LO1 Analyse the impact and influence that the macro environment has on an organisation and its business strategies

Student name:

Assessor name:

Issue date
20 September 2025

Submission date:
19 December 25

Resubmission Date:
TBA

Programme:

Pearson BTEC Level 5 Higher National Diploma in Business Management

Unit: 43 Business Strategy

Assignment number and title: Developing a Comprehensive Business Strategy for an Organisation

Student declaration

I certify that the assignment submission is entirely my own work and I fully understand the consequences of plagiarism. I understand that making a false declaration is a form of malpractice.

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Key vocabulary – terms and definitions

Ansoff Matrix

Ansoff Matrix, or otherwise known as Product-Market Expansion Grid, is a strategic planning tool, developed by Igor Ansoff, to help firms chalk out strategy for product and market growth. It is a business analysis technique that is very useful in identifying growth opportunities.

Business Model Canvass

The Business Model Canvas is a strategic management template used for developing new business models and documenting existing ones.

Cost-Benefit analysis

A cost-benefit analysis (CBA) is a process used to measure the benefits of a decision or taking action minus the costs associated with taking that action.

Environmental analysis

An environmental analysis is a strategic analysis tool to identify all of the external and internal factors that can affect a company`s performance. 

McKinsey’s 7S Model

The McKinsey 7-S Model identifies seven components of an organization that must work together for effective change management: Structure, Strategy, Staff, Style, Systems, Shared Values, and Skills

PESTLE Analysis

PESTEL Analysis is a strategic framework used to evaluate the external environment of a business by breaking down the opportunities and risksinto Political, Economic, Social, Technological, Environmental, and Legal factors

Porter’s Five Forces Model

Porter`s Five Forces is a model that identifies and analyzes five competitive forces that shape every industry and helps determine an industry`s weaknesses and strengths.

Resource Based View

The Resource Based View (RBV) of the firm starts from the concept that a firm`s performance is determined by the resources it has at its disposal.

Stakeholder analysis

Stakeholder analysis is the process of identifying, assessing, and prioritizing the people who will be affected by your business

Strategy

A clear set of plans, actions and goals that outlines how a business will compete in a particular market, or markets, with a product or number of products or services.

Strategic Positioning

Strategic positioning reflects choices a company makes about the kind of value it will create and how that value will be created differently than rivals. 

Structure-Conduct-Performance Model

The SCP model (Structure-Conduct-Performance) believes that an industry`s performance (the success of an industry in producing benefits for the consumer) depends on the conduct of its firm, which then depends on the structure (factors that determine the competitiveness of the market).

VRIO Framework

VRIO is an acronym for a four-question framework focusing on value, rarity, imitability, and organization, the criteria used to evaluate an organization’s resources and capabilities. 

Student Name /ID Number

Unit Number and Title

Unit 43 Business Strategy

Academic Year

2025/2026

Unit Assessor

Assignment Title

Developing a Comprehensive Business Strategy for an Organisation.

Issue Date

24 Sep 2025

Submission Date

19 Dec 25

IV Name  

Date

24 Sep 25

Submission Format:

1. You must upload all your work to your e-portfolio on Moodle via Turnitin.
2. On submission you will be asked to declare that the work is all your own.
3. When producing typed work, use Arial, Font size 12 and single spacing.
4. You must use the HARVARD REFERENCE System for all sources.
5. Evidence for each task must be provided in the following format:
   

Activity 1: Report

Activity 2: Strategic management plan

Scenario and Activity 1 Report

COVER PAGE

TABLE OF CONTENTS

INTRODUCTION

MAIN HEADINGS

SUB HEADINGS

CONCLUSIONS AND RECOMMENDATIONS

REFERENCES

Scenario

You are part of the strategy and innovation department at a UK-based organisation of your choice that is preparing to launch a Sustainability-Driven Transformation plan. As a Junior Strategy Consultant, your role is to evaluate how internal capabilities and external environmental factors will shape the success of this transformation. The organisation’s leadership team has identified sustainability not only as a compliance requirement but also as a long-term growth opportunity.

