Report: Organization Structure and Pestle Analysis of Plus 500 PLC

This report provides a comprehensive analysis of Plus 500 PLC, an international financial firm. It begins by outlining the company's organizational structure, emphasizing its corporate governance practices, adherence to UK corporate governance codes, and compliance with relevant laws and regulations. The report then delves into Plus 500 PLC's commitment to social responsibility, highlighting its use of technology to foster community, its dedication to employee welfare, and its efforts towards sustainability. The core of the report focuses on the importance and application of Pestle analysis, examining political, economic, and social factors that impact the company. The political analysis considers factors such as corruption, intellectual property protection, and taxation policies across the countries where Plus 500 PLC operates. The economic analysis reviews inflation rates, growth rates, and consumer spending power. The social factors include cultural attitudes and societal beliefs. The report underscores how these factors are crucial for the company's strategic decision-making and long-term profitability, especially when entering new markets. The report concludes by emphasizing the significance of understanding these external factors for effective business management.

Plus 500 plc

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Organization Structure of Plus 500 PLC-...................................................................................3
Importance of Pestle analysis in a company...............................................................................5
Pestle Analysis of Plus 500 PLC ................................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES..............................................................................................................................10

INTRODUCTION
Plus 500 PLC is an international financial firm providing online trading services in contracts for
difference, across more than 2,000 securities and multiple asset classes. The company is
headquartered in Israel and has subsidiaries in UK, Cyprus, Australia, Singapore and Bulgaria.
Plus 500 PLC is authorised and regulated by the Financial Conduct Authority, the Cyprus
Securities and Exchange Commission, the Australian Securities and Investments Commission,
the Monetary Authority of Singapore and the Israel Securities Authority. It is listed on
the London Stock Exchange with the ticker "PLUS" and is a constituent of the FTSE 250 Index.
This report covers questions such as Organization Structure of Plus 500 PLC, Importance of
Pestle analysis in a company, Pestle Analysis of Plus 500 PLC. This study highlights the fact that
Plus 500 PLC has a lot of scope to grow. They are making an application for their consumers so
that they can use that and trade shares from anywhere. They can gain the access to the stock
market from that application and information about the stock prices of companies so that they
can buy and sell according to their suitability.
MAIN BODY
Organization Structure of Plus 500 PLC-
The company has corporate governance in their structure and they have listed their listed their
information of trading in the list of official documents and they practice it on a consistent basis
by following the corporate governance code of UK. The company has complied with their code
of conduct and recommendations from the beginning. The company is a Israel company so they
follow their provision and companies law also. Shareholders of the Plus 500 PLC. If any
situation of conflict arises then company has set a procedures so that they can follow the rules
while disclosing or reviewing any issue of conflict. They are in interest and in compliance with
the companies law. (Shenoy and Aithal, 2016.) Directors of the company take these decisions
and only they have the authority if the conflict is to be mattered by the Board. The company has
specifically cleared in their guidelines that if any transaction is done by the directors or if the
transaction is consist of their personal interest then it is mandatory to get the approval from the
Board. Board will check into it and if its not related to the best interest of the company then

chances are they may not approve it. If the nature of the transaction is extraordinary then with the
approval of Board company needs to add the approval of audit committee also. Company can
review the matter of conflict at any time. If the operations are being handled this way then then
the board will consider that their operations are maintaining with the procedures in an efficient
manner. No conflicts have that potential that it can involve the duties of directors or senior
managers. Even if it is regarding their personal interest.
Company encourages both private and institutional investors. CEO
of the company conducts a meeting with them on a regular basis so that they can check the
results of the company on an yearly basis. The committees of the company are answerable at the
time of annual general meetings and at the review the annual interim reports. At the time of
Board meetings updates are checked with the presence of analysts and shareholders.
Social Responsibility of the company and the commitment of the company to their internal
aspect-
Company uses technological aspects such as mobile phones to bring people together so that they
can build a community which will be the core of corporate social responsibility. The company
thinks that CSR is their essential responsibility which also tells them that their management is
good. With time company is growing their business with fulfilling their commitment of CSR and
take more initiatives like these. (Racz and et.al., 2018) This helps the company to create value
for the employees, shareholders and customers in a tangible way. The company is also working
on creating a environment where the work and responsibilities of the employees are valued not
ignored and treated with equal respect and fairness so that they can gain their trust. The company
believes that their reason of success is because of their talented and dedicated employees. They
are giving equal opportunities to their employees so that they can value each other with the same
respect. The company has set this as their policy which concerns all the decisions such as hiring,
compensation, promotion, termination and training. Their policy includes more factors. They are
also working on preserving the resources. Company is making efforts so that they can increase
the factors of sustainability. This includes factors such as integration of technology which saves
energy, making design of the product which fulfills the responsibilities, conservation of

