Impacts of Macro and Micro Factors on Admiral Sportswear: A SWOT and PESTLE Analysis

Unit Number and Title	Unit 1: Business and the Business Environment
Unit code	H/650/2917
Unit type	Core
Unit Level	4
Credit value	15
TQT	150
Assignment title	Assignment Title Part 2: Environmental Business Audit Presentation
Academic Year	2024
Unit Tutor	Asma Farooq, Anjali Rajeev, Javed, Dr. Sajid Kazmi, Suklatithi, Tanishq Misra, Arun Bhaskaran
Issue Date	2nd September 2024
Submission date	13th October 2024: Submission for Part B (LO3 and LO4 in PowerPoint format) upload via the Turnitin link. Presentation Delivery will commence from 14th October 2024 onwards.

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Introduction

The sports industry might be influenced through internal or external business environmental factors to grab a wider range of market opportunities. In the presentation, both the external and internal factors of Admiral Sportswear will be directed by using the Pestle and SWOT frameworks respectively. In addition, the potential relationship between macro and micro environment will be discussed to align with applied examples and deduce better findings.

Company background

The company serves about 50 employees in the workplace to provide sufficient resources and bring quality methods. Lastly, it has earned an overall revenue stream of $4 Million as of 2023 (Rocket Reach, 2024).

Positive and negative impacts of the macro environment has upon business operations.

Analysis:

It can be depicted that high political stability would help Admiral Sportswear to run its processes globally and bring quality approaches to reach competitive growth. However, the overall corruption index score was reduced in recent years which might lead to unethical practices in the workplace. In addition, the average unemployment rate in the country has been increasing which might influence the internal business function of Admiral Sportswear to hire skilled labourers and train them properly. Apart from these, it requires investment from external capital through bank credits and crowdfunding to support local societies. Therefore, Admiral Sportswear selects Google Cloud in order to fast-track its customer involvement and improve operational efficiencies (PR Newswire, 2024).

Traffic Light

Analysis:

It can be specified that certain popular sportswear brands including Nike, Puma and Adidas attained an overall brand awareness among customers of about 95% and 93% in the UK as of 2023 (Statista, 2024). This might be challenging for Admiral Sportswear to stand against its rivalries and meet high business standards.

Internal and external analyses of specific organisations

Analysis:

It can be depicted that Admiral Sportswear is currently operating in 45 countries to enhance its operational growth and compete with external threats. However, it might face challenges due to the increasing cost of living and high competitiveness to survive in the ongoing scenarios.

Competitor SWOT analysis

Analysis:

Adidas has recently expanded its product collection to introduce a variety of products and grab customer’s attention to generate better outcomes. However, past workers at Adidas said they had bad experiences while working due to low payroll systems and poor work-life balance (Indeed, 2024).

Conduct internal and external analysis.

TOWS Matrix

Analysis:

It can be analysed that Admiral Sportswear provides quality approaches and services with higher efficiency rates which would help the business to enter a new market segment for profit maximisation. However, high competition levels and the rising cost of living could affect its managerial functions to support local communities (Harari et al., 2022).

How strengths and weaknesses interrelate with external macro factors

The organisation provides top-notch products and services which would help to expand its operations globally and create an online presence in the sportswear industry. Contrastingly, the higher cost of living crisis in the country has made the country more which could influence the internal functions of Admiral Sportswear to deal with financial constraints (Beckett, 2024). Apart from these, the company could gain competitive advantages through capital investment and innovation strategy in order to generate domination in the existing marketplace. Lastly, Admiral Sportswear should take essential actions against offenders to maintain transparency in the workplace.

Critically evaluate the impacts that both macro and micro factors have.

Nevertheless, the outbreak of Covid-19 session might have an adverse impact on the financial development of the country that fails to meet market pressures (Beckett, 2024). Thus, Admiral Sportswear should raise money and can recruit skilled labour forces to mark its business objectives and define competitive growth. Apart from these, the organisation can enter new marketplaces and appreciate the basic needs of workers through innovation to adapt to the ongoing scenarios.

Conclusion

Both positive and negative impressions of the macro and micro business environment were highlighted critically to deal with the economic downstream and expand its operations globally. Lastly, a TOWS framework was conducted to assess the potential impact of macro factors on internal commercial operations to generate better outcomes.

Reference list

Beckett, A. (2024) The cost of living crisis has made the UK a poorer, more anxious nation – and worse is yet to come [Online]. Available at https://www.theguardian.com/commentisfree/2024/apr/26/cost-of-living-crisis-uk-prices (Accessed 18th September 2024).

Harari, D., Francis-Devine, B., Bolton, P. and Keep, M. (2022) Rising cost of living in the UK. House of Commons Library, 20.

Indeed (2024) adidas Employee Reviews [Online]. Available at https://uk.indeed.com/cmp/Adidas/reviews (Accessed 18th September 2024).

PR Newswire (2024) Admiral Selects Google Cloud to Accelerate Innovative Customer Experiences [Online]. Available at https://www.prnewswire.com/news-releases/admiral-selects-google-cloud-to-accelerate-innovative-customer-experiences-302061528.html (Accessed 18th September 2024).

Rocket Reach (2024) Admiral Sportswear Management [Online]. Available at https://rocketreach.co/admiral-sportswear-management_b58b6668f61ff380 (Accessed 18th September 2024).

Statista (2024) Most well-known sportswear brands in the UK 2023 [Online]. Available at https://www.statista.com/statistics/1343547/most-well-known-sportswear-brands-in-the-uk/ (Accessed 18th September 2024).