Business Environment Analysis: PESTLE and SWOT of Watsons

This report provides a comprehensive analysis of Watsons, a Hong Kong-based healthcare and beauty care company, examining its business environment through PESTLE and SWOT analyses. The PESTLE analysis explores the political, economic, sociocultural, technological, legal, and ecological factors influencing Watsons' operations, while the SWOT analysis identifies its internal strengths and weaknesses, as well as external opportunities and threats. The report highlights Watsons' strengths in its online platform and innovative business ideas, and identifies weaknesses such as higher delivery charges. Opportunities include leveraging new technologies, while threats include increasing competition. The conclusion emphasizes the importance of these analytical tools for strategic decision-making in the face of both favorable and unfavorable factors within the business environment. The report references relevant sources to support its findings.

( S T U D E N T D E TA I L S )
Business and Business
Environment

Introduction
 Watsons is a Hong Kong based
leading company.
 Operates business in healthcare
and beauty care products.
 Sell products through online
platform and physical stores in
China and Hong Kong (Anon., n.d.).

PESTLE Analysis
PESTLE Analysis is a tool to analyze the condition of Company.
PESTLE analysis involve:
 Political factors
 Government laws and regulations
 Taxation policies
 Economic factors
 Inflation rate
 Economic growth rate
 Sociocultural factors
 Lifestyle and career attitudes
 Customer loyalty

PESTLE Analysis
Technological factors
 Innovation level
 Research and development activity
Legal factors
 Employment law
 Consumer law
Eco-environmental factors
 Climate change
 Change in weather (Perera, 2017).

SWOT Analysis
SWOT Analysis includes Internal and External
factors.
internal factors
 Strength
 Innovative ideas of business
 Fast delivery of products
 Weakness
 Higher delivery charges
 Limited delivery locations

SWOT Analysis
External factors
 Opportunity
 Loyal consumers
 New technologies
 Threat
 Any new competitor
 Economic condition(Quincy, Lu, & Huang, 2012).

Conclusion
PESTLE analysis and SWOT analysis are business
tools.
Some factors are good for Watsons whereas some
factors are not good.
Watsons has strength of online platform to develop
the business and weakness of higher delivery prices.
New technology is a opportunity whereas increasing
competition is a threat for Watsons.

References
Anon., n.d. Who we are. [Online]
Available at:
https://www.watsons.com.my/who_we_are
Perera, R., 2017. The PESTLE Analysis. South
Asian Paradise: Nerdynaut.
Quincy, R., Lu, S. & Huang, C.-C., 2012. SWOT
Analysis: Raising Capacity of Your
Organization. New Jersey: Rutgers.