Global Business Environment Analysis: A Case Study on Deliveroo

This report provides a comprehensive analysis of Deliveroo's global business environment. It begins with an introduction to the global business environment and then focuses on Deliveroo, examining its operations and international strategy. The report includes a PESTLE analysis to evaluate the political, economic, social, technological, legal, and environmental factors affecting Deliveroo. It then delves into the impact of international strategies on Deliveroo's operations, evaluating opportunities and challenges related to risk management, diversification, and supply chain flow. Furthermore, the report applies McKinsey's 7S model to analyze Deliveroo's organizational structure and discusses Hofstede's dimensions of culture theory in relation to the company. Finally, it evaluates the strategic global expansion routes available to Deliveroo, providing a well-rounded assessment of the company's global presence and future prospects.

Global business
environment

Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY ..................................................................................................................................1
PART 1............................................................................................................................................1
Identify and critically evaluate the global business environment in which this multi-national
company is operating...................................................................................................................1
Delivaroo PESTLE analysis........................................................................................................2
Evaluate their impact of the international strategy and operations on Deliveroo........................4
Critically evaluate the opportunities and challenges faced by this organisation, in the context
of risk and diversification strategies and their international supply chain flow.........................4
PART 2............................................................................................................................................6
The application of McKinsey’s 7s model in context of a company...........................................6
The application of Hofstede's dimensions of culture theory........................................................8
Evaluation of the range of strategic global expansion routes......................................................9
CONCLUSION .............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Global business environment is based upon those perspectives that has been used for
developing business organization to conduct their operations on global scale. Global business
environment deals with those strategies that are used for scaling business perspectives on large
scale. This concept is based upon analysing factors that directly impacts international growth of
business organization. It leads towards enhancing of approach which is used for conducting
business on large scale. It is based upon analysing global environment that relates upon internal
and external factors. The selected organization for the report is Delivaroo that is an multi-
national organization operating within delivery sector of food. The organization has been
formed in the year 2013 and has been operating within London. The organization expand within
800 countries and 12 cite across 12 countries. Further, the report deals with applications of
Mckinsey’s 7Ps model that has been making global business environment enhanced more
effectively. Then Hofstede dimensions of culture is discussed with cultural perspective. Also,
PESTLE analysis has been conducted in relation to external factors that impacts business and its
growth. Then global business environment and various challenges faced by and organization is
covered.
MAIN BODY
PART 1
Identify and critically evaluate the global business environment in which this multi-national
company is operating.
The global business means those elements which is used for understanding about those
challenges and opportunities which makes business face operations within global marketplace.
This reflects upon those conditions from all parts of world that makes country or region impacted
over various countries(Edelson, Senk and Stock, 2018). Global business environment is an
important perspective that leads towards developing strong framework which makes goals and
objectives of business organization on large scale developed. There are certain important aspects
that has been developed in order to enhance business activities. The important points regarding
global business environment has been discussed as follows:
 Market: This is an important part of global business environment which is used for
developing various aspects that is related to operations within market. Market leads
1

towards developing of strategies that makes development of organization done as per
conditions existing within market(Kasemsap, 2020). In relation to delivaroo, it is
important to understand global market that leads towards developing of services as per
the demand of its customers. It helps in making expansion possible of delivaroo within
various countries.
 Competition: This is an important aspects of global business environment that makes
business entities learn about its competitors existing at global level. Through this
delivaroo is able to understand about competitors and their strategies to grow. Further,
delivaroo is able to create positive impact upon its growth since it helps upon enhancing
business activities that makes profit and revenue generated on large scale.
 Finance and investment: This is an important part of global business environment
which is relates with various kinds of financial operations required to be conducted
within business organization in terms of global operations. Through finance and
investment delivaroo is able to generate capital which makes business to be expanded on
global scale.
Delivaroo PESTLE analysis
PESTLE analysis
This is an important tool which is used in order to understand about various kinds of
elements that has been used in order to understand about functioning of various perspectives that
leads towards development of business organization with global market. Further, PESTLE
analysis in relation to delivaroo has been conducted as follows:
 Political factors:Political factors includes the political balance, reforms, alternate
restrictions, tax guidelines, environmental guidelines and tariffs. For Delivaroo political
factors affected as an danger and possibility both(Nicolaou, 2021). Delivaroo has an
possibility to extend their enterprise the world over it took place because of growing in
internation alternate agreements. Government has launched an food regimen and fitness
hints which Delivaroo can convert it to an possibility with the aid of using introducing
wholesome and natural meals into the menu. Iran and Bermuda has banned Delivaroo, as
they're towards of speedy meals.
 Economical factors: Economical factors immediately impacts the employer on long time
foundation which includes price of living, unemployment, credit score availability,
2

