PEST Analysis of Aviva PLC Essay Example | Topics and Well Written Essays - 2000 words

PEST Analysis of Aviva PLC - Essay ExampleAviva Plc is the sixth largest damages group in the entire public. It has a huge client base of 44.5 million, and provides its clients with insurance products and various savings and investment schemes. The major part of the firms task comes from Europe where it is one of the pioneering carriage and general insurance companies. Aviva has developed an elaborate distribution network in the European market to serve over 18 million customers in the continent. The European Union is the worlds largest market for sustenance insurance and pension products and Aviva Plc has harnessed this opportunity to gain a strong foothold over there. The comp whatever also happens to be the largest insurance supplier in the United Kingdom (Aviva, 2011). Aviva specializes in providing life insurance, general insurance and various pension schemes to its customers. In Europe, it is a leading provider of various life insurance, general insurance and health insur ance products. In recent years, the company has rationalized its product offerings in this market and is attempting to merge all its business in the continent under a single head. In 2010, Aviva has identified significant opportunities in the European pension market. The 27 European Union countries including Russian and Turkey had an annual gap between pension and savings of about 2.4 trillion. ... Customers can purchase these products either directly from Aviva, from any of its corporate partners or from any of its intermediary firms. In 2010, Avivas life insurance and general insurance business reported a strong performance in the UK market. The sales of its life insurance products increased by 19 per cent from the previous year to ?11,846 million. This resulted in a record level of operating profits of about ? 850 million, which was 26 per cent higher than the corresponding 2009 figures. In the general insurance business, Aviva UK witnessed an increase in its sales during each s ucceeding quarter of 2010. The profits in this area reported an annual increase of 8 per cent to 579 million. Aviva UK, also merged many of its life insurance and general insurance schemes together to provide the customers with advanced(a) products during the year 2010. (Business Summary, 2011) The main share of revenues of Aviva plc is derived from its life and general insurance business and its asset management services. The European Union especially UK comprises the worlds largest markets for life insurance and pension services. Aviva has harnessed this opportunity to emerge as the largest insurance company in UK and the second largest provider in Europe. The company has devised its insurance schemes in such a way so as to simultaneously cater to the interests of the customers and the firm itself. In 2010, UKs insurance intermediary organizations voted Aviva as the regions leading provider of life, general and health insurance policies. The firm has also directed its efforts i n expanding its main business activities in the North American countries regular army and Canada. The firm has tried to leverage the advantages of