Level 5 Business Strategy Assignment: Environmental Analysis & Plan

This business strategy assignment analyzes the macro and micro environmental factors affecting a selected organization, focusing on the retail industry. It examines competitive pressures, customer relationship management, market trends, and supply chain dynamics. The analysis includes Porter's Five Forces, highlighting the importance of customer preferences, design cycles, marketing, and product offerings. A strategic plan is then developed, outlining objectives, actions, timelines, and stakeholder expectations to improve customer sales, design cycles, marketing, and product chains. The plan emphasizes customer interaction, trend identification, promotional activities, and product diversification. The conclusion stresses the need for adaptation and strategic changes to mitigate risks and ensure business sustainability within the dynamic retail environment. The assignment underscores the importance of environmental analysis in strategic planning and the role of customer focus and operational efficiency in achieving business success.

Running head: BUSINESS STRATEGY ASSIGNMENT
Business Strategy Assignment
Name of the Student
Name of the University
Author Note

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Table of Contents
Introduction:...............................................................................................................................3
Analysis of the environmental factors:......................................................................................3
Strategic Plan:............................................................................................................................6
Conclusion:................................................................................................................................0
References:.................................................................................................................................1
Bibliography:..............................................................................................................................2

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Assignment 2:
Introduction:
The analysis of the macro and micro environmental factors of the organization is of
great significance for the decision makers of the organizations in the effective formation of
the strategic plans that have the potential of improving the condition of the organizations.
Along with that, the analysis helps the managers of the organizations to effectively formulate
their plans for the management of the changes that are happening in the market for
minimization of the risk associated with the business operations of the organizations. The
paper evaluates the findings of the macro and micro environmental analysis of the
organization and produces a strategic plan for the appropriate and improved business
operations.
Analysis of the environmental factors:
With a precise focus on the increasing level of competition that the selected
organization is facing from the competitor organizations, it is pretty evident that the
identification of the factors that are affecting the business operations of the selected
organization will be crucial for the organization in preparing effective strategies for future
operations. With the findings of the porter’s five forces analysis, it is visible that the company
is facing notable amount of competition from the competitor organisations such as Tesco,
ASDA group, Sainsbury and Marks and Spencer. With a precise evaluation of the success of
the above mentioned business organizations, it is understandable that the importance of the
efficient customers relationship management is significantly high (Tajeddini, Elg and
Trueman 2013). The effective achievement of the preferences of the customers through
establishing efficient customer interaction system is considered to be one of the key factor
affecting the success of the organizations. With the implementation of the customer

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interaction system, the companies are seen to achieve the views, opinions and the preferences
of the customers in an effortless manner. With the efficient tracking of the requirements and
the needs of the customers, majority of the organizations operating in the retail industry are
seen to design their products and services in accordance to that. This enabled the companies
to produce the bestseller products which had the potential of attracting the customers and
influencing them for the repetitive purchases.
Apart from this, from the findings of the five forces analysis, it is visible that the
companies such as Zara or Marks and Spencer are able to increase their business owing to the
increment in the number of design cycles. Earlier, the products of the companies, operating
the fashion segment are seen to have normally one or two design cycles which significantly
restricted the companies in achieving the fast changing trends and the preferences of the
customers. With a precise focus on the link between the effective achievement of the
customer preferences and the improved business operations of the leading organizations, it is
understandable that the successful organizations operating in the industry, are able to achieve
the idea of the market trends and the varying preferences of the customers in a more efficient
manner. The success of the organizations operating in the fashion retail industry is seen to be
based on the capability of the companies in incorporating the preferences or ideas of the
customers in their design of the products or services (Zakaria et al. 2014). In such cases, the
companies are seen to increase the number of design cycles for achieving the fast changing
trends of the market in their design of the products in a more efficient manner. The
shortening of the lead times is considered to be one of the crucial aspect that enables the
companies to achieve the market trends through their design in a repetitive manner and that
becomes crucial for them in attracting the customers with the unique products.
Apart from this, one of the significant aspect of the business of the market leading
organizations is seen to be strong marketing and promotional activities. Majority of the

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organizations are seen to put strong emphasis on the marketing and promotional activities are
that is pretty evident with their presence in the social media. One of the important aspect of
the modern sustainable business operations is seen to be marketing and promotions. The
success of majority of the organizations is observed to be dependent on the capability of the
organizations in communicating their idea to the customers. With a precise focus on the
increasing urgency of the organizations in communicating regarding their products and the
services to the customers, the increased occurrence of the marketing and the promotional
activities are seen to place the market leaders in a great position for the effective
communication regarding their products and the services. It is pretty evident that the more the
customers know about the products and the offerings of the companies, the more they
purchase. Hence the increment in the marketing and the promotional campaigns is one of the
much required need for the organizations going forward in the mentioned industry.
Apart from this, one of the crucial success factors for the organizations of the UK
retail industry is seen to be the significant product chain of the organizations. Majority of the
supermarkets of UK are seen to have diversified sections for their products which includes
household products, fashion retail products, consumer electronics, accessories, food and
beverages (Moatti et al. 2015). This enables the organizations to meet the diversified
requirements or the preferences of the customers and helps them in serving a larger number
of customers as well. The capability of the organizations in serving different products helps
them in the effective management of the customer demands and plays a crucial role in the
effective retention of the customers. This leads to the formation of the customer loyalty and
that enables the organizations to improve their sales and the generation of revenue which
leads to a significant improvement of the financial stability of the organizations and increases
the market share of the organizations.