resources, recycling of green information technology and responsibility of electronic
management. The company has set their goals and considers themselves as a going concern and
they have to safeguard this ability. If they don't then they won't be able to provide returns to
shareholders and provide benefits to other stakeholder so that they can maintain the capital
structure for reducing the cost. The company is committed to their customers and try the best to
not put their negative balances and they charge no commission on trades. The company swears to
their customers that they don't use techniques such as cold calling and does not provide them
binary option. For platform users they provide a free demo account on an unlimited basis and
tools which are sophisticated for managing the risk. Even those tools are provided by the
company with no charge so that they can manage the leverage and to protect the customers by
stopping the losses and increase the level of profit by limiting the loss of capital. (Del Marmol,
and Feys, 2015.)
The board of directors of the Plus 500 PLC are-
Elad Even Chen as financial director.
Gal Haber as Managing Director.
Penelope Judd as Chairman of the company.
Asaf Elimelech as CEO of the company.
Steven Baldwin as Non executive director of the company.
Importance of Pestle analysis in a company
It is a foolproof plan for the expansion of business-
This analysis is necessary for both the organization who are new in the industry and who are
existing and has been serving for the long time in the market. This analysis can help a company
identify various factors such as political, social, economical, technological, legal, environmental
etc. with the help of this the company can know the recent trends in the market. This will help
the company to make their vision clear and better for the future. By breaking the factors and
dividing them into segment so that entrepreneurs can know which move to make according to a
suitable strategy. For instance if the company takes political factor to analyze they won't consider
it at the time of elections but they have to be aware about the regulations they make, policies
related to taxes, wages and intellectual properties in the country. (Moro Visconti, 2016.)

Internal v/s External-
Many companies are just concerned about marketing so that they can increase the sales. They are
controlled from the internal aspects of the organization. Some companies increase the budget of
marketing but they don't understand that it will not do anything until they focus on the overall
factors. On the other hand with the help of Pestle analysis company can know all of the factors
which can affect the business. For instance technology is rapidly evolving and Plus 500 PLC can
use this aspect by analyzing it. They can make their application for the people so that they can
trade their share online which will be easy for them. (Christodoulou and Cullinane, 2019)
Cost Effective-
This analysis helps the company to know how much and where to invest so that the company
makes an investment in a viable area and the chances of growth for the company will increase.
By achieving the aspect of growth for the long term company can make their name in the market
and everyone will recognize their brand. They will achieve this only by the method of cost
effectiveness as it will save them to invest in departments which are unnecessary. (Rastogi,
N.I.T.A.N.K. and Trivedi, 2016)
Analyzing and understanding the prospects-
If the company has conducted and done this analysis in a proper way. The management be it top,
middle or low level they will have a better understanding for the future prospects. Company has
to keep many things in mind before making a decision. For example if the company avoids or
ignores any law then they will then it can affect the business in any way possible. They may face
damage in ways which they can't correct. That is why it is necessary to analyze every factor with
the help of Pestle. (Dcosta, 2017.)
Alertness-
The company gets the alert of the situations which are going to affect their profitability. This can
only happen if they have analyzed every aspect of the organization. It will help the company to
stay out of trouble. This is only possible with the help of Pestle analysis.
Accomplishing the goals and opportunities-
A company operates in an environment where risk has no end. Sometimes for trying out new
things company has to take risks which can be successful sometimes but it also takes a chance of
falling down and company won't know the reason which factor hit them. That is why company

