
The technological changes that have currently taken place in the business environment
currently are mainly related to the Fourth Industrial Revolution. The challenges which are faced
by the companies are also a result of the industrial revolution. The changes that have occurred
due to industrial revolution have influenced global incomes and the quality of life of the people
has also been enhanced (Abs.gov.au 2019). The company which is chosen for analysis in the
report is Fusion that is responsible to provide creative types of solutions to partners in the
industry (Fusioncorp.co 2019). The various activities are mainly based on proper development of
the solutions by Fusion are, retail displays, merchandising systems, shop fittings, cross cultural
branding, retail services, design innovation and the digital installations. The offices of Fusion
have been developed in different countries like, China, Sydney, Japan, Hong Kong and Port
Melbourne (Asci.org.in 2019).
The report will mainly offer detailed picture related to the analysis of external
environment with the help of VUCA, Porter’s five forces and ESTEMPLE frameworks. The
internal operating environment of the company on the other hand will be analyzed by using
Value chain and VRIO frameworks. The management challenge that is being faced by Fusion
due to the changes in business environment will also be discussed in the report by using SWOT
analysis framework. The redefining of management challenge will be based on processes
implemented by Fusion in order to develop the operations after changes which have taken place
in the environment (Chung and Kim 2016).

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Discussion and analysis
1. External macro environment analysis
ESTEMPLE Analysis of Fusion
Economic factors – The Fourth Industrial Revolution has many different impacts on the
economic growth of various countries due to the major shifts that have taken place on demand
side. The expectations of customers have also started increasing due to global expansion of the
organizations. Fusion is also affected by the changes that have taken place in the economies of
the countries the organization operates due to increasing demands of customers for low prices for
services. The economic conditions have an impact on the expectations of the customers and
value that is provided to the clients as well (Cleverism.com 2019).
Social factors – The social and cultural influences are considered to be a major factor
that has affected the Fusion Group. The Fourth Industrial Revolution has increased transparency
and engagement of customers in development of solutions that are provided to them. Changes
have also taken place in the societies of various countries that can influence the ways by which
customers behave (Deloitte.com 2019).
Technological factors – The technological trends have faced major levels of changes
with the support that is provided by the enhancement of technology usage. The implementation
of technologies like automation and AI are considered to be the most important aspects of fourth
industrial revolution. Technology implementation has many effects on the ethical implications
and the innovations have also been able to affect the professional lives of people as well
(Deloitte.com 2019).