Comprehensive Business Analysis of Sainsbury's: Factors and Strategies

This report provides a comprehensive business analysis of Sainsbury's, a major retail grocery store. It begins with an introduction outlining the report's objectives, which is to examine the internal and external factors affecting Sainsbury's performance. The main body of the report applies strategic frameworks such as SWOT and PESTLE analyses to evaluate Sainsbury's strengths, weaknesses, opportunities, and threats, as well as the political, economic, social, technological, legal, and environmental factors impacting its operations. The report also describes how the company can influence the external environment through technological advancements and adherence to regulations. The conclusion summarizes the key findings, emphasizing the importance of these analyses for business expansion and operational effectiveness. The report utilizes academic sources to support its findings.

Business in Practice

Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY ..................................................................................................................................1
Evaluating the Internal and external factors of the organisation ................................................1
Describing different ways in which business or
organisation can impact on the external environment.................................................................3
CONCLUSION ...............................................................................................................................3
REFERENCES................................................................................................................................4

INTRODUCTION
There are multiple business practices which needs to be effectively conducted by the
organisation in order to achieve great results in the future. Sainsbury's is the retail grocery store
which provide various products and services to the consumers. The organisation has seen an
effective growth in the market (Engwall, and Wedlin, 2019). They have achieved great results in
the future. The report aims to analyse about understanding different factors which could affect
the company performance in market. On the other hand, in this report there is disillusion about
different strategies and approaches which could be applied by the firm in order to perform better
in market. There is evaluation about multiple frameworks which includes swot, pestle it helps
the company to analyse forces which is regulating in the industry.
MAIN BODY
Evaluating the Internal and external factors of the organisation
Swot Analysis for Sainsbury's
It is the strategic framework which can help the firm to evaluate different potential
factors which could affect their performance in the market. There are different components in
this model which is mentioned below:
 Strengths – This factors helps the company to become more productive in every manner
by capitalising on their strengths. In relation to Sainsbury's the organisation provide the
products as per customer demands. This helps them to attain maximum customer
satisfaction in the market. The company also has improved social presence. Through this
they are able to create a positive brand value in the market.
 Weakness – The company needs to improve different aspects in order to perform better
in the industry. In relevance to Sainsbury's they are expensive for the customers. The
main issue which they are facing is that the products does nit have the good life
(Karpenko, and et.al 2019). On the other hand, the company is also facing the financial
instability in the industry which affects their brand value in a negative manner.
 Opportunities – This is one of the most crucial components which helps the company to
capitalise on different opportunities. Sainsbury can implement different technological
advancements to improve their online presence in the market. The company can also
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provide the 24 X 7 services which will help them to improve their brand integrity in the
market.
 Threats – The organisation needs to minimise the effects of the threats which is present
in the marker. They need to implement different strategies and approaches in an effective
manner. In relation to Sainsbury's the major threat for them is the increasing competition
in the retail industry (Manasakis, 2018). There are certain rules and regulations which
they are facing while expanding their business in new regions.
Pestle Analysis
Pestle analysis helps the firm to become more effective in carrying out the operations by
understanding the market conditions. There are different factor of this tool which is described
below:
 Political Factor – This are multiple political factors which could affect the company
performance. In relation to Sainsbury's there are different laws which is established in the
region, It includes the Brexit uncertainties this has affected the performance of the
company. There is a heavy duty which the organisation has to pay on the export and
import of the products.
 Economic Factor – The organisation needs to fulfil different economical factors in an
significant manner. In relation to Sainsbury's the main concern is the rising salaries of the
employees which needs to be concerned properly. This is affecting the company growth
in the market.
 Social Factor – There are multiple socio cultural factors which is affecting Sainsbury's.
It includes the fair trade movement and other etc. Sainsbury's has been following the
health and safety regulations. This helps them to maintain a positive brand image in the
market
 Technological Factor – There are different technological advancements which can help
the company to achieve greater performance in the market (Su, and Tan, 2018).
Sainsbury's can introduce the online shopping to the customers which will help them to
incur more profits. They are able to achieve greater results in the future.
 Legal Factor – These are the factors which is been emerging with the changing
environment. It includes employment laws, health and safety laws etc. Sainsbury's is able
to fulfil all the laws by establishing a systematic structure in the workplace. The
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management works in an effective way to achieve different gaols and objectives in the
market.
 Environmental Factor – The organisation needs to follow different corporate strategies
in order to preserve the environment. Sainsbury's is been focusing on different factors to
reduce the waste. They are also able to utilise the resources in an effective manner.
Describing different ways in which business organisation can impact on the external
environment
The organisation can take different effective measures which will help the company to
achieve great results in the market. In relation to Sainsbury's the external factors which could
affect the performance of the company is the new technological advancements. In this new
digital era the company can achieve greater results by implementing and using the technological
tools (Bowie, 2020). They can focus on enhancing the business operations. There are various
other factors which includes the rules sand regulations it could also affect the performance.
Sainsbury's needs to follow all the rules to gain a competitive advantage. Due to this they are
able to expand the business in different regions and achieve different goals and objectives in the
market. The major focus of the company is to enrich the lives of the customers with different
quality products and services. This will also help them to maintain a positive brand integrity in
the industry.
CONCLUSION
From the above report, it has been concluded that Swot and pestle analysis which helps
the firm to evaluate different forces of the organisation. On the other hand, in this report there
will be brief discussion about the company performance and various other aspects which could
helps them to expand their business and regulate the business operations effectively.
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REFERENCES
Books and Journals:
Bowie, N.E., 2020. Business Ethics. In New Directions in Ethics (pp. 158-172). Routledge.
Engwall, L. and Wedlin, L., 2019. Business studies and management ideas. The Oxford
Handbook of Management Ideas, pp.159-76.
Karpenko, and et.al 2019. Formation of the system of fair business practice of the company
under conditions of corporate responsibility. Academy of Strategic Management
Journal, 18(2), pp.1-8.
Manasakis, C., 2018. Business ethics and corporate social responsibility. Managerial and
Decision Economics, 39(4), pp.486-497.
Su, W. and Tan, D., 2018. Business groups and tax havens. Journal of Business Ethics, 153(4),
pp.1067-1081.
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