Environmental Impact on the Morgan Motors Industry

Running head: MANAGING STRATEGY
MANAGING STRATEGY
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Executive summary
The aim of this paper is to discuss the evaluation of the environment of the industry in which the
Morgan Motors operates. This paper has analyzed the external environment in terms of PESTLE
and porter’s five forces model. The automobile industry is facing dynamic innovations with the
advent of EVs and hybrid vehicles. The implementation of automated technologies in the
manufacturing processes would allow the businesses in the industry to adhere to the stringent
environmental legislations. Therefore effective changes can be seen in tej future. This is why, the
paper has analyzed Resources and capabilities through VRIN framework and forecasted business
sustainability of the company.

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Table of Contents
1. Introduction..................................................................................................................................3
2. Critical evaluation of the environment of the industry in which the Morgan Motors operates...3
2.1 Critical issues emanating from the PESTLE.........................................................................3
2.2 Porter’s 5 forces.....................................................................................................................4
2.3 Summary of the industry environment..................................................................................6
2.4 Critical survival and success factors......................................................................................6
2.5 Change in the industry’s environment in the future..............................................................6
3. Critical evaluation of the strategy of Morgan Motors.................................................................7
3.1 The resources of the organization..........................................................................................7
3.2 Capabilities of the organization.............................................................................................7
3.3 Resources and capabilities (VRIN).......................................................................................8
3.4 Comparison of resources and capabilities in correspondence to the industry success factors
.....................................................................................................................................................8
3.5 Business sustainability...........................................................................................................9
4. Conclusion...................................................................................................................................9
References......................................................................................................................................11
Appendix: PESTLE analysis.........................................................................................................12

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1. Introduction
The dynamic competencies of an organization assists in identifying the different
strategies that might be initiated by the same with the purpose of improving the market holdings.
The environmental assessment and the evaluation of the capabilities of a venture plays a pivotal
role in improving the organizational status in the markets. The purpose of undertaking the
research is to identify the macro environment of the automobile industry and thereby assess the
valuable and rare resources of Morgan Motors.
2. Critical evaluation of the environment of the industry in which the Morgan Motors
operates
2.1 Critical issues emanating from the PESTLE
The political situation of UK is stable which enabled the growth the industry. However,
the legislation relating to abhorrence to the emission of Green House gases and pollutants along
with carbon might restrict the growth of the automobile industry while manufacturing diesel
vehicles. However, it has been found that the people in UK have a significant amount of
disposable income for affording the sustainable models and editions of vehicles that are
developed by the automobile industry. However, the uncertainty of Brexit have hindered the
confidence of the buyers in investing large amount of money towards leisure activities. The
changing preferences of the customers towards buying EVs and hybrid models are commendable
and would benefit the industry in establishing their growth and expansion in the UK markets.
However, it has been observed that significant amount of people are avoiding large investment in
the different fields due to the uncertainty of Brexit imposition which might affect he markets of
the automobile industry in UK.