Tesco PLC: Analysis of External and Internal Business Factors

This report provides a detailed analysis of Tesco PLC's business environment, examining both internal and external factors that influence its operations and performance. The report begins by introducing the company and its role in the market, followed by an exploration of the impact of external factors such as government regulations, economic conditions, and social trends. A SWOT analysis is conducted to assess Tesco's strengths, weaknesses, opportunities, and threats. The report emphasizes the importance of understanding the business environment for strategic planning and achieving company objectives. It also addresses the impact of government policies, such as tax regulations, on the company's operations. Finally, the report concludes by summarizing the key findings and emphasizing the significance of analyzing both internal and external environments for business success. The report also provides a list of references used for the analysis.

The business refers to the various activities and operations that are
preformed on a daily basis so as to promote its effective functions. The
surroundings in which the business operates is refereed as the business
environment. The business environment is a very broad concept which
can be effected by many forces such as internal and external as well.
The business environment comprises of various elements that have the
impact on different policies, functional ability, and [productivity of the
business.
INTRODUCTION

Tesco PLC is a well known reputed company of multinational
groceries and general merchandise, the headquarters of the
company are located in the Welwyn garden city England. The
company is referred as the third largest retailer among the UK
merchandising stores. Which is flourishing quite well in the UK
market. The company is well focused on delivering the quality
products and services top its customers so that they can build
the effective relationship with its customers. Along with that, the
organization is also promoting sustainability in various ways so
that the environmental concern is maintained and people will
also be aware about the healthy environment.
COMPANY OVERVIEW

Political- The various impose of taxes and regulations and the
changes in the policy of the government has laid down a major
power on the running of the company.
Economical- These factors plays an important role in touching the
need and supplying of the product that the company is providing.
Social- The Increasing interest about the wellness after pandemic
is making the company effective in producing healthy and organic
products for their customers.
Impacts of External forces on The TESCO Plc

Strength
The Tesco Company focuses on providing the excellent quality of
goods and services with an affordable prices for the customers.
which suit the pockets of the consumers. The core value of selling
differentiated products is the strength of the company, making it
more trustworthy in the market sector.
SWOT ON TESCO Plc

Government regulations
The Tesco Plc is effected in many ways by the government
policies as they have greater access to import their goods
cheaply from various other countries such as china and India.
The cost of trading has been reduced in some countries which
can benefit Tesco in having greater advantages and achieving
good profits as well. The UK government has also adopted a a
tax measure policy which has increased the VAT rate from
17.5% to 20% that have effected Tesco Plc in a negative way.
The change in Tax rate has also made the company more aware
about its operations.
Impact of organization on external
environment

In this report it discuss the topic that if any company wants to
expand their business and improve the performance of the
company, so they need to analyse the internal and external
environment. Along with it helps to making the strategic planning
to achieve the target of the company. Internal environment are
related are controllable and external environment are
uncontrollable in nature.
CONCLUSION

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REFERENCES