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HNBS 301 Business and the Business Environment Level 5 HND in Business Management Level 4


Tesco is the retail company which deals in the groceries, clothings, electricals and the hardware. The business environment of this company is good for the employees. The environment in which the business operates and behave that shapes the business activities. In the There are many types of organisations like private, public and the voluntary sectors. And the purpose of each organisation is different (Cantwell, Dunning and Lundan, 2010). And the size of the organisations are different. The Tesco is the private organisation and the size of this organisation is large. And the main motive of this company is to serve better facilities to its customers. The functions of the organisational structure is different. The business environment of this company is good and healthy. In the business environment there are internal and the external environment both are included. In this suppliers, clients, owners, legal and the government activities are involved.


Positive and negative impacts of macro environment

In the Tesco Company there is the macro environment. In the macro environment includes they economy as the whole. And the macro environment has some positive and some negative effects. The positive impact of macro environment is that by using the macro then it helps in reduces the length of the program, and it helps in time reducing that is mostly spend by the complier for calling of the functions, the execution programming speed is the main advantage of the macro. The negative impact of the macro environment is that the size of the environment is large, the macros will replace by the pre-processor through the real definition which is prior to the completion process of that programme(Chesbrough, 2010)The negative impact will affect on the business environment.

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PESTLE model support a detailed analysis of the macro environment

In this company, there is the PESTLE model. The PESTLE means political, economical, social, technological, legal and the environmental. These all are used in the macro environment.
In this, the first element is for the study of the political factors(Child and Möllering, 2013). The political factors includes on the organisation. Sometimes the political factors create the opportunities and the advantages for the organisation. In the political factors includes the code of practices, market regulations, tariffs and the restrictions. In the economical factor it involves the overall economic factors. The businesses are affected by the globally and nationally economic factors. The next is social factor, in this focuses on the forces with the friends, colleagues, family and the media(Kaplan and Norton, 2015). The social forces affect on the attitudes, opinions and the interests. After that the technological factors, in this the technology advancements are included. The technology related to the internet, conferences and the information sharing. The environmental factors are included the issues related to the resources, recycling procedures and the waste disposal. These all factors are important for the macro environment.


Internal and external analysis and identify the strengths and the weaknesses

The Tesco company, it is dealing in the grocery and the food items. The main main to to analysis and identify the macro environment and also identifies the competencies and the resources. The Tesco company is the largest and the biggest food retailers. With the help of the PESTLE analysis, it helps in identify the erratic and the vibrant environment in which the company operates. The Tesco wants to expand globally, and it encourages every other organisations to use the PESTLE forces. The political decisions da always seen by the Tesco. The economic factors are directly impact on the purchasing behaviour of the customers. The technological factors are crucial for the success of the Tesco company(Tapscott and Caston, 2013). In the environmental safety and for the climatic change the Tesco always has the key agenda. The Tesco adopts the Greener living scheme to reduce the food waste and helps in solving the issues related to the environment. The strength of the Tesco are that it is the highest and the largest retail company. Its financial position is not affected by the recession and it has show the capabilities. The weakness of this company is that the Tesco went on loss due to the delivering the cheaper products.

Strength and weaknesses of the organisation related to the macro factors

In the Tesco company, it has some strengths and the weaknesses related to the macro factors. With the help of the macro environment the Tesco has the opportunity to build the dominant position in the retail market(Lewis and Gates, 2015). The internal and the external factors helps in making the strategic planning. It is the strength of the Tesco company the with the help of the macro factors it reduces the length of the programme and from it the time limit is reduced.

SWOT or TOWS analysis

The Tesco has the SWOT means the strength, weakness, opportunities and the threats. It is important for the company through which know that h9ow the company is performing in the market. In the SWOT analysis of the Tesco, the strength of this company is that it is the largest retail company and this company offers the wide range of the products, it has the money value, it is convenience and it has the strong portfolio(Teece, 2010). The weaknesses of this company is that it deals in the less financial performance and it diminishes the employee morale. The opportunities of the Tesco company is that it can increase the non food retail range, it increase the effectiveness of marketing, it can pursuing in the international market expansion. And the threats of this company are the currency in fluctuations, inability in the new leadership. From identifying the strengths, weakness, threats and the opportunities it is easier to take the decisions related to the business.

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Macro and the Micro factors

In the Tesco company there are both the factors micro and the macro and it helps in the decision making process. In the micro factors, the company operates under the business environment. And the companies suppliers, customers and the market intermediaries are helpful in taking the decision related to the company. And under this the business can be influence by this micro environment. It affects on the business directly(Ward, . at.el.,Sum, 2012). And in the macro environment, it deals with the economy as a whole. In the macro environment the political, technological, social, economical, legal and the environment factors are included. These are the uncontrollable factors that influences on the company's decision making.


This is concluded from the above report that in the Business and Business environment there are different type and the importance of the organisation is mentioned . The one of the major company Tesco is taken into this assignment which shows the activities organisation .it includes all the three sectors like public,private and the voluntary sectors . It also explain the various scope of the organisation . All the various services and the products are linked through the organisation. It also includes the relationship between the functions and the objectives of the organisation.
The project deals with the advantages and the disadvantages of the organisational functions and the basic strategy followed by implementing the polices of the government. The most important aspect of the project contain the merit and the demerits of the organisation structure and the impact on the external environment on the organisation with the motive to increase the productivity of the company.


  • Cantwell, J., Dunning, J.H. and Lundan, S.M., 2010. An evolutionary approach to understanding international business activity: The co-evolution of MNEs and the institutional environment.Journal of International Business Studies.41(4). pp.567-586.
  • Cavalcante, S., Kesting, P. and Ulhøi, J., 2011. Business model dynamics and innovation:(re) establishing the missing linkages.Management Decision.49(8). pp.1327-1342.
  • Chesbrough, H., 2010. Business model innovation: opportunities and barriers.Long range planning.43(2). pp.354-363.
  • Child, J. and Möllering, G., 2013. Contextual confidence and active trust development in the Chinese business environment.Organization Science.14(1). pp.69-80.
  • Kaplan, R.S. and Norton, D.P., 2015.The strategy-focused organization: How balanced scorecard companies thrive in the new business environment. Harvard Business Press.
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