Vodafone's Business Environment: Internal, External Factors and Impact

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Added on  2022/12/30

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This assignment provides an analysis of Vodafone's business environment, focusing on both internal and external factors that influence the company's performance. The internal factors discussed include Vodafone's strengths, such as its large market coverage and innovative marketing strategies, and weaknesses like declining subscriber base and underperformance in the European market. Opportunities highlighted involve increased investment, 5G connectivity, and potential mergers. Threats encompass intense competition, the impact of Brexit, and currency devaluation. The external environment analysis covers political, economic, social, technological, environmental, and legal factors, detailing their impact on Vodafone. Political factors include government intervention and charges of cartelization. Economic factors involve global and regional economic conditions, including the effects of Brexit. Social factors encompass changing consumer trends. Technological factors emphasize the importance of technology adoption. Environmental factors stress the need for sustainability, and legal factors discuss government regulations. The assignment also examines how these factors influence the company, providing a comprehensive overview of Vodafone's business context and challenges.
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Introduction
Business environment is the factor which describe the
internal and external factors of any organization. Vodafone
group of plc is a British multinational telecommunication
company. Founded in 1982, headquarter in Berkshire,
United Kingdom. This assignment include the explanation
of external and internal factor which affect the business
environment of Vodafone. And interrelation of the this
factors within the company.
Individual Poster
External Environment
As Vodafone is the international market so there are several
international market factors which affect the he company's sales and
profit.
Political factors: The level of government intervention, are so
high and there pressure on the international brand regarding the
taxes regime and political stability. Also the charges of
cartelisation are affect the company.
Economical Factors: Global and the regional economy give the
direct impact on the performance of the international technology
business environment. Brexit create the pressure on the
telecommunication company as because of the devaluation.
Social Factors: changing social trends means changing the
lifestyle and adoption of the people's buying behaviour and habits.
Technology Factors: The more use of technology by the
customers affect the company and help in the growth of the
market. Overall, the better performance of the company, relate to
the use of latest technology and innovation.
Environmental Factors: In the twenty first century the most
important factors are taking care of environment and maintain the
sustainability is affect the market.
Legal Factors: By applying the government role and law
enforcement have increase the level of international business and
increase the control of the business in the long term.
How the company impact its
context External Environment
The company faces the various impact in the company
in the context of external environment.
Political factors: In this the charges of Cartelisation
are shown the weakness of the company and political
stability will make the strength of the company.
Economic Factors: Again the high spectrum cost for
the use of 5G will effect as the weakness and
supportive global business environment is become
the strength of the company.
Social Factors: Tech SME growth culture to promote
the local as well as digital economy gives the strong
strength to the company.
Technological Factors: Effect of Brexit and
introduction of 5G give the positive impact of the
company.
Legal Factors: Longer payment tenure and low ROI
will give the negative impact on the company.
Environmental Factors: vision of the zero
environment harm safety provide the positive impact
and make the strong brand image of the company.
Internal Factors
Strengths:
The strength of the Vodafone are large area
of market coverage as they operate in more than 25
countries of the world. An updated and innovative
advertisement strategies to make the strong image in the
market.
Weaknesses:
On of the weakness of the company is their
declining subscriber base and a week performance in the
European market.
Opportunities:
Uprising the investment to make the strong
revenue base, 5G connectivity and merge with the idea
cellular in Indian market.
Threats:
Intense competition, impact of Brexit and
devaluation of the British pound are the threats to the
company.
References
Hamidu, Y. A. and et.al., 2020. Rebranded Elements and Bank Preference. Asian
Journal of Research in Business and Management. 2(2). pp.120-134.
Liu, B. and Zhang, N., 2020. Decision-Making for RPA-Business Alignment. In
LISS2019 (pp. 741-756). Springer, Singapore.
Rani, P. and Mann, V. P. K., 2020. Start-up with limited budget: pleasing customers
with innovative idea's-a case study of HUMPL. International Journal of Teaching
and Case Studies. 11(1). pp.53-64.
Vidgen, R. T., 2020. Creating business value from Big Data and business analytics:
organizational, managerial and human resource implications.
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