Reflective Analysis Of The Internal Business Environment

Reflective Analysis Of
The Internal Business
Environment

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Value chain model.......................................................................................................................1
TASK 2 ...........................................................................................................................................3
About Unilever............................................................................................................................3
TASK 3 ...........................................................................................................................................3
Internal environment...................................................................................................................3
TASK 4............................................................................................................................................5
Reflection on the usefulness of value chain model.....................................................................5
CONCLUSION ...............................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Business environment refers to the sum of all internal as well as external factors which
impacts on the business activities (Chen, 2018). Whereas, internal business environment defined
to the several components that are present inside the organisation which can effect the choices,
decisions as well as activities of a firm. The aim of internal analysis is to examine the strengths,
weaknesses, competencies, competitive viability, cost position etc. and it considers the resources,
objectives, policies, plans etc. Unilever is chosen as a study of internal business environment
analysis which is a British-Dutch transnational consumer good company. Under this essay study
about the company, value chain model, internal environment as well as provide reflection.
TASK 1
Value chain model.
The value chain model is propounded by the Michael porter in 1985 which is highly
popular in the business world. This model visually represents all activities with equal weight and
focus on the real requirements of a company. As this focused on the systems of an organisation,
how inputs are converted into outputs and buy by the customers. It includes primary as well as
supporting activities (Hamilton, 2018). Primary activities includes inbound logistics,
operational, outbound logistics, marketing and sales as well as services as all these are directly
related to the physical creation, maintenance, sale and support of goods and services. Whereas,
secondary or supporting activities involves procurement, human resource development,
technological development as well as infrastructure of a business organisation that helps in
supporting primary activities. For instance, procurement supports the operations along with the
many activities as well as supports marketing and sales activities with another one.
In primary activities, inbound logistic refers to the whole processes of receiving, storing
as well as distributing the raw materials or inputs within the organisation. Here, the key factor for
creating a value is suppliers relationships (Ibarra, 2018). Operations refers to the transnational
activities which converts their raw material into finished goods which are sold to their potential
customers. Here, the operational system is a key factor for creating value. Outbound logistics is
defined as an activity which is used for distributing products to the end users such as receiving,
warehousing and distributing activities which may be internal as well as external for a business.
In marketing and sales activity the sources of creating value is communication and benefits