Internal and External Factors Affecting Sainsbury's Business Practices

This report discusses the internal and external factors affecting Sainsbury's business practices, including political, economical, social, technological, environmental, and legal factors. It also explores how the company can impact the external environment and suggests ways to improve human resources, capital resources, and infrastructure. The report concludes that analyzing these factors is crucial for achieving business goals and contributing to the growth of the economy. References are included.

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Business is an enterprise in which the
entrepreneurs are engaged in order to provide their
goods and services to the targeted customers so
that they can generate profitability from the
competitive market. It is important for every
organisation to determine the internal and external
factors which affects their functioning. The Chosen
organisation of this report is a Sainsbury who is
dealing in a retail sector industry. It was founded in
the year of 1869 by John James Sainsbury. It has
the largest chain of supermarket in the United
Kingdom and captures more than 16% of market
share. This poster is being discussed about the
internal and external factors which has an impact
on the company and also discuss the different ways
in which the company can impact the external
environment.
Political factors: it is the factor which impacts the functions of the
business as because of the policies which are formed by the
government and other authorities in order to operate the business
organisation with their framework. If the government has enhanced
the amount of tax then it will be difficult for the chosen organisation
to sell their products and services at the reasonable price.
Economical factors: These factors are based upon the
unemployment import and export rate which are applicable within
the territory. It is important for the Sainsbury to look out the factors
which directly affects the profitability of the organisation. In order to
overcome with these factors it is important for the company to
develop their strategy in such a manner so that they can generate
profitability from the competitive market.
Social factors: these factors are based upon the customers and the
Trends which are going on in the market place. It is important for
the Sainsbury to analyse the requirements and preferences of the
customers so that they can provide their goods and services in such a
manner which helps them to satisfy the targeted audience.
Technological factors: in present scenario the technology is
changing very fast. So it is important for the Sainsbury to use the
latest technology which helps them to satisfy the requirements of the
targeted audience into an effective manner.
Environmental factors: these factors are based upon the rules and
regulations which are developed by the authority in order to protect
the environment. Sainsbury also uses several techniques so that the
company can protect environment and this also resulted in attracting
more customers in order to avail their products and services.
Legal factors: these are the success factors which are leading in
order to develop the rules and regulations and applied on the chosen
organisation. As it is important for every company to follow all the
provisions which are developed by the government and other
authorities so that they can provide their goods and services to the
targeted customers in all legal manners. This helps the company to
avoid any kind of legal trouble.
Business in Practices
INTRODUCTION External factors

Internal factors and discuss the different ways which can be used by the company and
can impact on the external environment
These factors refers to anything within the organisation and under the
control of the company as no matter whether they are tangible or
intangible but they are under the control of the company. Some of the
internal factors are discussed below:
Human resources
In the morden global economy it is important for every organisation
to use their Idea and digital skills so that they can increase their
economic value and the human resource can be a company's greatest
treasure. The employees can be either a strength or weakness for any
of the organisation as it depends on the level of practical skills
attitudes towards work performance and many other things.
Capital resource
It is important for the organisation to view their financial capital as it
is necessary for the organisation to grow and sustain their business
for a longer period of time. No company can survive in the
competitive market without having strong capital resources. It is
important for every organisation to have an enough budget so that
they can easily launch their products and expand their business into
the competitive market.
Infrastructure
When the organisation has already trained and motivated workforce,
so it is important for the company to have systematic operations so
that they can ensure that they have a strong infrastructure of the
company as it is good enough for all the functions. The company
must provide modern and high quality of facilities stable power
internet and Wi-Fi connections so that it will be e easy for the
employees to perform their duties and beneficial as it is resulted in
higher productivity.
Conclusion
It can be concluded from the above poster that it
is important for every company to analysis their
internal and external factors so that determine
their strategies so that they can achieve their
goals into an effective manner. This helps the
company to analysis that these factors also have
an positive impact on the growth of the
economic conditions of an nation.
The advancement in technology is
beneficial for the company as well
as for state. As this helps them to
provide better delivery of their
goods and services which also
helps them to satisfy the
requirements of their targeted
audience into a better manner. The
positive changes in policies also
helps the company to generate
more profits as this helps them in
increasing the margin of profits but
on the other hand when there are
negative changes in the policies
then it will be difficult for the firm
to survive in the competitive
market.
References
Dagiliene and et. al., 2020. Wise managers think about circular economy, wiser report and analyze it. Research of environmental reporting practices in EU
manufacturing companies. Journal of Cleaner Production, 274, p.121968.