BM461 Global Business: External Environment Research & Aviva Analysis

This report presents a PESTEL analysis of Aviva, a UK-based company, within the context of the BM461 Global Business Environment module. It examines the political, economic, social, technological, environmental, and legal factors impacting Aviva's operations. The analysis considers the implications of Brexit, economic growth in developing countries, social trends like pension reforms, the adoption of digital technologies, environmental regulations, and health and safety laws. The report identifies key drivers of change, such as technological advancements and legal changes related to data protection, and discusses their potential impact on Aviva's strategic direction and customer relationships. It references academic sources using the Harvard format.

External Environment
Research and Analysis
Portfolio
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Table of Contents
PESTEL analysis of Aviva..............................................................................................................3
Impact of changes in the business environment on business organisation......................................4
References .......................................................................................................................................5
Books and journals......................................................................................................................5
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PESTEL analysis of Aviva
 Political factor : Aviva is operating insurance in various countries and regions. For that
they have to follow all rules and regulations made by various government in different
countries. The other is impact of Brexit on the company (Al-Nassar, 2021). As many of
the customers left and they did not purchase from Aviva. It is also said that company is
making strategies which is based on stable political environment.
 Economical factor : This includes protectionism in insurance and economic growth ion
developing countries. Aviva is a an insurance company which is working in emerging
countries which creates opportunity for them. Further, reinsurance in some of the
economics slows its market growth which creates threats for them.
 Social factor : Aviva is providing low insurance penetration in some of the developing
countries (Runneboom, 2021). Further it is providing pension freedom reforms and old
age pension which creates opportunities for them to attract more customer towards their
products and services.
 Technological factor : This is one of the factor which can impact the company positively
or negatively both. Presently company is making use of data analytics and digital first
strategy which makes use of mobile, online and tablets which helps them in creating
opportunities to attract customers with their latest products and services.
 Environmental factor : This impacts investors of Aviva. The regulation of
environmental is a cost advantage dynamic of the industry (Aviva Investors PESTEL /
PEST / STEP Analysis & Solution, 2021). Further, investments and initiatives reduce
environmental impacts of the operations of the business. Before entering into new
market, company have to carefully understands environmental standards that re being
operating in new market.
 Legal factor : It is important to learn about health and safety laws before entering into
new market. Aviva investors should know about customer laws and regulations, and their
protection laws (Rangwetsi, 2021). This helps in understanding about all security laws in
different country and resulting in creating opportunity for them.
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Impact of changes in the business environment on business organisation
Technological change : This is the change which helps the company in creating
opportunities for their business in different regions and attracting large number of customers
towards their brand. They are making use of data analytics and digital first strategy. They re
using online mobile services and tablets in order to provides customer better services and
resulting in keeping their data safe (Alarussi, 2021). This develops opportunities for enhancing
customers towards the brand.
Legal change : In context with legal factors, company is creating GDPR regulations on
use of customer data and information. By using this regulation, company is able to protect their
customer data and information in effective manner. This develops customer loyalty and
satisfaction towards the brand and they get more attracted. So it will be resulting in how
company is handling their data across borders and develops opportunities as well.
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References
Books and journals
Al-Nassar, N.S., 2021. Is the NCB still Saudi Arabia's Prominent Bank?. IIUM Journal of Case
Studies in Management, 12(Special Issue), pp.51-60.
Alarussi, A.S.A., 2021. Financial ratios and efficiency in Malaysian listed companies. Asian
Journal of Economics and Banking.
Rangwetsi, M.R., 2021. A funding model framework for SMMEs and Co-operatives: the case of
Dr Kenneth Kaunda District Municipality (Doctoral dissertation, North-West University
(South Africa)).
Runneboom, L., 2021. Contextual actors and factors that impact humanitarian last-mile delivery
decision-making and performance (Doctoral dissertation).
Online
Aviva Investors PESTEL / PEST / STEP Analysis & Solution, 2021. [Online] Available through
<https://embapro.com/frontpage/pestelcase/2842-aviva-investors>
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