Global Business Environment (BM461): PESTEL Analysis of TESCO Report

This report presents a PESTEL analysis of TESCO, examining the political, economic, social, technological, environmental, and legal factors influencing its global business operations. The analysis explores how political factors, such as tax policies, impact pricing and production. It also considers economic factors like consumer demand and its influence on product development. Social factors, including employee training and welfare policies, are evaluated, alongside the impact of technological advancements on competitiveness and productivity. The environmental impact of TESCO's business practices and the legal regulations it must adhere to are also discussed. The report emphasizes the importance of these factors for TESCO's success and competitive advantage in the market, highlighting their role as key drivers of change within the company. The report is based on the assignment brief of the course BM461 Global Business Environment.

Global Business
Environment

Table of Contents
MAIN BODY...................................................................................................................................3
PESTEL Analysis of TESCO .....................................................................................................3
REFERANCESS..............................................................................................................................5

MAIN BODY
PESTEL Analysis of TESCO
There are environmental factors affect on the TESCO company and it s important for
the Managers and leaders of the TESCO company to analyses them and it can help them to
achieve their Success in the market, and they can gain competitive advantages. They are also a
factor which brings change in the company.
Political factors
Political factors has huge impact on the TESCO company because change in the Tax
structure affect the prices and polices of the company. This is also and Key factor of the change
because companies can change their production system as well to make profit. It is important for
the company to look for these factors and make good relation with the government where they
are operating their business (D'Agostino, J. L., 2018). This change can also impact on their
employees who are working in the company because they can get less salaries from the
company.
Economic
Demand of the product change with the time and people can demand for more better
quality product. It is important for the TESCO company to analysis the market where they are
distributing their product, so they can know what people actually want from them and how they
can satisfy their demand. Demand of the customers also a change factor because p0roduction
team of the company have to change to quality of the product and develop their products
according to the demand of the customers.
Social
TESCO company provide training to their employees, so they can increase their capacity
and capability to work in the company. Every employee who are working get equal change to
show their talent and get better post in the company. This brings change in the company and
increase the competition among the employees. Government make polices for the employees for
their welfare and TESCO company have to implement and provide their employees their rights.
Technological
TESCO company have huge impact of technology in their business this helps them to
take competitive advantages in their business. It is also important for the company superiors to
look for the new trends in the market. Implementation of the new technology at the workplace

can incense the productivity but it is key driver of the change because many employees scare to
terminated from the job so superiors should provide them training to implemented new task skills
in themselves.
Environmental factors
TESCO company have huge impact of their business and t is important for the company
to look for the environment as well (Wu, Y., 2020). This can help this company to increase their
reputation in the market. This is also an key driver of the change because company is also
selling clothing ad people where clothes according to the weather conditions. Government also
make environmental rules which company has to follow.
Legal factors
It is important for the company to follow all the legal rules and regulation of the
government where they are operating their business otherwise governmental has power to close
their business in their country.

REFERANCESS
Books and journal
D'Agostino, J. L., 2018. The Impact of E-commerce on Brands: An Analysis of Amazon and a
Plan for the Future (Doctoral dissertation, University of Oregon).
Wu, Y., 2020, February. The Marketing Strategies of IKEA in China Using Tools of PESTEL,
Five Forces Model and SWOT Analysis. In International Academic Conference on
Frontiers in Social Sciences and Management Innovation (IAFSM 2019)(pp. 348-355).
Atlantis Press.