Global Business Environment Analysis: Reckitt Benckiser Report

This report examines the global business environment of Reckitt Benckiser (RB), a British consumer goods company. It begins with an introduction to the global business environment and then presents a SWOT analysis of RB, identifying its strengths (reputed brand, global presence), weaknesses (controversies, low rural penetration), opportunities (digital marketing, employee training), and threats (competition, new entrants). The report then utilizes a TOWS matrix to develop strategies based on these factors. Finally, it analyzes the operational impact of RB's weaknesses and threats on its marketing and human resource management (HRM) functions, including the impact of poor supply chains, high competition, and customer service issues on marketing campaigns and employee management. The report concludes by summarizing the key findings and insights regarding RB's strategic positioning and challenges within the global market.

GLOBAL BUSINESS
ENVIRONMENT

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
SWOT Analysis...........................................................................................................................3
Operational Impact Analysis.......................................................................................................5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Global business environment is mainly created by businesses and companies which runs
their business operations internationally or globally. In this situation, upper management of each
business has always required to take steps towards properly dealing with different factors of
business environment (Cismas and Macrory, 2018). This report includes SWOT analysis of
Reckitt Benckiser (RB) with operational impact analysis. Basically, RB is British consumer
goods company which currently serves in across the world.
MAIN BODY
SWOT Analysis
SWOT analysis is very important and very productive tool to different companies and
businesses right now, and with the support of this tool top-level management of a business
become able to know key internal factors of its business environment. This SWOT term
generally shows four key internal factors of business environment, named; strengths, threats,
weaknesses and opportunities. Currently competition is very high in each industry or sector, in
which it is very important to upper management of Reckitt Benckiser for applying SWOT
analytical tool in its workplace in order to manage the impact of its key internal factors. This is
why existing tool is very important to the business. This tool or framework is very important to a
business for developing its capabilities and competences, and after developing these a venture
will be able to gain huge competitive advantage in the market place. There are all four key
internal factors of tool has been described below in the context of Reckitt Benckiser.
Strengths: Reckitt Benckiser is very reputed brand which currently serves in more than 200
countries (Bruun-Jensen, 2017). It has more than 40,000 employees who works very hardly in
daily operations of company. Business expansion strategy of company is also very effective, and
this is why it currently operates in many nations.
Weaknesses: This brand is always embroiled in controversies in business operations of different
countries. Reckitt Benckiser has very low penetration in different rural areas. Many of customers
not like to consume its products due to lack of product availability.

Opportunities: The management of this business has an opportunity to attract many new
customers with the support of digital marketing technique. On the other side, it has opportunity
to improve skills and abilities of its employees by offering them various productive training and
development sessions.
Threats: Currently there are many new businesses entering in the same of Reckitt Benckiser with
their new innovative idea, in which this is a big threat to company (Avedi, 2016). Existing higher
market competition is also a key threat to Reckitt Benckiser.
TOWS Analysis
TOWS analysis is basically second form of SWOT analysis which is mainly used
different by companies and individuals for developing different productive strategies on the basis
of strengths, weaknesses, threats and opportunities.
TOWS Analysis Strengths
 Reputed brand
 Serves in 200
countries
 40,000 employees
 Effective business
expansion
 Large customer base
Weaknesses
 Embroiled in
controversies
 Poor supply chain
 Unchanneled
functions
 Weak customer
service (in few
countries)
 Lack of attention
Opportunities
 Brand extension
 Digital marketing
 Loyal customer base
 Operations
management
SO strategies
 It has an effective
business expansion
strategy, and also has
opportunity to use
digital marketing tool,
WO strategies
 Reckitt Benckiser
have to use customer
relationship strategy
to make them loyal
with own brand.

 Skilled and talented
employees
so it should use
strategy of market
penetration to gain
more profit.
Threats
 High competition
 New entrants
 Corona virus
pandemic
 Trade agreements
 Economic slowdown
ST strategies
 The company have to
own existing brand
value to beat new
entrants in market
place.
WT strategies
 The management of
business can use
competitive-based
pricing strategy to
gain huge competitive
advantage.
Operational Impact Analysis
This area of report is generally discussing the impact of weaknesses and threat of Reckitt
Benckiser on its two of functional areas, named; marketing and Human resource management
(HRM).
Impact on Marketing
Existing weaknesses and threats of company are completely affecting to the marketing
function of Reckitt Benckiser, and this is why upper management of the business have to be
ready for systematically dealing with the impact of weaknesses and threats (Sidibe, 2020). For
example; poor supply chain is one of key weaknesses of company, in which the marketing team
of company has been influenced by this weakness to coordinate with upper management for
improving supply chain, because a business should have all functions effective for gaining better
outcomes. On the other side, current high competition is a threat to Reckitt Benckiser, and this
threat influences to marketing manager for running such marketing campaigns in market place
which can attract many new customers towards own brand.

Impact on HRM
The weakness and threats of the company Reckitt Benckiser impacts the HRM of the
company. Weak customer service impacts the HRM of the company as the company faces many
problems in performing its functions such as recruitment, training etc. The customers can be
skilled and qualified enough to be recruited by the HRM of the company. The inefficient
customer service destroys the image and the goodwill of the company which is lacking the
company regarding the skilled candidates (Sarsby, 2016). The products are also not diversified
which creates many problems for HRM in designing the job and analysing it as the brand of the
company is reflected in the description of the job. The economic slowdown which is a threat for
the company also impacts the HRM as it creates difficulties in compensating and rewarding the
employee by providing them benefits in terms of financial amount etc. The pandemic of COVID-
19 is becoming a threat for the company as many restrictions are imposed by the government
regarding the trade between different countries which also hinders the performance of the
employees and thus becoming an obstacle in managing their performance which is the main
function of HRM. This also destroys the labour and the managerial relations as due to COVID-
19 there can be no personal meetings and all the discussions cannot be done through the virtual
meetings.
CONCLUSION
The above report focussed on the consumer goods company i.e., Reckitt Benckiser which
is a consumer goods company. The SWOT analysis of the company was done along with using
the TOWS matrix to develop strategies accordingly. The Operational impact analysis was done
in order to analyse the impact of weakness and threats on the different functions of the company.

REFERENCES
Books & Journals
Avedi, E. K., 2016. Influence of e-procurement on organizational performance: the case of
Kenya association of manufacturers firms in Nairobi County, Kenya. (Doctoral
dissertation, University of Nairobi).
Bruun-Jensen, J., 2017. Business model coherence premium: what is it and does it exist in the
consumer goods industry? (Doctoral dissertation, University of Reading).
Cismas, I. and Macrory, S., 2018. The Business and Human Rights Regime under International
Law: Remedy without Law?. In Non-State Actors and International Obligations. (pp.
222-259). Brill Nijhoff.
Sarsby, A., 2016. SWOT analysis. Lulu. com.
Sidibe, M., 2020. Brands on a Mission: How to Achieve Social Impact and Business Growth
Through Purpose. Routledge.