Exploring Business Strategy Assignment Sample

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Introduction of Exploring Business Strategy Assignment

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Hotel Chocolat is one of the famous British Chocolatiers and cocoa growers. The organisation has more than 100 shops across the UK. In addition, Hotel Chocolat is the only one that grows chocolate on its farm. Hotel Chocolat brings revolution to the Chocolatier industry. The organisation contains a net value of £167millions, established in 1987. It is one of the most expensive hotels in the UK. This organisation is famous for selling luxury chocolates and gifts which are made from chocolates.

2. Critical analysis of the macro environment





? Inflation of monetary policy increased up to 2%

? Political stability is increased up to 73%

? The foreign trading rate is 24% and the goods importing rate is 22% (Philp, 2019)



? GDP growth rate is 3.2%

? The rate of inflation is decreased by 1.5% (Dancausa Millán et al. 2021)

? The rate of unemployment is 4.2%



? The population growth rate is 1.3%

? The inflation rate has increased up to 1.5% as compared to last year (Sorrentino, 2019)

? The cultural barrier is unable to remove.



? 45% work conducted through digitisation

? Technological awareness is increased

? Achieve 3rd rank in the global rank index



? Climate is getting more dirtied by utilizing numerous expendable materials

? Pressure from NGOs increases which affects the overall environment

? Continuously increasing temperature leads to greenhouse effects



? Discrimination possibilities are under control

? Several copyright laws have been upgraded to provide more facilities to the general people.

? Safety and health laws are revised to ensure a quality of life led by the citizens


PESTEL analysis

(Source: self-developed)

According to the PESTEL, the inflation rate is increased up to 2% and it can be increased if not handled carefully by the government, lies a negative impact on the citizen. On the other hand, the political stability has increased and it is one of the stable political views as compared with other countries, which has a positive impact on the country that the ruling party can handle any tough situation without any difficulties (Sorrentino, 2019). Apart from that, the economical development shows a positive view of the country but due to the high foreign trade rate, the imported goods price becomes high which lies a great negative impact to import and export of luxury chocolates. The UK improving their technical usages which is a positive side of that and implementation of modern technology will ease the task of logistics management. In addition, the population growth rate is 1.3% which can be considered neutral but the rate of unemployment is 4.2% moreover, existing cultural barriers can be mitigated by the government which lies a negative impact on the perspectives of socialization (Philp, 2019). Due to excess use of disposal material causes environmental pollution and excessive use of electronic items and transports vehicles generating heats and other gaseous substances which lies a negative impact on the environment, and due to this reason the logistical management of organisations getting pressure from the local NGO, which lies negative impacts on the systems.

3. Critical analysis of the micro environment

The primary necessity of SWOT analysis is to mark the strength, weaknesses, threats and opportunities of a specific company or an organisation. SWOT analysis of Hotel Chocolat Group Plc is analysed as well as discussed below.


? Strong dealer community

? High skilled workforce and professional employees

? Innovative product


? The gap in product range

? Lack of selling point

? Huge competitor


? Lower inflammation rate

? New taxation policy of UK

? New customers from online sources


? New environmental regulations

? Trends of startups

? Intense competition

SWOT analysis

(Source: Self-developed)

Hotel Chocolat Group Plc is one of the famous organisations in the Chocolatier industry of the world, holding a net worth of £167million. They have a strong as well as loyal dealer community who are effectively working on the marketing of the organisation which is one of the major strengths of Hotel Chocolat (Dancausa Millán et al. 2021). The Dealer community not only promotes their products and services but also invest funds to train their employees to generate more profits by working accordingly. Moreover, their production house professionals effectively work to generate innovative products and also show their creativity which attracts more customers to their business. In addition, they have sufficient cash flow to run any project and their stakeholders are also satisfied with their business strategies.

When it comes to weakness, Hotel Chocolat should focus on the following factors such as, they have limited distribution points. Across the UK they have only a hundred distribution points which is a great weakness of the organisation because they are unable to reach out to more customers and it also decreases the rate of profitability. Next, they are the most expensive chocolate product manufacturer in the UK, meaning they can only reach 30% of UK citizens, and the rest 70% of people continue their purchasing from another organisation. They should decrease their product prices which will help them to grow their customers. Due to the high price of their product, there are so many organisations who are effectively trying to provide a low price. Therefore they have a great competition. There are several opportunities such as compared low inflammation the organisation can provide their products at a low price as compared to past. Next is the up-gradation of taxation policy. The organisation is now able to save more tax which one the best opportunity for the organisation (Jeon, Yoo and Kim, 2020).

When it comes to threat, due to some changes of environmental regulation, the organisation can face several ethical discrimination due to excess use of disposal plates, spoon and carry bags. Nowadays, young generations are showing their enthusiasm for startups instead of looking for employment. Because of that youngsters have innovative ideas which can grow competition in the current market, which can be a great threat to the organisation.