running hours, monetary increase and decline, minimal salary, exchange, inflation and
salary rates. Developed international locations gradual however solid monetary increase
is a bonus to Delivaroo, it could develop and growth balance of Delivaroo.
 Social factors: Social factors includes fitness consciousness, cultural norms, populace
increase rate, expectations, fitness, age distribution, profession attitudes and safety
(Vătămănescu and et. al., 2020). Concern of fitness is growing everywhere in the global
that's main to keep away from junk and concerning wholesome and natural meals in
keeping with the necessities of the clients, it could turn out to be a danger to Delivaroo.
 Technological factors: Technological factors includes the automation, studies and
improvement which impacts the operations of the company in marketplace. Delivaroo has
delivered new self desk scanners within the seats to order, which reduces the consumer
attempt and does now no longer required to face in counter. Delivaroo is increasing their
sales by cellular with the aid of using serving clients on line and order and get rid of
facilities. Delivaroo also can growth the productiveness of eating place with the aid of
using growing the enterprise automation.
 Legal factors: Legal factors includes the resources, get admission to of materials,
taxations, import/exports and modifications to legal guidelines which can be affecting
employment. Delivaroo is having danger of minimal wages which will increase the price
and decreases the general profitability of the company. As Delivaroo is a multinational
company dealing in diverse international locations and has to observe the legal guidelines
and guidelines differentiated with every country, which every now and then turn out to be
tough and cause mismanagement.
 Environmental factors: Environmental factors includes environmental offsets, weather,
geographical and weather modifications. Delivaroo follows all of the environmental and
ecological pleasant measures for maintaining within the marketplace. It have to be
fundamental duty of a enterprise to observe environmental coverage of presidency to
moral and sustainable enterprise.
Evaluate their impact of the international strategy and operations on Deliveroo.
International approach means that method which is answerable for making commercial
enterprise business enterprise amplify in marketplace. These techniques are essential as they
3

leads upon growing strategies that makes worldwide commercial enterprise surroundings
understood with its numerous aspects. These techniques affects operations of an business
enterprise on worldwide level. Impact of those techniques upon delivaroo has been mentioned as
follow:
 Marketing operations: In relation to worldwide advertising and marketing approach
those operations has helped upon growing powerful techniques which has contributed in
selling of services on worldwide level(Zainudin and et. al., 2019). Also, these operations
has made organization move in the direction of making services of delivaroo reach to its
customers in no time.
 Expansion operations: The approach has enables in making Delivaroo use equipment
and strategies which are powerful in making its purpose of enlargement achieved. Also,
through enlargement business enterprise is capable of seize new marketplace making.
 Leadership operations: This is essential for making use of worldwide approach inside
operating styles of an business enterprise. Due to robust management business enterprise
like Delivaroo is capable of observe worldwide techniques which makes motivation and
productiveness advanced inside employees. Leaders of Delivaroo is answerable for
making use of those techniques which makes business enterprise broaden its imaginative
and prescient and mission.
 Management operations: These operations are used with the intention to conduct
operations associated with control of different factors that enables in making sports inside
business enterprise carried out greater effectively. Through control operations Delivaroo
is capable of conduct its administrative functions that makes its services set up inside the
international locations wherein it has now no longer reached.
Critically evaluate the opportunities and challenges faced by this organisation, in the context of
risk and diversification strategies and their international supply chain flow.
International Supply chain flow is the system which allows in making float of products
and services inside worldwide market. This is an important angle that makes corporation like
Delivaroo achieve its worldwide existence. There are numerous demanding situations which has
been confronted with the aid of using Delivaroo with a view to enhance its deliver chain float.
These demanding situations are mentioned as follows:
4

