Unit 32 Business Strategy Report: Deloitte's Strategic Analysis

This report provides a comprehensive analysis of Deloitte's business strategy. It begins with an introduction to business strategy and an overview of Deloitte, a UK-based consulting firm. Part A focuses on internal and external analysis, including PESTLE and SWOT analyses to assess the external factors impacting the business and the company's strengths, weaknesses, opportunities, and threats. The report also incorporates the 7's model and Porter's Five Forces to analyze the competitive environment. It identifies Deloitte's existing and potential competitive advantages. Part B critically evaluates strategic options for the organization, recommending growth platforms and strategies. The report also includes stakeholder and value chain analyses. Finally, it discusses how the chosen strategy can be monitored to ensure success, concluding with a summary of the findings and recommendations for Deloitte's strategic direction.

Unit 32 –
Business
Strategy

Table of Content
Introduction p
Part A: An internal and external analysis that provides a platform
for strategic decision making: p-p
1. PESTLE and SWOT of the organisation and an evaluation of the
organisation’s resources and capabilities p
2. Competitive environment analysis using Porter’s Five Forces model
p
3. Identification and justification of the organisation’s existing and/or potential
competitive advantage p
4. Valid strategies and tactical objectives to achieve overall strategic objectives
p
Part B: On the basis of this analysis critically evaluate and justify
strategic options for the organisation: p-p
1. Critical evaluation of the different types of strategic directions available to
the organisation p
2. Justification and recommendation of the most appropriate growth platform/s
and strategies p
3. Evaluate ways and means by which the chosen strategy/ies can be
monitored in order to ensure success p
5.0 Conclusions p
References p

Introduction
Business strategy is the concept which is analyzed as the course of action or unit of
decisions which helps the company in achieving specific business aims. It is the plan which is used
by business that the management of a company executes to secure a competitive position in the
market, carry on its operations, these strategies are used to satisfy its customers and attain the desired
ends of the business(Héroux, and Fortin, 2018). It is the activity which is designed within the
corporate and action which is carefully planned and flexible designed with the goal of achieving
effectiveness, perceiving and using chances and mobilizing resources. It is set of competitive moves
and action that a concern uses to attract customers, accomplish business goals. It outlines how
business must be reached out to carry the wanted goals. In this report the consider company is
Deloitte, it is the UK based company its headquarter is in London UK. It was founded in 1845, by
William welch deloitte. The company act as a consultant in global countries. The report covers the
study of internal and external factors which impacts on business activities. After that it will analyses
on the basis of business strategic theories will recommend the best and suitable plans for the company
which provides the benefits to the company.
Part A: An internal and external analysis that provides a platform for
strategic decision making:
1. PESTLE and SWOT of the organization and an evaluation of the
organisation’s resources and capabilities
Pestle analysis :
It is the framework which is analysis the external factors which impacts on the business
operations. It consist with six different factors which describes various elements or term which
effect on smooth running business. Further discussed in below report :
 Political factor - This is the factor which critically make analysis on how a business sector
be influenced which assist them in ascertain the business the long term sustainability. Some
of the factors are fiscal policy governance trade policy and taxation system and political
stability. Deolittes seeks to ensure the new policies which assist them to grab the
opportunity. Company has the study the new corporate taxes which may be reduced that
helps in attracting new foreign direct investment.
 Economical factors - this factors directly attracts the business sector with different variables
which help them to finish their economic targets. Economic components includes inflation,
interest rates and exchange rate flecutaution and demand supply of sources. In case o f

deloittes, they have targets only those country which have high efficiency financial market
where they can simply accessible with human resources and financial.
 Social factors - This is the factor where culture of company is highly influence by
community tools. Some of the illustrations of social factors are uses methods demographic
trends and culture norms. Deolittes have to research about their clients perception, in wide
term study of community and o raise the brand value.
 Technological factors - In current era technologies is changing rapidly that is commonly
required huge amount to invest in technologies. It is essential for companies like Deolittes in
order to grow their operations. some of the factors are infrastructure, innovation and
research.
 Environmental factors - This element includes the legal laws and judiciary which company
have to follow in order to make the systematic functioning. In case of Deloittes, has started
its global climate response which has objectives to decline business global effect. This system
gas aid Deloittes, to operate on it to reduce energy use by some percentage.
 Legal factors - This factor gives broad scope than political components which gives
particular details regarding different laws and regulatory needs, laws link to users and workers
and intellectual property laws. As Deloittes has operating in a various nations where they
have to comply with lost nation regulations in terms of facing complex lawsuits.
Swot Analysis :
It is the internal analysis which is used to understand the components which impacts on
business cycle. As well as it is proven management framework which enablers a brand like deloitte
consulting to standard its business and operations as compared to its competitors.
Strength
 The company Deloitte has the global
presence over 150 countries, this leads in
competitive benefits in comparison of its
rivals.
 The company has professionalism in
services like audit, consulting and
financial advisor.
Weaknesses
 Intense competition means limited market
share growth for deloiite.
 Different work connected disputes and
legal issues have hurt the brand image.
Opportunity
 Acquiring of small companies can further
gives power the Deloitte brand.
 They can target the mid market
businesses.
Threat
 Strong competition from existing industry
payers can decrease Deloiites market
share.

