Report on Sainsbury's: External, Internal, and PESTLE Analysis

This report provides an analysis of Sainsbury's, examining both its external and internal environments. It utilizes a PESTLE analysis to assess the political, economic, social, technological, environmental, and legal factors impacting the company. The report highlights Sainsbury's strengths, such as its wide range of products and services, and weaknesses, like a lack of innovation. It also explores opportunities for market expansion and the threats posed by increasing competition. The report concludes by emphasizing the importance of understanding these factors for effective business operations and performance. Finally, references are provided for further research and context.

Sainsbury’s and Its Environment
Introduction
Businesses are significant foreign nation as they directly
contributes towards the economic development. it also
provides job opportunities too many people that decline
unemployment rate. The poster elaborate how various
external and internal factors impact on Sainsbury’s.
Pestle analysis assist a company to gain insight about macro
environmental factors that impact on its operation and
performance
Political factor: Due to Brexit the company facing many
issues but UK is a political stable country that is beneficial for
the organization.
Economic factor: Increase in the inflation rate and interest
rate affect directly on the sales of Sainsbury’s in a negative
manner.
Social factor: Sainsbury's provide all the customer goods
under one roof which is one of the reasons customers aspires to
shop from Sainsbury instead of local retail stores.
Technological factor: Recently, the respective organization
has come with the option of selling online form and also the
option of collecting their purchases from the local stores.
Environmental factor: Nowadays, customers are preferred to
consume environmentally friendly products and is conscious
towards the health.
Legal factor: UK government has certain legislations which
organization has to adapt in order to smoothly carry out
activities.
Internal Factors
•Strength: The company offered large number of products
and services in different locations globally, which is one of
the reason offer child growth and successful stop
•Weaknesses: The company is lacking to bring innovation
due to which new generation are not taking interest in
buying products from Sainsbury.
•Opportunities: Sainsbury has the opportunity to enhance
It’s market presence by entering into emerging countries.
it can also make use of innovative technology that will
help in attracting large number of customers.
•Threat: Raise in the competition is undertaken as one of
the major threat which impact on its productivity and
profitability.
External Environment How Sainsbury’s impacts its context external environment
Sainsbury’s is one of the renowned organization which operates and provide is offerings in different countries.
It is analyzed that the external environment of business entity can be influenced by numerous factors such as
social, political and economic factors. Sainsbury’s can also affect its external environment in both negative and
positive aspects. For example, Sainsbury’s produce and offer sustainable and environmental friendly products
that will directly have positive influence on the environment. On contrary, facing the legal obligations can lead
respective organization to face many issues.
Conclusion
It has been concluded that the external and internal factor as it ensure proper as well as smooth execution of operations
within the country. Along with this, PESTLE analysis allow business entity to identify various macro environmental factor
and its impact on the performance.
References
Harper, C., and et. al., 2018. Experiences of using very low energy diets for weight loss by people with overweight or obesity: a
review of qualitative research. Obesity Reviews, 19(10), pp.1412-1423.
Bentham, J., 2018. Business and Economics in the News–Sainsbury's and Asda-the decade's mega-merger. Teaching Business &
Economics, 22(3), pp.11-12.