Your task is to produce a comprehensive report that evaluates the organisation’s readiness for sustainable transformation and provides evidence-based recommendations.

The report should critically analyse the interplay between the macro environment, the industry context, and the organisation’s internal strengths and weaknesses.

The final document will be submitted to the Sustainability Steering Committee to support strategic decision-making and planning.

Report Requirements

1. Introduction (including Mission, Vision, and Objectives)

• Provide a clear overview of the chosen organisation, including its mission, vision, and strategic objectives.
• Explain the importance of sustainability within its sector and why it is relevant to the organisation’s growth.

2. External / Macro Environment Analysis

• Apply the PESTLE framework to analyse the impact of the broader sustainability-related factors (e.g., environmental regulation, consumer behaviour shifts, technological advancements in green innovation) on your chosen organisation and its strategies
• Use Porter’s Five Forces to evaluate the competitive pressures and market dynamics that may affect the sustainability transformation.

3. Critical Analysis of Macro Environment for Strategic Decision-Making

• Critically analyse how the findings from PESTLE and Five Forces shape opportunities and risks.
• Provide insights on which external factors should be prioritised in the organisation’s sustainability strategy.

4. Internal Environment and Capabilities Assessment 

• Conduct a SWOT analysis to highlight internal strengths and weaknesses linked to sustainability (e.g., resources, leadership, culture, supply chain).
• Evaluate how internal capabilities align with external opportunities and threats.

5. Value Chain Analysis

• Apply Porter’s Value Chain to identify core and support activities that can drive sustainable value creation.
• Assess where the organisation adds value efficiently and where weaknesses or inefficiencies undermine sustainability performance.
• Interpret data and evidence to recommend which areas should be developed to support sustainable transformation.

6. Conclusions and Recommendations

• Summarise findings on the organisation’s overall readiness for sustainability transformation.

Report Guidelines

• Word count: 2,000-2,500 words (excluding references and appendices).
• Use Harvard referencing throughout.
• Support all analysis with contemporary examples (e.g., reports, industry news, case studies, government publications).
• Present findings in a professional, business-report style with clear headings and subheadings.

Deadline for activity 1 formative feedback is 7^th November 2025 on Moodle

Scenario and Activity 2 Strategic Management Plan

Building on the analysis completed in Task 1, you are now required to develop a strategic management plan for your chosen organisation. The plan should be informed by relevant models, theories, and concepts that guide effective strategic decision-making. It must focus on creating and sustaining competitive advantage within a defined market sector. Your strategy should demonstrate clear alignment between the analysis in Task 1 and the proposed actions in Task 2.

You should define strategic objectives, recommend appropriate management tools, and outline tactical actions to guide the transformation process. The report must be structured to show critical thinking, application of theory, and clear strategic direction.

All work must be supported with credible research (academic journals, industry reports, government data) and referenced using the Harvard referencing system. Failure to reference correctly may result in plagiarism concerns.

Report Structure

• Cover Page
• Table of Contents
• Introduction (including company overview and purpose of report)
• Main Body
• Conclusions & Recommendations
• References

1. In this task, first you need to determine and apply appropriate management tools to analyse a given market sector for your chosen organisation and inform strategy.
2. Then, you devise appropriate strategic objectives, based on the outcomes of your analysis above

• Identify two or more strategic management tools to inform strategy (e.g., Ansoff’s Matrix, Porter’s Five Forces, Blue Ocean Strategy, or Bowman’s Strategy Clock).
• Explain why these tools are suitable for analysing your chosen organisation.

• Develop three to four strategic directions, objectives  and tactical actions that reflect the organisation’s transformation goals.
• Ensure objectives are SMART (Specific, Measurable, Achievable, Relevant, Time-bound).
• Ensure to link each objective directly to the challenges and opportunities you have identified

Examples: “Increase digital sales by 25% within three years through e-commerce expansion” or “Reduce operational costs by 15% via process automation within two years.”

