The PESTEL analysis is a tool devised by Harvard professor Francis Aguilar to conduct a thorough external analysis of the business environment of any industry for which data is available. Political The political environment influences the way IBM operates. Some of the main reasons for this decline can be attributed to the increased product substitutes to the PC, Such as the increasing usage of smartphones, tablets, wearable products etc. IBM is committed to environmental leadership in all of its business activities, from its operations to the design of its products and use of its technology. Weaknesses in the SWOT Analysis of IBM : Brand Value drop: IBM suffered a massive decline in its brand value in 2016 over 2015. The second part will discuss about the advantages and disadvantages of the two possible alternative strategies for IBM. IBM segments its business into 4 divisions: Hardware, Software, Services and Financing. The global Test-Environment-as-a-Service Market Size, Status and Forecast 2020-2025 is latest research study added by Big Market Research evaluating the market, highlighting opportunities, risk side analysis, and leveraged with strategic and tactical decision-making support. ARMONK, N.Y., Dec. 21, 2020 /PRNewswire/ -- IBM (NYSE: IBM) today announced an agreement to acquire Nordcloud, a European leader in cloud implementation, application transformation and … This shows a decline of $3.642 billion. Previously, it had a brand value of $35.428 billion. Problem Analysis There was a drastic change in the external environment. IBM strategy PESTEL analysis in Macro level Five forces analysis in Micro level Recommendation Conclusion SOWT analysis Complexity analysis 4. Diversified business. External environment analysis is an important part of strategic management. External Analysis for Strategic Management What Is External Analysis? IBM 2. 6 1 External Environment Analysis According to Gartner (2016) the worldwide PC shipments declined by 8.3% in the fourth quarter of 2015. It is an external environment analysis for conducting a strategic analysis or carrying out market research. Litigations: IBM has been continually involved in litigations and disputes from time to time. Case Analysis Ibm ...IBM Case Analysis Assignment Problem Statement IBM PC is not able to sustain sales and profit in the competitive PC market. Let’s switch gears and talk about external, or environmental, analysis. According to Interbrand, IBM brand was value at $75.5 billion in 2012 and was the 3rd most valuable brand in the world. Analyze IBM strategies, to remix their businesses in order to move to the emerging higher-value spaces, in Macro and Micro environment level 3. PESTEL Analysis. The external environment factors can be identified by six categories such as Political, environmental, social and technology, Economical, Legal and environmental (Marmol et.al, 2015). PESTEL analysis includes Political, Economic, Social, Technological, Environmental and Legal analysis. Brand reputation significantly influences consumers’ decision to buy the product and IBM clearly benefits from that. Unlike internal analysis, external analysis is less about the organization itself, and more about its business environment (including its competitors). External environment factors can be analysis by PESTLE analysis.