Rolls Royce Case Study: PESTLE, SWOT and Marketing Analysis

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This report provides a comprehensive analysis of Rolls Royce's global business environment. It begins with PESTLE and SWOT analyses, evaluating political, economic, social, technological, legal, and environmental factors, as well as strengths, weaknesses, opportunities, and threats. The report then delves into the impacts of these environmental factors on Rolls Royce's marketing and research and development (R&D) functions. The marketing section examines the company's branding, marketing strategies, and customer engagement, while the R&D section highlights the company's investments in technology, innovation, and sustainability. The conclusion summarizes the key findings, emphasizing the importance of adapting to the changing business environment and leveraging market opportunities for continued growth. The report references various books, journals, and online resources to support its findings.
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INTRODUCTION
Global Business Environment for the organization are very dynamics and can be effected by the
internal and external factor of environment. This report is based on the case study of Rolls
Royce. This report is about to analysis the environmental factor that are SWOT and PESTLE
analysis .
MAIN BODY
Task 1
1.1 Rolls Royce PESTLE and SWOT analysis:
PESTLE Analysis : This factors states the external factor affecting the organization and to
analysis this factor to avoid the loses.
Political factor: This factor states the intervention of the company and the policy of
government that effect the organization directly or indirectly. Government policy like
labour law, tax law, environmental law that effect the organization working in the
country. Rolls Royce is a British company that have a strong support of government.
Economic factor: Rolls Royce's have a very few premium customer that afford the cars
in the various countries. This factor barely effect the company as company can be
effected only when the exchange rate of the currency changes in the market(Vlados,
2019).
Social factor: This factor effect the company due to income factor, safety emphasis,
lifestyle attitude, which company couldn't ignore anything that effect the goodwill of the
company.
Technological factor: Rolls Royce is working on the aerospace segment that have a very
highly upgraded technology compared to other competitive companies and spent more in
research and development process.
Legal factor: Rolls Royce is in many countries that have their own legal legislation for
the foreign companies that effect the due production of the company.
Environmental factor: Rolls Royce has the updated technology that doesn't harm the
environment and the resource. Resources which are use by the company cause less harm
to fossil fuel like electrical energy(Abdel-Basset, Mohamed, and Smarandache, 2018).
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SWOT Analysis: This analysis the future threats and opportunities in the market to avoid the
future circumstances and grab the best opportunities for the company growth.
Strength: Rolls Royce is very old and big brand in the market which are known for their
luxury premium cars with having only key premium customer that can afford the
products of the company.
Weakness: The only weakness of the company is not everyone can afford the cars and
only rich high class people can afford their products. This make the company's sales
target incomplete sometimes (Elavarasan, and et.al, 2020).
Opportunities: New emerging technology is invented every day and the company are
update with the latest technological feature provide in the products to their customer like
Internet of things, Artificial intelligent etc. Rolls Royce biggest opportunities is to
customize the cars in unique way that are loved by the customer and also forced on green
high bird technology that cause less harmful to the environment.
Threat: The main threat to the company is increase in the competition by the other
companies like Mercedes, Audi, BMW etc. that are coming to the luxury segment. The
company to sustain the stability in the market and maintain their goodwill and brand
name for the growth. Whereas increasing cost of the production is another threat to the
company which effect the pricing factor of the company(Perera, 2017).
1.2 Impacts of operational in Marketing and R&D
Marketing function: Rolls Royce is very pronounced brand and one of the oldest brand in the
world which is known by almost everyone in every country. They are known for their luxury
cars which are very premium one where only few people can afford them. The Marketing
strategy of the Company are in unique way that makes them a very different luxury company
from other like Mercedes, Audi, BMW. Rolls Royce don't have to make many efforts for the
marketing as they are already well-known brand in the market. The marketing strategy show the
company product benefits that drives the costumer into luxury and with the most the safest cars
in the world. Company create events for their luxury customer to promote their new launches and
the technology updated in the new upcoming products. The existing customer of the company
are offered for the new product which drive with the simplicity with cost less for the customer.
Show the features and production details to the customers like hand made and hand finished
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where every customer are satisfied with their own need and customized the product which show
Royal and lavish lifestyle of the people(Shtal,and et.al, 2018).
Research and Development: Rolls Royce is a very luxury brand that have to give very latest and
updated technology to the customer to feel the royal lifestyle. Rolls Royce spent millions of
dollar in the research and development for the better quality and experienced to their customer.
Rolls Royce spent their money in R&D for creating better product and new ideas, concept to
fulfil the need of the customer. They have collaborated with the many renowned university, for
the strategy to be followed by the company and future changes to adopt the new technology.
New strategy like timely delivery to the potential customer, sustainability, environmental
friendly production or eco-friendly cars or electric cars, entering into new segment like sports
cars. The company work on the aeronautic technology for high quality material used in the cars
like engine. Company is working on the low carbon technology I.e. is working on the nuclear
energy to harm less to the environment. The company vision is to remain at top with the
performance, reliability for their customer. Working on the future technology to develop the
future market in the industry. Applying on artificial intelligent on the operational help the
company to improve the design, manufacturing process data analysis for better maintenance of
the company and their product.
CONCLUSION
This report gives the impact of the environmental change on the Rolls Royce company which is
effected by internal and external factor that can be avoided by the company and grab the future
coming opportunities in the market to maintain the sustainability of the company's goodwill.
Also, the marketing and R&D strategy are followed by the company for the better development
of the company.
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REFERENCES
Books and journals
Vlados, C., 2019. On a correlative and evolutionary SWOT analysis. Journal of Strategy and
Management.
Abdel-Basset, M., Mohamed, M. and Smarandache, F., 2018. An extension of neutrosophic
AHP–SWOT analysis for strategic planning and decision-making. Symmetry. 10(4). p. 116.
Elavarasan, R. M. and et.al, 2020. SWOT analysis: A framework for comprehensive evaluation
of drivers and barriers for renewable energy development in significant countries. Energy
Reports. 6. pp. 1838-1864.
Perera, R., 2017. The PESTLE analysis. Nerdynaut.
Shtal, T.and et.al, 2018. Methods of analysis of the external environment of business activities.
Online
Rolls Royce's Innovation Strategy. 2020. [Online]. Available through:
<https://www.ukessays.com/essays/engineering/rolls-royces-innovation-strategy.php>.
Scanning the Environment: PESTEL Analysis. 2016. [Online]. Available through:
<https://www.business-to-you.com/scanning-the-environment-pestel-analysis/>.
SWOT analysis of Rolls-Royce. 2018. [Online]. Available through:
<https://www.marketing91.com/swot-rolls-royce/>.
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