External and Internal Environmental Analysis

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External and Internal Environmental Analysis STR/581- Strategic Planning and Implementation February 25, 2014 External and Internal Environmental Analysis The Home Depot is one of the largest organizations within the home-improvement retail industry consisting of several different business segments. These segments include home-improvement related products and services as well as equipment rentals. The Home Depot has over 2000 stores operating in the U.S. as well as other countries throughout the world. The Home Depot’s mission statement states "To provide the highest level of service, the broadest selection of products, and the most competitive prices" (The Home Depot, 2014). Nevertheless, The Home Depot is more concerned with their eight corporate values as these guide the actions of leadership in addition to their employees. This outline will provide factors and details related to an external and internal analysis needed to complete the strategic plan. External environmental factors A PESTEL analysis encompasses external factors like Political, Economic, Social, Technological, Environmental, and Legal environments. This type of analysis can assist The Home Depot with decision-making in regards to external variables. Below is a quick PESTEL analysis: Political They effectively take part in the political activities for the best interest of the company and its customer for the policies that can affect their business activities. The decisions and policies of the government at state and federal level can have a great impact on the profitability of the company. This political portion of the analysis helps gather legal requirements needed for making political contributions. The Home Depot encourages employees to participate in the political process; however, they do not permit employees to use company resources for personal political matters. The
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