SWOT and PESTLE Analysis of Unilever's Business Environment Impact

This report provides an analysis of Unilever's business environment using SWOT and PESTLE frameworks. The internal factors, strengths and weaknesses, along with external opportunities and threats are identified through SWOT analysis. The PESTLE analysis examines political, economic, social, technological, legal, and environmental factors affecting Unilever's operations. The report concludes by emphasizing the importance of understanding these factors for strategic decision-making, highlighting how Unilever can leverage opportunities and mitigate threats in its operating environment. This analysis is crucial for stakeholders seeking to understand Unilever's strategic positioning and potential for growth.

Introduction
Business environment refers to the sum of collection that
include internal and external factors that affects on
business operations and functions. It is analyzed that there
are many factors that include in business environment that
positively or negatively affect on organisation operations.
It is very important to identify that so that firm cam take
necessary corrective actions. In this context, Unilever is
undertaken to analyze the business environment with the
help0 of SWOT and PESTLE analysis. It is the British
multinational company that provide consumer goods and
many more products.
Unilever And Its Environment
Name of the Student
External Environment
PESTLE analysis:
PESTLE analysis is a tool that helps to identify external factors that
affect the organisation.
Political Factors: UK has stability in political factors because of
their working environment. Political stability of UK is the
opportunity for Unilever and threat is Brexit. It is important to
analyze so that organisation can take necessary corrective measures.
Economic Factors: It includes incomes or wages and growth rate of
economy. Both opportunity and threat is common for Unilever i.e.
increasing wages or income rate in developing countries.
Technological Factors: Unilever needs high research and
development that becomes a threat for organisation. Unilever should
decrease cost of transportation so that they can overcome with threat.
Legal Factors: Regular increasing in complexity of regulations and
laws in organisation become threat and opportunity for Unilever
because they are bound to follow so that they can grow their
business.
Social Factors: Unilever increase those products that rise health
consciousness which become opportunity for organisation. This
behavior of Unilever is helps to grow their business.
Environmental Factors: It is analyzed that Unilever has interest in
green environment which requires healthy products and reduction in
waste. Both steps are undertaken by organisation that shows their
interest.
How the company impact
its context External
Environment
It is concluded from the above discussion that
organisation can analyze internal and external factors
through PESTLE and SWOT analysis. PESTLE analysis
helps to identify external factors that are not
controllable which should be accept by organisation.
SWOT analysis helps to identify internal factors that are
controllable in organisation through taking corrective
measures. It is very important for organisation that they
concentrate on factors so that they take right decisions.Internal Factors
STRENGTHS:
Unilever is the oldest brand that run their business at
global level. It has a huge number of products that
diversified their business and satisfy customers needs.
WEAKNESSES:
Competition is the major weakness of Unilever that give a
tough competition such as P&G and Nestle. Substitution
is the another weakness as their products are similar.
OPPORTUNITIES:
They has a opportunity to grow their business through
social fulfilment of responsibility. Globalization is the
another opportunity that helps to grow their business.
THREATS:
Their success is a big threat as it invites new entrants.
Ongoing global crisis is threat of Unilever.
References
Ladykova, T. and Vasilieva, I., 2020. Imitation of the
impact of external factors in the modeling of
innovation-oriented regional socio-economic systems.
In E3S Web of Conferences (Vol. 210, p. 13035). EDP
Sciences.