Global Business Environment Analysis: Arcadia Group SWOT and Impact

This report presents a detailed analysis of Arcadia Group, a British multinational retailing company, within the context of the global business environment. The report begins with an introduction to global business and its key components, followed by a SWOT analysis of Arcadia Group. The SWOT analysis examines the company's strengths, weaknesses, opportunities, and threats, considering both internal and external factors. The report further delves into the operational impact analysis, focusing on marketing and human resource management (HRM) aspects, considering factors like Brexit, economic conditions, technology, and social factors. The conclusion summarizes the findings, emphasizing the importance of understanding the global business environment and utilizing models like SWOT to assess organizational performance and growth. The report references academic sources to support its analysis.

Global Business Environment

Table of Contents
Table of Contents
INTRODUCTION...........................................................................................................................1
MAINBODY....................................................................................................................................1
SWOT Analysis of Arcadia Group ...........................................................................................1
Operational impact analysis .......................................................................................................3
CONCLUSION ...............................................................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
A global business environment defines with the companies which are competing in the
global environment is that in international that operates facilitates in the activities such as
factories and distribution centres relates with many countries around the world. Global business
relates with that business activities which are concerns with larger market having all the
activities of their operations are organise globally, external environment which relates with
political, economical ,social ,technological, legal and environmental are comes under global
market which basically leads to impact the organisation when they are competing with one
another in the international environment(Bhagra and Sharma, 2018) . A commercial transaction
between two or more countries in the context of global business these transaction will also
relates with the exchange of finance, technological advancement, people and services. Global
business will easily diversify and expand their business activities because of their higher profits
and with lots of government benefits. The below report is based on Arcadia group its a British
multinational retailing industry , having their headquarter in London, England, it basically owns
high street retailers who deals in clothing like Burton, Dorothy Perkins, Evans. This below topic
will cover the SWOT Analysis of Arcadia group and the impact of this model on this industry
MAINBODY
SWOT Analysis of Arcadia Group
Swot analysis defines with the method or procedure which will assist the organisation or
industry
in determining the status or position on the basis of their current performances which relates with
internal as well external. SWOT analysis is consists with the analysis of strength, weaknesses,
opportunities and threats here the strength and weakness relates with the internal aspects or
factor through which industries going through by their operations and opportunities and threat
considered in external forces where industry do not have any control over it. In the context of
Arcadia group a multinational retailing industry here is the SWOT analysis of this industry are:
Strength:
 This industry relates with the multinational retailing industry deals in 2500 stores in UK
so they are having strong command in the local market and world wide area of serving
their products and services will leads to generates more profitability in respect to their
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operation. For example by owning high street retailers of clothing like Burton , Dorothy
Perkins ,Evans they are engaging with the quality product through advantage of this
retailers(Brenner, 2018).
 This industry having the products like clothing, accessories and shoes this will enhance
the effectiveness of generating more customers by more available products and services
and by serving with quality aspects.
Weaknesses:
 This industry due to the Brexit condition in the UK legislation, this condition impact the
industry on their business areas and workforce this will leads to affect the operational
activities of the organisation as this industry deals in the international market they have to
set their business policies according to the external forces like Brexit, due to this
condition organisation have to deals with low profits as compared to their regular
covering in the context from international market.
 This industry have to depend upon the other retailers to develop any pricing relating
policy because the products in which this industry operates are own from other retailing
so the pricing will initiate from the retailers side first, this will limits the strategies of this
company.
Opportunities:
 By adopting the technological advancement techniques this industry will enhance their
operation of selling the products cause their main emphasis on the physical outlets which
will not giving much effectiveness due to their time consuming process of interacting
with the customers so by adopting the online platform by dealing the customers through
particular websites will generates more loyal customers towards their product or services.
 Opportunities like developing lots of operational activities will turn the organisation in
more benefited way through opting the digital campaigns scenario this industry will make
progress in the international market(Hamilton and Webster, 2018).
Threats:
 This industry due to the Covid-19 they bear large losses due to the inability to operate
their work again with that pace due to the reduction in employees to they are dealing with
problem like not as per expectation selling aspect and due to that they have to compete
with the small retailers industries well.
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 Company is planning to shutdown their some of the stores, this will leads to the threats of
competitors can easily covers their position through staying with their operation by not
going to change.
Operational impact analysis
Marketing: Its business strategy or method which uses for promoting and advertising the
product and servicing, selling the product and analysis and understand the market trend by
inducing the activities of marketing with the aim to built the relationship with their customers
and attain the retention value through serving quality product(Jevšenak, 2019) .
 Brexit: This factor affects the market of industry like Arcadia group due to the Brexit
conflicts with UK and European countries affect the trade policies and taxation
aspects,through that they faces the problem like low operational activity without
operating into European countries and problem in growth of the company and the loyal
customers will also got reduced by this situation of Brexit.
 Economical factor: Because of the lock down situation arise in the international market
leads to cross cutting of their employees which will result in the low productivity of the
products and due to the lack of operational activities by closing of all the physical stores
reduced the efficiency of the organisation (Jevšenak, 2019).
 Technology: This factor act as a positive statement and impact the industry in benefited
way by enhancing the quality of the product through competition arises due to the after
situation of this pandemic, will attain the better results.
 Social factor: This factor drives the industry through analysing the customers taste and
preferences by adopting the trend value by developing the product accordingly by taking
care of the customers demand.
HRM: Its a process of of managing people is that employees in the organisation by taking care
of the employees working environment and improve their performances in the organisation by
developing their career growth(RAO, 2020)(Brenner, 2018) .
 Brexit: Due to the Brexit condition in the UK with European countries this situation
limits the boundary for the people who are willingly comes and do the job this situation
develops the unemployment factor in the organisation and HRM policies will not going
fulfil.
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 Economical factor: During the high rate of unemployment due to the pandemic lock
down which affects the organisation by not adopting the employment generation
approach because no operation activity during this situation leads to no profits at all .
 Technological factor: This factor relates with engaging with new techniques and tools in
the formation of new strategy regarding the new product and services this will leads to
acquire new talents in the organisation which will be done by HRM policies (Hamilton
and Webster, 2018).
 Social factor: By the human resource management they will going to trained the
employees this will leads to the welfare of the society, organisation will work for
employees value in the context of their knowledge and skills.
CONCLUSION
It has been concluded with above reports that every organisation needs to built their
global business environment its relates with the internal and external factors, through that factor
organisation can analysis the growth rate , performance and benefits profitability, models like
SWOT analysis will assist the organisation in analysing the strength , weaknesses , opportunity
and threats which will considered with organisation internal and external factor, operational
impact analysis help the organisation in determining the affect of Covid-19 on the operational
activities and other department of the industry.
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REFERENCES
Books and Journals
Bhagra, A. and Sharma, D.K., 2018. Changing paradigm of employability skills in the global
business world: A review.IUP Journal of Soft Skills.12(2). pp.7-24.
Brenner, B., 2018. Transformative sustainable business models in the light of the digital
imperative—A global business economics perspective.Sustainability.10(12). p.4428.
Hamilton, L. and Webster, P., 2018.The international business environment. Oxford University
Press.
Jevšenak, S., 2019. The Millennials’ Effect: How Can Their Personal Values Shape the Future
Business Environment of Industry 4.0?.Naše gospodarstvo/Our economy.65(1). pp.57-
65.
RAO, S.P., 2020.International business environment. HIMALAYA.
(Bhagra and Sharma, 2018)(Brenner, 2018)(Hamilton and Webster, 2018)(Jevšenak, 2019)
(RAO, 2020)
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