 Government regulations: According to this change in government regulations,
strategies and regulations, environment of a commercial enterprise company moreover
get exchange or update and for that manipulate need to growth strategies further to
movement plan accordingly(Barr and et. al., 2018). Moreover, it may be determined that
regulations format by government of robust country are high-quality from any unstable
country so it's far essential for corporations to market assessment in advance than
wearing out business company particularly country. Along with this, it is also important
for an organization to enhance their regulations and regulation regular with exchange in
country regulation because of the truth by that they able to behaviour their business
company effectively as well due to the fact it could additionally help in sustainability for
prolonged run. Trade rules: These are the rules that's fashioned with a view to expand numerous styles
of factors that's used for growing robust alternate framework with the aid of using an
corporation. Trade rules creates obstacles within the system of growth with the aid of
using making an corporation face problems in turning in its services inside an
corporation. These rules makes alternate regulations created within the shape of price
lists and octroi that leads upon growing complexities with operations of an corporation
like delivaroo.
Opportunities related to international supply chain
 Growth and growth: The boom and growth of commercial enterprise deliver chain is
one of the essential possibilities shape worldwide marketplace perspective. Since they're
associated with development of marketplace, new deliver strategies and developments are
powerful in supplying brief shipping of product(Berman and Dalzell-Payne, 2018).
Delivaroo has used this possibility to make its growth within diverse countries. Through
know-how approximately boom and growth possibility delivaroo is capable of expand its
services as consistent with the contemporary-day developments of marketplace.
 Information generation: In this extensive marketplace area facts and generation has
performed crucial function for growing commercial enterprise on massive scale. Through
using Information generation new and powerful strategies are used as a way to ensure
that shipping manner is improved. It has helped agency like Delivaroo growing centrers
like on line price and cloud kitchen which makes food gadgets added to actual region
5

inside no time. Also, the use of facts generation needs and wishes of client are recognized
which made client pleasure created.
These demanding situations and possibilities has helped in growing hazard control inside
delivaroo by way of means of making business enterprise focus upon elements which could
emerge as troubles for its destiny sustainability. In order to make certain that the business
enterprise is capable of development hazard control is critical because it enables upon growing
stargates to fight with those demanding situations with higher approach.
PART 2
The application of McKinsey’s 7s model in context of a company
McKinsey 7s model is that tool which is related upon analysing of organizational
structure that is present within an organization(Dzwigol, Dzwigol-Barosz and Kwilinski, 2020).
Delivaroo is an food delivery organization which has been operating within London, United
Kingdom. This is reputable organization which is based upon assisting and supervising by
marking out that these organizations are allowed within an organization for attaining of desired
outcomes. In this 7 version's of place is emphasised over workforce within an organization that
has been following conventional mass manufacturing approach with higher performance. These
are seven precept factors which is used for facilitating managers of delivaroo making
competitive advantage that has been discussed as follows:
 Structure: This is based upon commercial organizations and its various departments that
has been used for establishing responsibility and relationship which is used for shaping of
business enterprises. There are diverse variety of organizational shape, flat organizational
shape and various other things. In delivaroo flatter organizational shape is accompanied
by managers of an organization which is based upon innovation and supervising of
commercial enterprise. It leads towards making communication with subordinates over
reputable organization.
 Strategy: The plan is used for accumulating of business enterprises which is based upon
keeping advantage developed upon competition within marketplace(Fraedrich, Althawadi
and Bagherzadeh, 2018). It is based upon approach of commercial enterprise towards
6

particular aspects of an organization. Supervisors of delivaroo has followed suitable
techniques that makes powerful advertising done in order to study and statistics for
making knowledgeable decisions.
 Shared values: The mission, imaginative and precise targets within an organization is
significant over values which leads upon sharing values of business enterprises that
directs organization about all the key factors of business enterprise. Well-described over
organizational shape of Delivaroo allowing motivation towards humans which makes
targets achieved in effective way. It leads upon increasing productivity within an
organization.
 Systems: This method of based upon day to day aspects which is based upon commercial
enterprise that is run for making workflow developed within business enterprise. The
modern perspectives of organizational growth within market is dependent upon
employees and business enterprises(Gani, Yoshi and Rahman, 2022). The device allows
directors of Delivaroo for tracking enterprises progress and strategic plans for achieving
objectives that has been set by an organization.
 Skills: It is based upon skills and proficiencies of human assets within an organization
that allows targets to be achieved by business organization in powerful manner. Skills
like development, innovation and abilities which makes workers of Delivaroo in gaining
competition within marketplace. The organization offers education and improvement of
classes which makes abilities to be assigned in effective manner.
 Style: It is based upon mind-set of senior degree control which is used for directing their
subordinates which leads upon knowledgeable decision making developed within
commercial enterprise. Delivaroo makes management formed for accomplishing of its
goals and objectives through forming effective decisions regarding leadership and
management style.
 Staff: This is based over operations required to be conducted by employees within the
organization. It is important since it relates with day to day operations which makes
organizational objectives fulfilled. Staff of reputable organization like delivaroo helps
upon making professional development done more effectively which makes success
achieved within an organization.
7