 Companies setting up their own
educational centers can decline business
to consulting company.
Mickensy 7's model -
It Is a frameworks for company administration powerlessness that proposition that there are
seven internal factors which is listed in below :
1. Strategy : It is the strategy which is constructed by the business with the goal of achieving
competitive advantages so that issues can be resolved in accurate manner. If Deloitte will not
have a prospering strategy then company have to face problems just as lower sales scale.
2. structure : It access the system in which management and subdivision are managed and
parcel information with each another. It Deloitte will have Improper system then it will
decrease the range of the business due to which rivals companies will gain advantages.
3. system : it is a process of company that aims to depict the activities which is done on regular
basis as well as decision making of a company. Managing appropriate system will
advantageous for company subordinates in using business modification accurately.
4. Skills : It considers challenges and skills of employees in Deloitte, while enacting company
activity. Qualified employees of deloittes, will allow them in performing in complex situation
in systematic manner.
5. Style : This presents the modes in which a institution is managing by management and top
level manager and the ways in which they communicate with their employees. In deloitte,
contestant style is used where ideas of employees are considered mainly in accomplishing
goals and operating business.
6. Staff : these elements are linked with the types and amount of employees which are working
in Deloitte. It includes the manner in which skilled employees hired as well as the employees
who are required training along with the rewards which encourage them to give their best in
company operations.
7. Shared values : It is the last component of this theory and business. It is a strategical tool
that advice the operations of business like Deloitte, employees in order to perform business
operation in an accurate manner.
2. Competitive environment analysis using Porter’s Five Forces model
porters five forces is the model which is the related which the market competition for
company. This strategy is used to analysis the guide business strategy to raise competitive benefits.
This factors includes the some factors that are listed in below :

 Bargaining power of suppliers - The trick to improving a competitive techniques is to
realize the sources of the competitive forces. It is also assisting for helping the deloitte, to
make the strategy to fit the competitive surroundings, and to raise the possible earnings. If
providers have high bargaining powers than they will give high cost from the brand. The
bargaining powers of suppliers are high in the occurrence the buyers do not show a huge part
of the providers sales.
 Threat of new comer - Market is the place where new mover come and go but this can be
big threat for business as it provides the threat and risk for company like Deloitte, as the new
entrants create a act as a substitute for the brand. If there is strong threat of new mover then
present players will be interested players just as deloitte to earn sustainable profits.
 Threat of substitute - this is the force which states the substitute goods and services that
can be used in place of company goods and services pose a threat. Deloitte, serves services
for which there are no close substitutes will have more power to raise cost and lock in
favorable terms.
 Rivalry among existing players - The tools to introduce a competitive methods is to realize
the sources of the competitive forces. If rivalry is intense then it becomes complex for
presented players just as Deloiite, to have good ratio of profits.
 Power of customer - the skills of customers have to drive cost lowers as well as it is
impacted by how much buyers or users a company has. If the purchasers have strong
bargaining powers then they usually leads to drive cost down hence restricting the capacity of
the Deloitte to earn sustainable incomes.
Stakeholder analysis -
It is a process of analyzing people earlier the task begins, grouping them according their levels
of consideration, interest and attracts towards the task in the assessment and analyses how best to
includes and communicate all of these individuals groups end to end process. The major aim of
analyzing these persons for enlisting the key business players. To add early task among all the
members on objectives and policies.
Value chain analysis -
It is the manner of analyzing of all activities in the company via which the chances for
development can reach out. The value chain management team of Deloittes can assist the companies
to integrate their palling if taxation in a company which can develop the growth and can reduce the
expenses and uncertainty. The model analysis of Deloittes the efficiency across the activity. By the
assistance of analysis Deloittes also able to find out their correct tax position for their end to end
process globally.

3. Identification and justification of the organisation’s existing and/or potential competitive
advantage
The main competitive benefits of deolittes are as follow : /
 large customer base – The initial competitive benefits of Deolites is that they have a very
large users base. That why they are capable to raise their income. The services which are
given are the Deolittes are very effective and efficient which provides the satisfaction.
Because of this kinds of effective services the company are capable to grow their services
simple.
 Dominanace in the sector - the best competitive benefits of company is that the industry is
dominant to their huge reach there are only some rivals in the market which gives that this
company have a full dominance in their own industry. Because this kind of dominance is
listed in top auditing company in the world ( Zhang, Fu, and Liang, 2020).
4. Valid strategies and tactical objectives to achieve overall strategic objectives
Bowmen strategy -
It is framework which helps a company in investigating real condition the ways through
which deloittes, can position the services as well as gain high benefits over challengers can be
achieved in an accurate manner. Further discussion is in below report :
 Low value and Low value added - This is low rivalry situation for Deloittes as services are
not differentiated, buyers compass low cost of services even if their value will be less.
 Low cost – In this Deloittes, can placed themselves as low value in market values by using
value deduction instruments. Here goods for all services will be low sue to this sales can be
raised.
 Hybrid - This strategy consists factors of low cost and good differentiation. This aligning
policy will be all effective in case of Deloittes.
 Differentiation - in this process Deloittes is required at high vale buyers can serving to
their users so that sales can be grow well.
 Focused differentiation - This strategy deloittes, is required at high cost users can buy the
quality services and suggestions.
 Risky high margins - In this planning company have to face high risk which can also tends
in business loss. Here deloittes can set high value without serving anything complementary.
 Monopoly pricing - In market monopoly only individuals can offer goods. In this type of
strategy a dominant business loss. There Deloittes, it is not concerned about the value or
innovation.

