Strategic Analysis of Novartis Pharmaceuticals UK: A Case Study

This presentation provides a comprehensive analysis of Novartis Pharmaceuticals UK, examining both its external environment and internal capabilities. It begins with an introduction to the organization, offering a historical perspective. The analysis then employs the PESTLE framework to assess political, economic, social, technological, environmental, and legal factors impacting the company. Following this, a SWOT analysis identifies the strengths, weaknesses, opportunities, and threats facing Novartis. The VRIO framework is used to evaluate the organization's resources and capabilities, determining their competitive advantage. The presentation concludes with recommendations based on the analysis, aiming to enhance Novartis's strategic agility and overall business performance. The report also contains references used for creating this analysis.

Project

Table of Content
Introduction
PESTLE Analysis
SWOT Analysis
VRIO Analysis
Conclusion
References

Introduction
To operate a business successfully in changing
environment there is need to analysis the market
properly that can help to understand what changes
needs to bring in organization. The present report is
based on internal and external environment analysis

About Organization
Novartis Pharmaceuticals UK is medium size
organization that sales different types of medicines
to their customers for providing good health. The
organization was founded in March 1996 by
Johann Rudolf, and Alexander Clavel. The
management of such organization understand
requirement and provide kind of products that
could help to provide safe life

PESTLE ANALYSIS
PESTEL analysis is a tool used by managers to analyze external environmental
factors that influence a particular organization as well as industry. It helps
organizations to grab the external opportunities and use them in effective and
efficient manner to achieve the organizational goal. The PESTLE analysis of
Novartis Pharmaceuticals UK is defined below:
• Political factors
• Economic factors
• Social factors

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• Technological factors
• Environmental factors
• Legal factors

SWOT ANALYSIS
Healthcare
rationing
Complex and changing
buying structure
Increased
integration of
health care
Informed
patients
+ -
Strength 2 3 4 2 10
Good knowledge of medicine 3 2 4 2 11
Has global reach in 140 countries 4 4 4 4 16
Strong brand 3 2 2 2 9
Higher employee strength 3 3 4 4 14
Weakness
Controversies about certain products -2 -3 -2 -2 -7
Having competitors in market -1 -1 -1 -1 -4
Weak ICT capabilities -3 -3 -2 -2 -10
Highly depend on leading product -3 -4 -4 -2 -13

VRIO ANALYSIS
VRIO analysis is a framework which is uses by
business entity in order to increase capabilities
and business performance effectively. By this
technique organization evaluate various
resources to take the competitive advantages and
becoming productive organization. This analysis
considers four element valuable, rare, inimitable
and organized that are as defined in context to
Novartis Pharmaceuticals UK such as:

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Resources Valuable Rare Inimitable Organised
Skilled Employees Yes No No No
Technology Yes Yes No No
Market presence Yes Yes Yes No
Financial Resources Yes Yes Yes Yes

Conclusion
From the report it can be concluded that strategies
environment is important for business industries as it used to
analyze business environment and arrange sources
accordingly. The management uses different sources for the
purpose of arranging and managing business activities that
supports to develop business productivity.

References
Zhichkin, K., Nosov, V. and Zhichkina, L., 2019, November. Waste management
system in the brewing industry. In IOP Conference Series: Earth and
Environmental Science (Vol. 337, No. 1, p. 012009). IOP Publishing.
Kucukvar, M., Onat, N. C., Abdella, G. M. and Tatari, O., 2019. Assessing
regional and global environmental footprints and value added of the largest
food producers in the world. Resources, Conservation and Recycling. 144.
pp.187-197.
Online
About Novartis. 2021. Available through:
<https://www.mbaskool.com/brandguide/pharmaceuticals-and-healthcare/
2624-novartis.html>

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