Business Environment Analysis: Aldi's PESTLE Analysis and Strategies

This report provides a detailed PESTLE analysis of Aldi's business environment. It examines political, economic, social, technological, legal, and environmental factors impacting the company. The analysis explores the drivers of change, such as technological advancements, and their influence on Aldi's strategic planning and competitive advantages. The report also addresses the impact of external factors like trade policies, unemployment, and consumer needs. It concludes by highlighting how Aldi's management can utilize the analysis to make informed decisions and adapt to the changing market conditions within the UK. The report emphasizes the importance of adapting to consumer preferences and adopting new technologies to improve the company's position and revenue.

Global business environment
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Table of Contents
INTRODUCTION...........................................................................................................................3
TASK...............................................................................................................................................3
PESTLE analysis....................................................................................................................3
Drivers of change...................................................................................................................4
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................5
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Executive summary-
Global business environment can be defined as atmosphere in varied sovereign nations,
with elements exogenous to businesses environment of firms, influencing decision making on
capabilities and resource utilize. The current assignment has been described PESTLE analysis in
context of Aldi operating environment. It has been identified that by considered drivers of
chance management make effective decisions and provide direction for further growth of
company.
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INTRODUCTION
The current study will be based on ALDI, which falls under list of leading supermarkets
in UK. It will explain PESTLE analysis model and drivers of chance that management would
consider in regard to growth of company.
TASK
PESTLE analysis
It is one of the strategic frameworks or analysis models enabling businesses to evaluate
external factors within working parameters, and for identifying various potential arenas where
new scenarios can be fundamentally reached. Aldi external factors impacting business goals can
be analysed as follows where there are various scenarios analysed, keenly programming how
firm aims to establish aims and position in competitive industry.
Political factors: Trade policies impacted firm in negative manner when it get changed
vastly where brand operating their business like UK. Due to this factor company have to pay
extra charge and efforts a lot in market for gaining new position among various competitive
parameters have to concentrate on improving its price structure also. Price structures are
impacted which further brings more focused on improving goals, structure of prices among
consumers for developing strong position.
Economical factors: unemployment is one of the factor that put negative impact on sales
and employment activities of company. Government put high pressure on companies to hire local
people in order to enhance their living standards rather than before. It require a lot of efforts and
hard work to change everything accordingly.
Social factors: Aldi has to also focus on changing social and consumers needs within
industry by bringing consumer preference services and socially innovative business standards,
for producing wider competitive goodwill.
Technology factors: New technology factors shall be adopted by Aldi to bring on
various new innovative services, larger product standards to enhance consumers experiences and
also factorise new production target for competitive growth goals. With advanced technologies
company can reach at global level where they can generate more revenue.
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Legal fcators: UK has also changing legal structure where there are different paradigms
such as new functional executive goals where Aldi must aim to adhere all legal requirements
and compliances.
Environment factors: CSR factors for bringing on environment friendly services, put
positive impact on Aldi because they are reducing carbon foot print and taking part in CER
practice which is quite beneficial for them in term of building strong brand image in market and
increase sales rather than before.
Drivers of change
Technology advancement, gain competitive advantages and other elements are
considered as drivers of change that firm can consider and make plans accordingly (Dølvik and
et.al., 2018).
CONCLUSION
From above analysis it has been concluded that company management by considering the
needs of target market and analysis business environment make changes to gain benefits.
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REFERENCES
Book and Journals
Dølvik, J.E and et.al., 2018. Collective wage regulation in northern Europe under strain: Multiple
drivers of change and differing responses. European Journal of Industrial
Relations, 24(4), pp.321-339.
Shtal, T and et.al., 2018. Methods of analysis of the external environment of business activities.
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