Unilever: External and Internal Factors Analysis and Impact Report

This report provides an analysis of Unilever's business environment, focusing on both internal and external factors. It examines the company's mission, leadership, and technological integration. The external factors discussed include economic situations, political influences, and social considerations. The report highlights how these factors impact Unilever's operations, including pricing strategies, trade policies, and consumer behavior. It emphasizes the importance of understanding these factors for strategic decision-making and overall business success. The report concludes with a discussion on how Unilever can influence its external environment, particularly through pricing, market adjustments, and consumer engagement. The report also references the impact of the European Union on company operations and opportunities for growth through efficient energy use and increased consumer base.

3002 CONCLUSION
After a brief analysis of above report, it has been concluded that it is
essential to focus on business environment so that it is easy to make decisions
within business. It has been evaluated that it is necessary to be aware about
external and internal factors so that objectives are achieved & business
activities are carried out properly.
Reference
Khodori, M. and Farahin, N., 2018. The Internal Factors and External Factors
that Affected the Liquidity Risk on Hindustan Unilever Ltd, Mumbai,
India. Mumbai, India (May 21, 2018).
Introduction
In business, market is flexible which reflects the environment of a
particular organisation. It is essential to focus on business
environment so that goals and objectives are achieved in proper
manner. Main aim of this report is to examine the impact of business
environment in organisation Unilever, a British multinational
consumer goods headquartered in England. It is located at global
scale and has competitors such as P& G, Nestle, etc. This report
comprises of external & internal factors, impact of organisation on
external environment.
Internal as well as external factors has wider impact on business as
activities are carried out within market. There are different element
that has effect on business which are discussed as follows-
External factors-
 Technological factor- It is external factor which affects the
business of Unilever as technology changes from time to
time. In relevance of selected entity, they have been merged
up with high end security system on basis of which they are
able to carry out their activities properly.
 Economic situation- It is another external factor which
impact on entity's overall structure as due to change in
stability of economy it is difficult to make decisions
regarding products prices. For example- Unilever changes
their prices at frequent level as they have increased the prices
of daily consumable items.
Internal analysis
Internal factors-
 Mission- It is to be defined as working tasks which are being carried out to achieve
common desired goals and objectives.
 Leadership- Leadership is process in which decisions are influenced to get work
done. In relation of Unilever, their leaders participate in decision making process
and they have skilled subordinates who carry out every task in proper manner.
Describe and discuss the various path in which Unilever can impact on the external
environment
External environment is wider and broader and it is important to focus on such factors so
that decisions are made in appropriate way. Also, it impacts on profitability & productivity of
enterprise at larger scale. So, there are various ways through which firm can impact on external
environment-
 Political factor- It is factor which comprises of tax policy, trade policy, etc. It is essential
 to be aware about such factors so that business strategies are implemented accordingly. In
context of chosen entity, European Union are to be viewed as threat to company operations.
 Social- It is another external factor in which it comprises of behaviour, attitude, etc. So, in
relevance of chosen firm, they have opportunity in increasing of sales by using of efficient
energy & increasing female consumers worldwide.
External Analysis: