Environmental analysis case study Essay Example | Topics and Well Written Essays - 2250 words

Environmental analysis case study - Essay simulationIt starts by outlining a brief historical background of the organisation in question for the sake of easier catch then followed by an analysis of the above mentioned tools for see the environment in which the organisation operates. Environmental s chamberpotning plays a pivotal role in helping the marketing managers of an organisation to be better positioned to hit the sack the situation obtaining on the ground for them to be able to gain a competitive advantage curiously in view of the competition that exists. Background According to Datamonnitor (2004) Tesco PLCTesco is the largest food retailer in UK, operating around 2,318 stores worldwide. It operates around operates around 1,878 stores throughout the UK, and also operates stores in the rest of Europe and Asia. Tesco.com is a wholly-owned subsidiary religious offering a complete online service, including tescodirect.com and tesco.net. The company also offers a range of b oth online and offline personal finance services. Tesco is headquartered in Hertfordshire, UK. Against this background, this essay seeks to outline the organisations PESTEL analysis, Porters five forces model as rise as the value chain. Kotler (1999) posits to the effect that PESTEL analysis is a powerful tool in determining as well as understanding the market forces that see the growth of business. In early(a) words, it determines the direction for operations in any assumption business. PESTEL analysis for Tesco PESTEL stands for factors which may affect the operations of business such as political, economic, social, technological, environmental as well as legal factors (Lancaster & Reynolds 1999). This is a very useful tool in analysing the environment in which an organisation operates. It can be note that there be various factors that affect the operations of any given organisation and these have to be taken into consideration by the aged management so as to achieve a comp etitive advantage by the organisation. Any given organisation is guided by certain factors that so as to ensure that it does not violate the necessitate and interests of the consumers as well as the other stakeholders. Political In UK and Europe at large, there are policies that govern the operations of all retail stores. There are laws that govern monopolies as well as competition and these are some of the main political factors that affect the operations of Tesco. It can be noted that Tescos success is owed to the observation of these policies where protection of the consumer interests is take as a virtue. Consumer law in UK is potent and under the EU law, every big organisation like Tesco is expected to protect the needs and interests of the customers. endless scanning of the political environment greatly helps Tesco to gain a competitive advantage over other rival competitors. On the other hand, it can be noted that the current political environment common in the EU is not e xploitative which is seen as the reason why Tesco is able to keep tempo with the demands of the market. The government in the UK determines the value of the currency as well as the exchange rates and it can be noted that the success of Tesco is greatly owed to compliance with these rules and regulations promulgated by the government. The Competition Commission for pattern suggests that a supermarket should not account for more than 25% of the national market and these are som