 Loss of market shares - This strategic position is a hazardous in rivalry market. In this, a
company is needed to set reasonable value of middle range of goods. Because of this market
shares earned by company are low.
porters generic -
This theory describes how a company pursues competitive benefits across its chosen market
scope. There are some strategies. A company select one of these kinds to serve its goods across
many market segment. The generic strategy reflects the choices created both the kinds of competitive
benefits and the scope. The further discussed in below :
 Cost leadership - With the help of this strategy values sensitivity can be easily marked
through a business. In this strategy Deloitte, can give their goods to buyers in less values.
Whereas business can grow as well as they will help the firm in raising their sales due to
which high rate of profits cab be achieved.
 Differentiation - In this strategy a company can serve new and innovative goods to their
buyers so that they can be differentiated from another units which deals in same services. In
case of Deloitte, can offer innovative and good advice to their clients so that income be raised
in an accurate manner.
 Focus - the generic strategy of focus rests on the selection of competitive scope within an
industry. Deloitte can choose a segment and tailor its strategy to only offer it. Many
company follows one variant of focus strategy in real world. Company is required to serve
to offer serve good services so that people can buy without any issues and delays.
Part B: On the basis of this analysis critically evaluate and justify strategic
options for the organisation:
1. Critical evaluation of the different types of strategic directions available to the organization
Ansoff matrix -
It is a growth matrix defined as a strategic instruments for making plans which is used by
administration of a company so that correct plans for growth can be executed. In context of
Deloittes.
 Product development : It is the factor a company introduce a new service in market so that
their present and possible buyers can buy the goods in huge quantity. It tends as increment
in sales of Deloittes will add some new buyers which leads in high revenue on sales
volume.

 Market development - In this growth matrix existing goods of company are served to new
buyers so that customer base of Deloittes can increase. This will benefits the company in
raising sales and profit .
 Market penetration - in this factor a company practices to develop its share with the
assistance of present goods in similar market where they were operating previously. In this
planning company reduces their value complementary offers to purchasers so that market
shares can grow due to high income.
 Diversification - It is most risky manner that states that new services are provided to buyers
in new market. If company lowers the cost of goods to attarcts users by their services it can
be a high loss for the income of company. In the situation where brand and customer both are
new for the brand.
As been discuss in above report for deloittes, the market development is best suited as it provides
a great opportunity in marketplace. This helps in development of market share and customer base.
Also it increases the area of the company where they provides services.
2. Justification and recommendation of the most appropriate growth platform/s and
strategies
From the above study it is suggested that it is the best model for the business like for
deloittes market development strategy from the Ansoff matrix model and strategy the business
make their base impressive and efficient because of this which development always give a mode to
the company for being creative regularly . The another policy which can be executed by the deloittes
is that concentrate on differentiation. Because they have selected various kinds of market segment
and also have an effective and efficient goods.
3. Evaluate ways and means by which the chosen strategy/ies can be monitored in order to
ensure success
Summary - Deloittes is a private consultancy firm which serves services in global areas . it is
treated as well recognize consultancy firm which suggests the good advice to invest at right place.
Mission - the company aims themselves as a top consultant as well as they count themselves
as a good advisor in the market by having a good brand value in international market along with they
aim to have a rate of profits.

Vision - The company looks at the company brand value also they observes to have a great
trade name and image in the eyes of the users. The company wants to be the brand which is priotise
by every people for having a consultant for investing amount.
Background - Deloitte is the top leading consultancy firm services one of the largest
company and part of a global network spanning 150 nations and territories. The role of the business
in the society has never been more crucial and the people are helping to manage some of the biggest
problem for company and community , vitality by the covid 19.
Organizational structure - the company uses a basically the sole owners of their respective
member firms. These are primly managed on an individual region on regular basis and all operates
within the legal and regulatory structure of its basic legality ( Struyf, Matthyssens, and Van
Bockhaven, 2021.).
Marketing mix -
1. Product - the company provides the tax consultant, financial advisor and many others.
2. Price - the company uses the differentiation costing methods to provides advice to people.
3. Promotion - the company promotes the goods and services through the digital media, bill
broads and many more.
4. Place – the company provides the services in various nations and countries around 150
nations.

5.0 Conclusions
It is concluded from above report that business is required an effective startegy that helps in
making an effective decisions and also leads in accomplishing goals succesfully. This is being
evaluated In report that pestle analysis and swot analysis of the companay. As well as many other
theory which is required to analyse the business activity. This is also suggested in above report that
market development is best suited in company operations.
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