Vodafone's Global Business: SWOT Analysis & Operational Impact CW2

This report provides a comprehensive analysis of Vodafone's position within the global business environment. It includes a SWOT analysis, identifying the company's strengths, weaknesses, opportunities, and threats. Key drivers from both the external and internal environments are identified, and their impact on various functional areas of the business, such as research and development and human resource management, is discussed. The report concludes by highlighting the importance of understanding the global business environment for strategic decision-making and achieving a competitive advantage.

Global business
environment CW2

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Portfolio paper 2: SWOT Analysis.........................................................................................3
Portfolio paper 3: Operational Impact Analysis.....................................................................5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Global business environment refers to the environment within various soverign nations
along with the factors that are exogenous to the domestic environment of the business that
impact the process of decision-making in terms of the utilisation of resources as well as
capabilities. Within this report, Vodafone is considered as an organisation that will demonstrate
different aspects of this report (Fraedrich, Althawadi and Bagherzadeh, 2018). There will be a
SWOT Analysis which will be based on the Pestle Analysis conducted in the coursework 1.
Furthermore, there will also be an operational impact analysis in context to the respective
organisation. Moreover, the impact of key drivers on different functional areas of the firm will be
described within this portfolio.
MAIN BODY
Portfolio paper 2: SWOT Analysis
SWOT Analysis is a framework that is used to analyse the internal strengths and
weaknesses of the firm along with analysing the external opportunities and threats that are
available to the organisation. This tool helps the managers of Vodafone in making strategic
decisions and also facilitates them to overcome the weaknesses and threats through the strengths
and opportunities of the company (Hamilton and Webster, 2018). SWOT Analysis of Vodafone
is given as under:
Strengths Weaknesses
 Upgraded technologies: The
respective company is using highly
upgraded technologies in order to
conduct its business operations in an
effective manner which is a major
strength of the business. The company
conducts research and development for
maintaining effective innovative
environment within the business. This
helps the managers of Vodafone in
 Reduction in private investments: It
has become a major weakness of the
company as there is a change in the
tariffs and due to which Vodafone has
declined its private investment as well
as service exports. It has an adverse
impact on the performance of the
company.
 Decline in number of employees: It is
another weakness of the organisation

reducing the overall cost of business
and saves their precious time.
 Pollution maintenance: It is another
strength for Vodafone that it is
adhering Control of Pollution Act, 1974
that helps the company in ensuring
environmental protection at the time of
performing different business functions
(Kasemsap, 2018). It has also adopted
different green operations and has
recycled its products in order to
maintain pollution to the environment.
that during the pandemic situation of
COVID-19, there was a reduction in the
number of human resources within the
company. Decline in the employee size
has resulted in reduction of the number
of employees which has lowered the
sales operation of the business.
Opportunities Threats
 Latest and low cost technology: This
is an opportunity for Vodafone in order
to adopt the latest as well as low-cost
technologies which will help the
company in its growth and achieving
success in an effective way.
 Fast expanding cellular market: It is
an another opportunity for the
respective organisation to expand its
cellular market at global level as it will
facilitate the organisation in enhancing
the level of revenues within business.
 New entrants: It is a threat for
Vodafone if the new entrants within the
respective industry sell their offers at
low prices in comparison to the
organisation. This will affect the
profitability, productivity as well as
efficiency of the business in a negative
way as there will be reduction in the
volume of the sales operations.
 High competition: This is a major
threat for the respective company as it
is having a large number of competitors
such as Tata Communications, Nippon
Telegraph and Telephone Corporation,
Duetsche Telekom and many more
(Rizzi, 2018). These competitors are
offering their products and services

through developing effective marketing
strategies. In order to overcome these
competitors and gain competitive
advantage, Vodafone is also required to
frame effective marketing strategies.
Key drivers from the external and internal environments
External environment: In context to Vodafone, the key drivers from the external environment
include taxes, competition, technology, needs of customers, markets, regulations and many more.
Internal environment: Within Vodafone, the internal key drivers include management of the
company, its financial performance, employees, organisational culture and many others.
Portfolio paper 3: Operational Impact Analysis
Impact Analysis is considered as a process of predicting the situations that is caused by a
disruption in the functions of business along with the process of team working in order to address
such consequences. Operational impact analysis facilitates an organisation like Vodafone
through permitting it in identifying the typical operational functions of business. This also helps
the company in collecting the information regarding the operations that is required to evolve
effective business strategies along with limiting the potential loss (Xie and Redding, 2018). Such
kind of analysis assists in ascertaining the influence of loss of a technological or operational
resource.
From above conducted SWOT Analysis, the impact of key drivers on different business
functions is described as below:
 Research and development: Advancements in technology facilitate in collaborating
through the new tools as well as channels in order to conduct cross-disciplinary
experiments. Technological progress helps in allowing for the efficient production of
more as well as effective products and services. In context to another key driver such as
competition can have a great impact on research and development function of the
business. When there is strong competition, the organisation captures fewer market share
and sets the lower price due to which it becomes less effective and profitable for it in
order to invest within the research. Human resources within Vodafone can positively
impact the business function of research and development in such a way that the quality

and effectiveness of employees defines the quality of research that is performed and is the
prerequisite for the process of development of new and innovative technologies and
knowledge. Human resources within the respective also impact the development function
in a favourable manner as it concentrates on enhancing the level of productivity through
improving the efficiency, quality, cost minimisation as well as enabling the market share
in order to focus on their key business activities.
 Human Resource Management: Technology changes the way in which the human
resource function of the business interact with its employees, storing of files as well as
analysing the performance of the employees. The implementation of technology within
the workflow of HRM frees the supervisors from a large amount of daily work. The
process of Automation within Vodafone eliminates the paperwork and enhance the
initiation of different tasks along with contributing to more efficient performance of the
HRM. Therefore, technology positively impacts the business function of human resource
management. Another key driver is competition that directly impacts the HRM business
function as greater level of competition leads to greater level of HRM quality.
CONCLUSION
From above explanation of report, it has been concluded that global business
environment facilitates in offering products or services of a company throughout the world to
their market share. Within this portfolio, SWOT Analysis has been conducted and there has been
an identification of the key drivers from the internal as well as external environments. Moreover,
there has been a description on operational impact analysis along with the influence of key
drivers on different business functions.

REFERENCES
Books and Journals
Fraedrich, J., Althawadi, O. and Bagherzadeh, R., 2018. A comparative analysis of the UN
declaration, global business compact, and religious morals in determining global values
for business and their application to Islamic marketing. Journal of Islamic Marketing.
Hamilton, L. and Webster, P., 2018. The international business environment. Oxford University
Press.
Kasemsap, K., 2018. Mastering business process management and business intelligence in global
business. In Global Business Expansion: Concepts, Methodologies, Tools, and
Applications (pp. 76-96). IGI Global.
Rizzi, P., 2018. Hybrid innovation in global business management. In Competitive Business
Management (pp. 111-124). Routledge.
Xie, E. and Redding, K. S., 2018. State-owned enterprises in the contemporary global business
scenario: Introduction. International Journal of Public Sector Management.