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In addition to this, one of the crucial factor that influences the success of the
organizations is seen to be the strong supply chain of the organizations. Majority of the
market leading organizations are observed to have a significantly efficient suppliers’ network
which enables the organizations to produce the required products to meet the diversified
requirements of the customers. The efficiency of the suppliers enables the company to apply
different pricing strategies for their products and apart from that, the ethical sourcing of the
companies is seen to provide a major competitive edge to the organizations operating in the
UK retail industry in comparison to the market leaders of the global retail industry. However,
the UK fashion retail industry is seen to be affected with the impact of Brexit in a notable
manner, specifically in the aspect of the supply chain as considerable number of international
suppliers are seen to face restrictions in the mentioned nation. Having said that, many of the
business researchers’ comments and the improved business conduction of the organizations
are seen to be crucial in defining the importance of the strong supply chain of the
organizations in the success of the organizations operating in the UK retail industry.
Strategic Plan:
Hence the plan of action for the selected organizations will be:

Running head: BUSINESS STRATEGY ASSIGNMENT
Objectives Actions Authority Timeframe Stakeholder Expectations
To improve the
customer
interaction
system of the
organization.
To conduct increased number of exhibitions for
sales as that has the potential of effective
exchange of the customer views and opinions and
the preferences of the customers of the
organization.
To improve the operations of the online customer
relationship teams for the effective handling of the
concerns and queries of the customers of the
organization.
Customer
Relationship
Management
12 weeks Customers: The customers of the
organization will be delighted with the
efficient reply of their queries and in
posting their valuable views regarding
the products and the services.
Increment of the
design cycles of
the organization.
To conduct intensive research for the
identification of the modern trends of the market.
To increase the number of design cycles for the
incorporation of the modern trends in the design
of the products of the company.
Research and
Development
and
Manufacturing
department of
the
organization.
24 Weeks Customers:
The customers will be have the scope of
achieving the products in accordance to
their varying preferences and along with
that, it will certainly influence their
intention of repetitive purchases.
Shareholders:
The shareholders will be able to increase
their revenue with the increment in the
sales of the organization.
Improvement in
the marketing
and the
promotional
activities.
To conduct increased number of online and offline
marketing and promotional activities.
To participate in the social media advertisements
in a more prominent manner.
To conduct increased number of offline
Marketing
Department
24 Weeks Shareholders:
The shareholders will be able to attract
the customers in an efficient manner for
the sales of their products.
Customers:

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advertisements though the magazines and the
newspapers.
The customers will be aware of the
products and the services of the
organization, the new products and the
offerings of the organization.
Increment in the
product chain of
the selected
organization.
To conduct a market survey for the identification
of the best seller products which the organization
has the expertise of introducing. To increase the
number of products in the different product
portfolios of the selected organization.
To increase the variety of the products that the
selected organization offers to the customers.
Marketing
department.
Research and
Development
Department.
Manufacturing
department.
Customers:
The customers will be able to purchase
different sorts of products.
The increased product offerings will be
crucial for the customers in meeting their
diverse needs.
Shareholders:
The shareholders will be able to generate
a larger amount of revenue through
serving a larger customer base.

Running head: BUSINESS STRATEGY ASSIGNMENT
Conclusion:
In conclusion, it is visible that the business operations of the organization is affected
by the changes such as the reduction in the lead duration or the increased product offerings of
the competitor organizations in a notable manner and under such situation, the organization is
expected to incorporate some crucial changes for increasing the sustainability of the business
activities of the mentioned organization. It is expected that the effective execution of the
activities of the strategic plan will be crucial for the mentioned organization in not only
improving their business but also in minimizing the risk associated with the business
operations of the mentioned organization owing to the increased number of changes the retail
industry of Britain.

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References:
Moatti, V., Ren, C.R., Anand, J. and Dussauge, P., 2015. Disentangling the performance
effects of efficiency and bargaining power in horizontal growth strategies: An empirical
investigation in the global retail industry. Strategic Management Journal, 36(5), pp.745-757.
Tajeddini, K., Elg, U. and Trueman, M., 2013. Efficiency and effectiveness of small retailers:
The role of customer and entrepreneurial orientation. Journal of Retailing and Consumer
Services, 20(5), pp.453-462.
Zakaria, I., Rahman, B.A., Othman, A.K., Yunus, N.A.M., Dzulkipli, M.R. and Osman,
M.A.F., 2014. The relationship between loyalty program, customer satisfaction and customer
loyalty in retail industry: A case study. Procedia-Social and Behavioral Sciences, 129, pp.23-
30.

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Bibliography:
Johnlewis.com. 2019. John Lewis & Partners. [Online]. Available at:
https://www.johnlewis.com/
Johnlewispartnership.co.uk 2019. John Lewis Partnership. [Online]. Available at:
https://www.johnlewispartnership.co.uk/