Business Environment and Future Trends Analysis for Burberry Group

This report provides an analysis of the business environment and future trends affecting the Burberry Group, a luxury fashion house. The report begins with an introduction and company overview, highlighting Burberry's history, target audience, and global presence. It then delves into an analysis of the business environment, focusing on social factors such as consumer wealth and changing fashion trends, and how these factors influence the company. The analysis emphasizes the importance of understanding the external environment for business success. The report recommends that Burberry conduct a SWOT analysis, identifying opportunities and threats within the social environment. Specifically, the company is advised to adapt to changing fashion trends by hiring innovative designers and consider introducing product lines accessible to a broader consumer base. The conclusion reiterates the need for continuous analysis of the business environment to identify opportunities and threats, enabling Burberry to adapt its strategies and policies to meet future trends effectively. The report references several sources to support its findings.

Running Head: FUTURE TRENDS 0
Business Environment: Trends for the Future

FUTURE TRENDS 1
Contents
Introduction...........................................................................................................................................2
Company overview................................................................................................................................2
Analysis.................................................................................................................................................2
Social environment................................................................................................................................2
Recommendation...................................................................................................................................3
Conclusion.............................................................................................................................................4
References.............................................................................................................................................5

FUTURE TRENDS 2
Introduction
For every business it is important to interact and transact with environment because the
business environment has direct relationship with the business. The failure and success of
business primarily depends on its effective environment (Zaidi, 2017).The policies
established by the company are always affected by its environment. Environment puts
several limitations on the company which put huge impact and influence on the direction and
scope of the company
Company overview
Burberry Group is a luxury fashion house which focuses on readymade outerwear,
sunglasses, cosmetics, fashion accessories and fragrances. Burberry was established by
Thomas Burberry in 1856. The company has more than 500 stores that operate in more than
20 countries. The company is listed on the London Stock Exchange. It considered as the 98th
most valuable brand globally. The target audience for the company is people who involve in
activities like hunting, tennis, mountaineering, archery, skiing and golf (Burberry, 2018).
Analysis
The business of Burberry is affected by different factors which include economic, legal,
technological, political and social factors. Among these factors some effect business directly
and some indirectly. The business environment is divided into three categories: internal,
operational and external environment (PayPerVids, 2016).

FUTURE TRENDS 3
Social environment
The social environment of business is consist of all social believes, practice, custom and the
way people behave. Social influence means the change in behaviour of one person,
influences decision of other person intentionally or unintentionally. The social environment
affects the functioning of business (PayPerVids, 2016).
The two social factors which are affecting the business of Burberry are wealth of consumers
and continuous change in fashion trends. These are two factors which can increase or can
decrease the demand of product of the company
Recommendation
Before implementing any business policy it is important for the company to analysis its social
environment. The proper study of environment will determine the success or failure of the
policy. To reduce the impact of social environment the company need to focus on O and T of
SOWT analysis. O stand for opportunities and T is for Threat. The company need to find the
new opportunities available in market (Dinh and Hu, 2014).
First the company need to find the threats of business and after that the company can create
opportunities out of threats. Wealth of people or buyers, and continuous change in fashion
trends are the two main threat of the company. To create opportunities out of these threats the
company need to make some changes their policies. To cop up with new and continues
change in fashion trend the company need to hire new innovative designer and employees.
Burberry is an established brand and the prices of its products are high and due to its high
prices the number of customers is limit to high class. To increase its sale the company need to
bring some changes in its policy. E.g. they can introduce a new product line which is
affordable for middle class people.

FUTURE TRENDS 4
Conclusion
To conclude, to cop up with the changes take place in social environment the company need
to find out the opportunities and threats, with the help of this the company will able to find
out the loopholes and to fill those loopholes the company need to make some changes in
their strategies and policies. By doing this the company can cop up with the changing trends
for the future.

FUTURE TRENDS 5
References
Burberry. (2018) About us-Burberry [Online] Available from: https://www.bu
rberryplc.com/en/index.html [Accessed on 14 May 2018].
Dinh, J.E. and Hu, J. (2014) Leadership theory and research in the new millennium: Current
theoretical trends and changing perspectives. Journal of Leadership Quarterly, 25(1), pp.36-
62.
PayPerVids. (2016) 5 Factors that influences Business Environment [Online] Available from:
https://www.paypervids.com/factors-influence-business-environment/ [Accessed on 14 May
2018].
Zaidi, N. (2017) Emerging/Changing Fashion Trends and their Impact on Conduct of
Anaesthesia. Journal of perioperative practice, 27(11), pp.254-258.