1. Justify use of an appropriate strategic management tool for a given market sector, to inform strategy and strategic objectives for your chosen organisation.
2. Apply a range of models, concepts or theories to interpret and devise strategic planning for your chosen organisation.
3. Lastly, using the strategic direction and objectives you have identified previously, you now design a strategic management plan, that has tangible and tactical strategic priorities and objectives to improve competitive edge and market position based on the outcomes.

• Select one strategic management tool (e.g., Ansoff’s Matrix).
• Justify why this tool is the most relevant to guiding the organisation’s transformation
• Compare briefly with at least one other tool, highlighting why the chosen one is better suited.

• Apply at least two different strategic frameworks (e.g. Porter’s generic strategies, Hybrid strategy, Strategic positioning and extended model of Bowman’s Strategy Clock)
• Show how these models complement each other in shaping the transformation strategy.

•  Address how the organisation will:

• Improve efficiency
• Enhance customer experience
• Strengthen competitiveness
• Present the plan in a structured format (tables, roadmaps, or Gantt charts recommended).

• Ensure the plan includes both strategic (long-term) and tactical (short-term, actionable) elements.

  Word Count

• Recommended: 2,000- 2,500 words (excluding references and appendices).

Recommended Resources

Textbooks

JOHNSON, G. et al (2019) Exploring Strategy: Text and Cases.12th Ed Harlow: Pearson. KIM, W. C. and MAUBORGNE, R. (2015) Blue Ocean Strategy. Expanded Ed.

Boston: Harvard Business Review Press.
ROTHAERMEL, F. (2018) Strategic Management. 4th Ed. Maidenhead: McGraw-Hill.

Websites

www.businessballs.com                                       Business Balls

                                                                              Strategy and innovation

                                                                              (General reference)

www.businesscasetudies.co.uk                            Business Case Studies

                                                                              Case studies
                                                                              Strategy

                                                                              (Resources)

www.corporatefinanceinstitute.com                       Corporate Finance Institute

                                                                               Resources
                                                                               Knowledge
                                                                               Strategy
                                                                               (General reference)

www.strategy-business.com                                  Strategy and Business

                                                                               Strategy
                                                                               (General reference)

Links

This unit links to the following related units:

Unit 1: Business and the Business Environment

Unit 25: Global Business Environment

Unit 27: Identifying Entrepreneurial Opportunities

Unit 44: Business Information Technology Systems

Unit 53: Planning for Growth

  Qualification

Pearson BTEC Level 5 HND in Business Management

Assessor name

Unit Number and title

Unit 43 Business Strategy

Student name

Overall Student
Grade (R, P, M, D)

Criteria Reference

To achieve the criteria the evidence must show that the student is able to:

Achieved?

(tick)

LO 1

Analyse the impact and influence that the macro environment has on an organisation and its business strategies

P1

Applying appropriate frameworks, analyse the impact and influence of the macro environment on a given organisation and its strategies.

M1

Critically analyse the macro environment to determine and inform strategic management decisions.

LO2

Assess an organisation’s internal environment and capabilities

P2

Conduct an internal environment and capabilities assessment of a given organisation using appropriate frameworks.

M2

Interpret information and data to assess strengths and weaknesses of an organisation’s internal capabilities, structure and skill set.

LO3

Apply the outcomes of an analysis, using an appropriate strategic management tool, in a given market sector

P3

Determine appropriate management tools to analyse a given market sector for an organisation and inform strategy.

P4

Devise appropriate strategic objectives, based on the outcomes of analysis for an organisation to inform strategy.

M3

Justify use of an appropriate strategic management tool for a given market sector, to inform strategy and strategic objectives for an organisation.

LO4

Develop a strategic management plan in an organisation, informed by models, theories and concepts, to achieve competitive advantage in a given market sector.

P5

Apply a range of models, concepts or theories to interpret and devise strategic planning for a given organisation.

P6

Design a strategic management plan, applying appropriate strategies to improve competitive edge and market position based on the outcomes.

M4

Produce a strategic management plan that has tangible and tactical strategic priorities and objectives.

D1

Create a set of valid strategic directions, objectives and tactical actions for successfully achieving strategic alignment, based on critical interpretation of internal and external data, and information.