The application of Hofstede's dimensions of culture theory
Hofstede's Cultural Dimensions of cultural
The shape of a employer majorly defines way of life in a primary enjoy and it's miles
crucial for a employer to use hofstede dimensions of way of life as a way to supply exceptional
practices. This version lets in in turning in exceptional company practices in a employer for
company expansion. It is crucial for the employer to take help of strategic manage for
implementation of this version.
 Power distance index: The energy index is decided because of the reality the
mind wherein inequality similarly to energy elements are tolerated(Ibidunni,
Ogundana and Okonkwo, 2021). Organisations to be had within the market
should often look at the important plan that is powerful in growing a want for
energy distance index.
 It is the most important obligation of commercial company to focus on person
personnel. Along with this it's also most important obligation of an worker to
focus.
 Uncertainty avoidance index:: It is decided because of the reality the enlarge
wherein uncertainty similarly to ambiguity is tolerated. It describes that how
unknown state of affairs or surprising activities are deal in enterprise efficiently
on the way to acquire desires. Delivaroo enterprise has decrease uncertainty
avoidance index that indicates because of the reality the low tolerance for
organisational uncertainty and risk-taking and uncertainty is minimised via way of
manner of the usage of strict legal tips and policies.
 Masculinity vs. femininity:The respective size is described because of the reality
the choice of society for achievement, attitude, equality and behaviour. As
masculinity is measured because of the reality the potentiality like fierceness and
deficiency. On the opportunity hand, femininity is associated with fluid gender
roles, nurturing similarly to it's miles involved with the tremendous of life.
 Stakeholders concept:It is associated with time horizon that is utilized by the
enterprise to area into effect the making plans and strategy. Delivaroo enterprise
focus on the fast similarly to long-time period desires to acquire all organisational
dreams and desires properly. Short time period orientations offer short effects and
8

long-time period orientation focus on perseverance similarly to long time boom
and development. Stakeholders concept: as stakeholders are the nice who're
associated with the enterprise internally or externally. For example- if the climate
adjustments then this may have an effect on the enterprise. If there may be a
adjustments in customer’s rights and every unique fitness and protection rights
then this may be effects in converting policies of enterprise via way of manner of
mangers.
 Sustainable globalisation: globalisation is associated with growth of the
beguines and generation in everywhere within the global. Sustainable
globalisation is associated with crucial transformation of the way human beings
art work in global global this is in twenty first century. For example- enterprise is
spanning in 30 nations so it wants to undertake up to date generation for being
sustainable within the global market.
Evaluation of the range of strategic global expansion routes
Multinational improvement strategies are refers due to the fact the formal strategic plan
with a purpose to offers several centres to the manipulate to enter in worldwide field of market
and manage inexperienced presence(Nam and Bao Tram, 2021). As there are various path of
route which can be extending manipulate at worldwide phase which can be carried out via the
Delivaroo to behaviour managerial operations as globally. As there are some route which can be
as follows:
 Licensing - Licensing is referred to as due to the fact the technique that a few different
nation to utilise managerial direction. The manipulate of Delivaroo utilise licensing for
extending managerial practicality that need low financing and offers immoderate pass
again to manipulate. In the technique of licensing, licensee manages the producing and
marketing and marketing fee in foreign places market.
 Exporting - Exporting is referred to as as an effective direction to are to be had in
international organisation. As it's going to associated with direct marketing and
marketing of merchandise and their centres to distinctive nation that involves low threat
to boom manipulate in international situation of market.
 Strategic alliance - Strategic alliance is refers due to the fact the crucial planning among
sections with the motive of converging belongings to carry out the strategical blessings
9