needs to take a analysis before making a decision to explore new areas. Company has to take
more flexible approach so that they can change the way of working in order to satisfy the needs
of the consumers they need to do this analysis as they need to know what they are expecting and
to fulfill their demand it is necessary for the company to do it.
Pestle Analysis of Plus 500 PLC
Political Factors-
The company operates in the financial sector with operating their services in more than 10
countries which makes them to expose themselves to several types of factors and risks in the
political environment. These factors helps to determine the profitability of the company in the
long term. Plus 500 PLC can analyze the factors of different countries and it is necessary for
them to do a analysis before entering a market. They analyze by looking into factors such as
level of corruption in the country, protection of intellectual property, importance of the sector
and their economy, regulations related to tariff and trade, if or not there are companies with
whom Plus 500 PLC can come into a partnership, policy of pricing or policy of taxation is
looked, what benefits are mandatory for employees, safety regulations of industry in the financial
sector. (Barik and Kumar, 2018)
Economic Factors-
This aspect is concerned with the factors which are concerned with the economy such as rate of
savings, rate of inflation, rate of foreign exchange and the cycle which helps in telling the
aggregate demand and investment. Competitive advantage and its impact is judged by the norms
of competition. Plus 500 PLC judges studies the rate of inflation and rate of growth and the
spending power of consumers. Economic indicators such as these help the company to forecast
the growth in the sector. Company look on these factors before entering into a new market.
Intervention of the government, rate of exchange, type of economic system, level of education,
efficiency and stability of the market, quality of infrastructure, level of workforce and their skills
in the concerned sector.
Social Factors-
culture of the society and the way they do things impact the internal culture of the organization.
Attitude and belief of the population tells the company how the marketers of the company will
go through it and according to that they will design the message for the consumers in the market.
Company must consider these factor at the time of the analysis, level of skill and demographics

in the population, structure of class and hierarchy in the society, level of education of people,
spirit of entrepreneurs. (Atighechian and et.al., 2016)
Technological Factors-
This aspect is rapidly evolving in every sector but at the time of analysis the company has to
keep in mind how this aspect affects and disrupts the industry. If it is slow it will give more time
to adjust and if it is fast then the company won't have much time to cope up with it. Plus 500
PLC has to keep in mind the development made by their competitors in this aspect, impact after
the development and offering the product, impact on the structure of cost, impact on the structure
of value chain, rate of diffusion of technology.
Environmental Factors-
Norms are not same in different markets or the standards of the environment which affects the
profitability of the company. Even the laws of states which comes under the same country are
different as it depends on the condition there. According to that laws are made for the
environment. If Plus 500 PLC has to operate in different markets then it is necessary to play safe
bu understanding the forces of the country. Support for renewable energy, management of waste,
change in climate, weather, laws for pollution, water and air pollution and their norms.
Legal Factors-
Some countries don't provide the protection for the intellectual property rights. That is the reason
why Plus 500 PLC evaluates the factors which will affect the company so that they can be
prepared and maintain their competitive edge. Law of discrimination, copyright, patents or
intellectual property rights, law of employment, protection of data, law for health and safety
protection of consumers and e commerce and the anti trust law of the country. These are the
factors that are studied by the leaders of the company before entering into a new market. (Aithal,
2016)
CONCLUSION
From the above studies it has been concluded that Public PLC 500 has taken measures to
improve the structure of their organization. They have committed to their shareholders,
employees, customers, their board of directors and everyone who is concerned with the structure
of the organization that they will bring changes which will ultimately improve the condition and

prospects of the business. This study highlights the fact that the company is serving in more than
10 countries and has been handling their operations successfully. With the help of Pestle analysis
company has come to know that what measures they need to take and which factor has the scope
which can help them to grow and achieve the aspects of long term.

REFERENCES
Books and Journal
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Analysis. Bimaquest. 18(3).
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the Implementation of a Port Energy Management System: A SWOT/PESTLE Analysis.
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