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    Internal Business Environment Analysis for Next Plc

    University: Bloomsbury institute london

    • Unit No: 1
    • Level: Undergraduate/College
    • Pages: 8 / Words 2091
    • Paper Type: Essay
    • Course Code: LSBM103
    • Downloads: 367
    Question :

    Part B: Essay

    Write an essay on the topic “Reflective analysis of the internal business environment”. Also, cover the following task:

    • Discuss the Value Chain Model by Porter (1985).
    • Select and describe a business connected t you which operates in the UK.
    • Apply Value Chain model to analyse the internal environment of your chosen business. Also, examine the relevant primary and supporting activities for the chosen business.
    • Identify the importance of the Value Chain Model in helping you understand the internal business environment of Next PLC company.


    1. Cover page
    2. Introduction (100 words)
    3. Value Chain Model (address Task 1, approx. 400 words)
    4. Company (Task 2, the headings should involve name of the company, approx. 300 words)
    5. Internal environment (In response to Task 3, approx. 600 words)
    6. Reflection on Value Chain Model (Task 4, approx. 500 words)
    7. Conclusion (approx. 100 words)
    8. References

    Additional points to be remembered:

    1. Follow the structure and use headings and sub headings.
    2. Use material sources and information.
    3. Use Harvard referencing style.
    4. Use bullet points, graphs, charts in the essay.
    Answer :


    Business environment can be describe as a collection of macro and micro factor that has impact over organisation as well as its decision making (Babu, 2012). There are various factors of business environment such as clients, customers, suppliers, technology and so on. Value chain analysis refer as a process through which primary and support activities for adding value to final product. Company chosen for this report is Next Plc. This company is offering good quality fashionable products such as cloths, accessories, footwear and so on. Next Plc company was established in 1864 and founder of this organisation is Joseph Hepworth. This report includes evaluation value chain model. It consist analysis of internal environment in order to analyse primary and supportive activities of organisation.


    Value chain analysis mode

    This model is introduced by Michael Porter and the motive of developing this model is to analyse and evaluation different business activities. Porter's Value chain analysis model completely focus on organisational activities as well as systems with service users. This model is very helpful in analysing those activities of respective organisation that help in creating value as well as competitive advantage (Belás and et. al., 2015). Value chain model of Next PLC company will help to analyse its primary and supportive activates that will lead to attaining good edge over further competitive organisation. This model will ultimately adding value as well as increasing the profits of company. Value chain model will help in enhancing sales and profits of organisation by improving its business activities.

    This model includes primary as well as supporting activities which is helpful in meeting with desired goals and objectives of organisation. Both of these activities are further divided into several activities that will have straight and unintended impact over business. It is important for Next Plc company to take business decision by considering the impact of these activities on organisation. Porters has classified value chain analyse model into two different activities such as supporting activities as well as main activities. In primary activities of this model there are five different activities. This includes inbound logistics, production, outbound logistics, marketing and sales and services. Where as in supporting activities, infrastructure of firm, HRM, technology development as well as procurements. All of these activities are considered as an essential part organisation. Primary activities of this model will lead to have immediate impact over production of goods. Maintenance, sales as well as provide support to products and services which are offered by respective company. Supporting activities is important for business as it assist primary activities of Next Plc company. Support of these activities will aid in leading primary activities in appropriate way (Craig and Campbell, 2012). Both primary and secondary activities will lead to improve performance as well as production of respective company. The advantage of value chain model is that it is flexible in nature and help management of respective company to adopt changes in business environment. There are some drawback of this models it that it has very less or limited experts. This model will not help in enhancing the information system of respective company.

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    Company overview

    Next Plc company is one of the leading organisation that is rendering its goods as well as services to several part of the world. This is British multinational company which is dealing in retail sector. Next Plc company is designing and developing high quality products such as cloths, shoes, heels and other footwear as well as different types of fashionable accessors. This company is offering products for women, men as well as children. This is UK based company and its headquarter is located in Enderby, Leicestershire, England, United Kingdom. This company was developed in 1864 and founder of Next Plc company is J Hepworth and Son (Next Plc, 2020). It has open first Next Plc store for women products on 12 February of 1982. Next Plc company has 546 store all around the world till 2015. This organisation is developing its products and services by considering market trends as well as needs and requirements of service users. Objective and business strategies of Next Plc company includes improvement in products ranges as well as sales of organisation (About Next Plc, 2020). This company is focusing on enhancing experience as well as satisfaction of customer. This organisation is increasing the number of profits though online sales.

    Mission of Next Plc

    The mission statement of Next Plc company includes that it want to become the natural choice of the retailer. This company want to expand its business in function in different parts of the globe as well as improving customer experience.

    Vision of Next Plc

    Next Plc company vision is to help its employees in order to improve their performance as this will help in achieving excellence in business. This company want to continuously increase it business operation in order to set standards for fashion industry.

    Internal environment analysis with Value chain model

    There are several factors of internal business environment that have influence over corporate practices and its performance. This is very essential for firm to evaluate and examine all of these factors to accomplish activities of firm in appropriate way. Porter's value chain model is developed in 1985 and the motive of developing this model in to provide guidelines to organisation as well as manage its activities in correct manner.

    This model will help Next Plc company to focus on organisation system as well as activities in order to meet with the needs to clients and customers (Glova, Sabol and Vajda, 2014). Porter's has classified value chain model into two parts which is primary and supportive actives. All of these activities are mention in below in respect to Next Plc company.

    Primary activities of value chain model

    This includes various activities which play an essential role in providing products and services to customers. These activities will lead to have direct impact on performance as well as productivity of org

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