Strategic Planning for Brook Ltd: An Analysis of External Environment

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Added on  2023/04/22

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This report assesses the internal and external environment of Brook Ltd to develop strategic options and effective strategies. It emphasizes the importance of external factors such as customer groups, shareholders, suppliers, and the community. The report also addresses the needs and expectations of shareholders, including profit, control, and ethical considerations. A PESTLE analysis is used to track the external environment, covering political, economic, social, technological, legal, and environmental factors. The study employs Porter's Five Forces and the Boston Growth-Share Matrix to analyze current business plans and determine Brook's market position, considering market share, area of operation, customer trust, and brand recognition. A SWOT analysis identifies strengths, weaknesses, opportunities, and threats, highlighting the need for new income sources and expansion opportunities. The report concludes that Brook Ltd has the capability to develop new plans for expansion, particularly in offering sexual health treatment to a broader age group.
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Strategic Planning:
Brook
Task 1
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Introduction
This presentation has been prepared for the purpose of
assessing the internal and external environment of Brook ltd.
With the help of it, base for strategic options has been
developed along with creation of effectual strategies.
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1.1 Importance of external environment
factors affecting the organization
External environment has a great impact in the functioning of this
social group that can be understood by the following factors:
Customer Groups: This firm emphasizes particularly on the
age group of 25 years by providing free and confidential sexual
health services.
Shareholders: Shareholders are considered as the important
factors to invest in the existing plans and programs. Along with
this, they also provide support and trust towards the upcoming
events and ventures of group.
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Cont
Suppliers: Dynamic environment of company requires a good
amount of technical and informative supplier’s support in order
to provide its services uninterruptedly.
Community: Community support empowers motivational and
optimistic approach to the work-culture.
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1.2 Needs and expectations of
the shareholders of organization
Like others, shareholders of Brook
expect huge profit and good returns
from the firm.
Constant reissuing of share and stock
splits by the firm are carefully observed
by its stakeholders as they expect to
avoid such conditions.
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Cont
Some degree of control over the board is
required for them to stay informed about
the activities that are taking place in the
firm.
From their ethical point of view, team
makes sure that purpose of its
foundation should be laid successfully
by providing correct solutions to the
targeted group.
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1.3 Major changes of external environment
affecting the strategy planning
Here, social group use PESTLE Analysis to track
and evaluate the external environment. This
analysis is as follows:
Political and legal : Government and legal
policies such as aids and subsidies, consumer
laws as well as safety standards framed for the
welfare groups play crucial role in the
functioning of Brook.
Economic: Interest rate, foreign exchange rate
and inflation rate put impact upon the
economic policies of the firm.
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Cont.
Social and environmental: Scrutinizing
cultural trends, demographics, environmental
offsets, and population analysis is necessary for
the formation of programs accordingly.
Technological: According to this factor,
company needs much emphasis on the research
and development teams as per the present
technical scenario.
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2.1 Tools to analyze effects of
current business plans
The present study will make use of following tools to analyse
current business plan:
Porter's Five Forces:
According to the model, firm's strategies formation will be
influenced by five forces such as supplier power, threats of
substitutes, buyer’s power, threats of new entrants and
competition rivalry.
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Cont.
Boston Growth -share matrix:
Boston growth model helps to determine
Brook's life cycle stages that is
recognised as a tool for the investors to
scrutinize future programs coming up in
the pipeline. Measurement of the growth
depends on the following stages such as
question mark, star, cash cow and dog.
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2.2 Position of organization in
the current market
The current market position of Brook is as
follows:
Market Share: Firm works at national level as
a NGO for the welfare of young population of
the country.
Area of operation: It provides health related
services and advice to over 1,00,000 young
people each year.
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Cont.
Trust and loyalty: Customers are influenced by
the efforts of firm in the remote field. Better
services and proper suggestions are the
advantages for the company in building strong
human relation, loyalty and trust among the
customers.
Brand recognition: The firm is one of its own
kinds in the country. Therefore, brand
recognition is above the average level, though
NHS is one of its uttermost substitutes.
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