Comprehensive Business Analysis: PESTLE & SWOT for Pure Gym

This report provides a comprehensive PESTLE and SWOT analysis of Pure Gym Group, examining the political, economic, social, technological, legal, and environmental factors impacting the company, along with its strengths, weaknesses, opportunities, and threats. The PESTLE analysis identifies key external factors such as tax policies, economic conditions, and social trends, while the SWOT analysis assesses internal capabilities and market opportunities. The report also critically analyzes both internal and external factors, highlighting the importance of strong cash flows in adapting to technological changes and the challenges posed by increasing competition and evolving market dynamics. The conclusion emphasizes how these analyses provide valuable insights for strategic decision-making and future growth.

BUSINESS AND BUSINESS
ENVIRONMENT

Table of content
 Introduction
 Pestle analysis
 Traffic light chart
 SWOT analysis
 Analysis of internal and external factors
 Conclusion
 References

Introduction
 The report will discuss PESTLE and SWOT Analysis or Pure Gym group. Factors of Pestle
helps in Political ,Environmental Social, Technological ,Legal and Economic Factors
analysis of firm with other industries. SWOT Analysis will help to find the Strength,
Weaknesses ,Opportunities and Threats of a company which will further helps the
company to grow.

Pestle Analysis
 PESTLE Analysis refers to the tool which is used to obtain a
picture of macro environment in an industry(Perera, 2017).
 Factors which are related with policies of tax, restrictions related
with trade and reforms and also with the regulations of environment
are termed as Political Factors. Political factors of Pure Gym plays
a very important role in profitability of a company in long term.
 Economic factors refers to those factors which are related with
level of unemployment,
 Exchange rates, availability of credit and living cost. Pure Gym
Group can use its economic factor of the country such as rate of
inflation, by which the growth rate can be forecasted. Economic
factors of the group such as norms related with the competition
might affect the competitive advantage of this group.
 Social factors refers to those factors which are related with
distribution of age, level of employment, level of income, various
beliefs among different religions as well as conventions which are
social and cultural. The attitudes and beliefs which are shared
among the population plays a very important role at the Pure Gym
group that how customers will understand the given market.

Traffic Light chart
 These are used for dashboards and for measuring the performance of different kinds which
is helpful for tracking the performance of an individual and helpful in finding out the
need for attention.
Level of competition: It refers to the situation in which people are
trying to get those things which is not possible for everyone that it can
be reach to them. The level of competition will increase if there are
good substitutes for the products available in the market.
Funding Activity: Funding Activity refers to circulation of cash in
the business between its creditors and owners of the business.
Funding is usually done in the form of money. It is an activity in
which the business has to arrange the sources of fund from various
sources.
Legal complexity : It is the type of complexity which are related with
the laws related to tax.
Investment Opportunity Available: It refers to the situation where
the person purchase something and its value will be going to
increase in the future which will benefit the investor.

Swot Analysis
Strength:
 Strength is an organization's resource or capacity which can
be effectively used for achieving its objectives. As Pure Gym
group in its industry, is one of the leading firm which has
many strengths which helps it to exist in a marketplace. The
strengths of this group not only helping in protect the share of
the market but it also helps it to enter or penetrate in new
markets. Here are some strengths of Pure Gym group.
Weakness:
 Core business success is limited outside: There are various
challenges which are faced by Pure Gym group for moving
into segments of other product, though in its industry it is one
of the leading organization.

Cont..
Opportunities:
 Development of market helps in increasing the competitiveness of Pure Gym
group with other competitors(GURL,2017).
 The changes in taxation policy also changed the way of doing the business
and this can be an opportunity for this group which can be helpful for
increasing its profitability.
Threats:
 As the strength of local distributors are growing, it can be a threat for some
markets because due to competition higher margins are paid to the distributors
which are local.
 The demand for the product which are profitable in nature and any unlike
event during the season which is peak, affects the company's profitability.

Critical analysis of both internal and external factors
 Strengths and Weaknesses are the internal factors for the firm or an
industry and these are the factors over which an individual has a control,
and they can be also be changed.
 But the factors which are external for the firm or an industry are
political, social and various other factors which are beyond the control of
the company and these are the things which are happening in the outside
market. The firm has no control over these factors.
 As it is the strength of the Pure Gym Group that its cash flows are strong
so decisions can be taken by the group regarding the expansion plan.
 Because due to strong cash flows, it can take the decisions regarding the
new investments plan or tie up with other companies which can be helpful
for increasing its profitability within the business but linking this with
technological factor the company faces the problem of technological
changes which means due to rapid changes in the technology in very short
period company can cope up with these factors very easily because it has a
strong cash flow which helps it to meet or cope with the technological
changes(Shtal and et.al., 2018).

Conclusion
 The report concludes that how internal and external factors are efficient which further
helps the company to achieve new insights.

Refernces
 Perera, R. 2017. The PESTLE analysis. Nerdynaut.
 Teoli, D. and et.al., 2019. SWOT analysis.
 GURL, E. 2017. SWOT analysis: A theoretical review.
 Shtal, T. and et.al., 2018. Methods of analysis of the external environment of business
activities.