Pearson Education Company and Its External Factors Essay

Pearson Education Company and Its External Factors - Essay Example Like any other organization, Pearson Education does not exist in a vacuum but operates in an environment that is characterized by stiff competition from other rival competitors like McGraw-Hill, Reed Elserivier, and Thomson among others. In this context, STEEPLE analysis mainly takes into consideration the environmental factors that may impact on the operations of business. According to information obtained online, there are mainly seven factors that affect the operations of business and these are social, technological, economic, environmental, political, legal and ethical. (See appendix 1). It is very important for any business to diagnose the external environment in which it is operating in order to gain a competitive advantage over the other competitors. An organization ought to strategically streamline its operations so as to be able to remain viable and profitable while at the same time ensuring that its operations conform to the expectations of the customers. Whilst there are v arious external factors, technological as well as economic factors form the basis of this study as going to be analyzed in detail. On the other hand, a SWOT analysis defines the relationship between the internal and external environmental factors in the appraisals in strategic analysis of the operations of a business (Robinson 1997). Basically, SWOT stands for strengths, weaknesses which represent the internal environment of the firm while opportunities and threats are external environmental factors. It is primarily concerned with analyzing the key factors of the environment and the fundamental internal strengths and weaknesses of the organization which will help dictate the strategies appropriate to the firm. The internal factors include the operations of the employees at Pearson Education while the external factors are mainly concerned with technological developments as well as competition from the other rival players.