Dyson Company Analysis: PEST and Porter's Five Forces Report

This report provides an analysis of the Dyson Company, a UK-based technology company. It examines the company's external environment through a PEST analysis, assessing political, economic, social, and technological factors influencing its operations. The report further explores the internal competitive landscape using Porter's Five Forces, evaluating competitive rivalry, bargaining power of buyers and suppliers. The report also highlights Dyson's focus on innovation, particularly in research and development, and its impact on maintaining a strong market position. The report concludes by emphasizing the company's strategic approach to product development and its efforts to gain a competitive advantage within the market.

Management Report

Dyson Company
Dyson is one of British technology
company establish in UK. This company
was established by James Dyson in 1991.
It provide the various kind of manufactures
household appliances such as air-purifiers,
heaters, hair dryers, bladeless and etc.
Dyson is a leading enterprise which has
more than 12,000 employees across world-
wide.

Macro environment (PEST Analysis)
Pest Analysis is based on the management
method or technique whereby an enterprise
can assess major external factors such as
political, economic, social, technological,
environmental and technological. This will
help for influencing the business
operations in order to establish a strong
position of Dyson in competitive
marketplace.

Cont.
• Political Factor- this factor is related to the business of Dyson, when it comes to UK and being its local
marketplace. Company has been used political legislation which imply to handle the coordination between
political parties. in recent times, government is expected to go through some kind of unstable condition or
situation. These are directly affecting their sales, supply chain.
• Economic Factor- this factor is related to exchange rate, interest and growth which can affect the entire
business of Dyson. For instance, company has been identified the high growth rate, also increase expected
sales rate. If in case, it will increase inflation rate which may reduce the buying power of consumers (Yeh,
Gomez and Lin Lawell, 2020). Therefore, it may effects on Dyson sales rate.

Technology factor
• Technological Factor- Dyson is one of leading enterprise so that it always focused on the innovation in
their business. Therefore, it has been supported to improve the overall business performance and efficiency.
Dyson is all about the innovative technology and providing excellent solution for existing consumers.
• This company has been launched an innovative electronic items and increase their sales in marketplace
(Saukkonen, 2020). Dyson keeps on adopting a latest technological trends and ahead of their competitors.
Dyson invest a lot of time in research & development, continuously keeps on developing as well as
growing modern technology. The significance of technological factor which means that gain a good brand
reputation and always give them more sales eventually.

Cont.
• The owner of Dyson Company is emerging and commercial technology, ranging from intellectual property.
Company is always focused on the R&D which means that use new batteries, artificial intelligence
technique within innovative household items. For Example- it is increasing the demand of vacuum cleaners
in marketplace. It is one of the best innovation item by Dyson and introduce across global world.
• A major relationship with technology which means that enhance or expand their business with the help of
innovative items. As per analysis, it has been identified that technological factor plays important role in
which provide direction for Dyson in business expansion.

Porter’s Five Force (Micro-environment )
• Competitive Rivalry- there is a high competitors power in marketplace. Dyson is trying to implement
innovative idea product development. it is helping to gain competitive advantage in marketplace.
• Bargaining power of buyer- the bargaining power of buyer is moderate because different consumer have
multiple option to buy product. That’s why, Dyson hold the power when it comes to innovation in product
development. this is reason for always maintaining a strong position of business in marketplace.
• Bargaining power of Supplier- power of supplier is low because the size of company which are
completely depend on suppliers. Dyson is always tried to hire efficient people who have been establish a
proper coordination with supplier to handle business performance.

REFERENCES
• Yeh, D.A., Gomez, M.I. and Lin Lawell, C.Y.C., 2020. Sustainable pest management under uncertainty: A
dynamic bioeconomic analysis of lowbush blueberry production.
• Saukkonen, J., 2020. Structure and sources of competitive advantages in the yellow spreads industry in
Finland.

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