Business Analysis: The Pestle Analysis Of Tesco

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Pestle analysis should be taken for a business like Tesco as it is a part of the environmental scanning branch of strategic management. Because of Tesco’s UK dominance they should undertake pestle analysis because; Tesco’s are everywhere, they sell to everyone, and they sell everything. Because of the nature of Tesco on how it has marketed itself and the current economic climate Pestle analysis are crucial for the success of the business. Pestle analysis affects Tesco positively as it allows the business to run smoothly and to succeed. Political factors…show more content…
These three have helped Tesco to gain more customers as these methods are very common nowadays. Technology has a big role on a business’ success as everything is done by it. Legal factors affect the business positively as there are some rules and regulations to follow by Tesco to run a business. There are some important laws such as the health and safety act 1974, National minimum wage act 1998 and sales of goods act 1979. These laws help the business and the employees to be motivated in their workplace and it helps the business to be run smoothly. The environmental factors are very important for Tesco as they affect the business positively. Tesco’s products all come from the natural ecosystem and they also recycle waste cardboard and plastic. Tesco’s corporate social responsibility is also very important to Tesco because they want to make a positive difference even in small things. Tesco participates and works with hundreds of charities and local communities. These environmental factors have a positive affect because they make the reputation of the business very good as customers do not want to buy products and services from businesses that do not do nothing for the…show more content…
Uk’s government has a positive impact as it is stable for now but due to the Brexit this stability is not going to last long. The government after being officially out of the EU will introduce new laws which are a disadvantage for Tesco. Tax has a negative impact too as all of the profits made by Tesco will go to the government. Brexit is the biggest disadvantage for Tesco as they buy their supplies from most of the Eu countries and because they are leaving the Eu there will be no free trade anymore which will be the reason Uk will need to increase the price of their

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