4. Main drivers of influence

According to the strengths and the weaknesses of the company and the analysis done towards the company by the PESTLE, the community dealer that has turned out to be stronger is one of the crucial drivers for determining the future of the companies. The workforce that the company has with the skilled employees also plays a vital role of being a driver in the determination towards the future (Allen et al. 2018). The product also needs to be flawless and innovative in order to maintain the future aspects. The future opportunities are also present in order to set the framework of the organisation. The inflammation rate also gets lowered which somehow turns out to be helpful for the organisation in their coming future. The different taxation policies that are present in the parts of the United Kingdom also play a vital role in the aspect of opportunity for the company hotel Chocolat. One of the most important opportunities that can be seen to develop is to get the customers on the sources that are present on online format. This will further help in maintaining the overall competition in order to set up the startups in an appropriate manner. All these help in setting up the future endeavours of the company (Evans et al. 2021). The regulations can also be maintained due to this and will be quite helpful for the future of the company. The exposure of the materials that are disposable often helps in maintaining the pollution in an environment. The rate of the gdp also turns out to be appropriate which leads to the future opportunities. The process of digitisation helps in maintaining the work pressure and also creates a sense of awareness (Barrow et al. 2018). The laws of copyrights play a crucial role in this for maintaining the growth of the Company in future.

5. Recommendation

Depending upon the basic strengths and the weaknesses of the company hotel Chocolat, the community of the deer helps in maintaining the strength which is highly recommended for the future of the company. The innovation of the new technologies are also recommended in order to set a stand line for the professionals that are working in the area. Apart from that, it is also recommended that the inflation rate needs to be maintained so that the customers are able to reach and consume the product. When all these are followed in an appropriate manner the employment statistically gets improved removing all the cultural barriers that are present in the organisation. The taxation policies should also be stabilised in order to maintain productivity in part of the UK. All these procedures are recommended for the company in order to set their foot grounded in the United kingdom market. This will even help them lead in the competition against any other relevant business.

6. Conclusion

It can be concluded as Hotel Chocolat is one of the famous British Chocolatiers and cocoa growers. In this assignment the macro and micro environment is analysed. Strength, weakness, threat and opportunities have been discussed in the respect of the organisation. The future opportunities are also present in order to set the framework of the organisation. There are also some recommendations such as, innovation of new technologies brings innovation to market and so more. Moreover, it is the most expensive Chocolatier organisation in the UK.



Barrow, C., Barrow, P. and Brown, R., 2018. The Business Plan Workbook: A Step-By-Step Guide to Creating and Developing a Successful Business. Kogan Page Publishers.


 Allen, J., Piecyk, M. and Piotrowska, M., 2018. An analysis of the same-day delivery market and operations in the UK. Technical Report CUED/C-SRF/TR012. Centre for Sustainable Road Freight. http://www. freighttrafficcontrol2050. com/reports/ftc2050-2018-Sameday_delivery_market_UK. Pdf.

Sorrentino, R., 2019. Corporate governance analysis and financial valuation of the food industry in Europe, Australia and Japan.

Jeon, H.M., Yoo, S.R. and Kim, S.H., 2020. The relationships among experience, delight, and recollection for revisit intention in chocolate exposition. Sustainability, 12(20), p.8644.

Armstrong, S., Mclaughlin, C., Moustafa, M. and Elamer, A.A., 2021. Audit committee diversity and corporate scandals: Evidence from the UK. International Journal of Accounting and Information Management.

Online articles

Philp, S., Dolega, L., Singleton, A. and Green, M., 2021. Archetypes of Footfall Context: Quantifying Temporal Variations in Retail Footfall in relation to Micro-Location Characteristics. Applied Spatial Analysis and Policy, pp.1-27, Available at https://link.springer.com/article/10.1007/s12061-021-09396-1[Accessed on 7th march]

Dancausa Millán, M.G., Millán Vázquez de la Torre, M.G. and Hernández Rojas, R., 2021. Analysis of the demand for gastronomic tourism in Andalusia (Spain). PloS one, 16(2), p.e0246377.Available at, https://journals.plos.org/plosone/article?id=10.1371/journal.pone.0246377[Accessed on 7th march]

Evans, L., Owda, M., Crockett, K. and Vilas, A.F., 2021. Credibility assessment of financial stock tweets. Expert Systems with Applications, 168, p.114351Available at,.https://www.sciencedirect.com/science/article/pii/S0957417420310356 [Accessed on 7th march]


Hotelchocolat.com, 2022. Hotel Chocolat. Available at: https://www.hotelchocolat.com/uk [Accessed on 7th march]

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