Impacts Upon Skinclads Business in the Next Five Years Essay -- Busin

Impacts Upon Skinclads Business in the Next Five YearsIn order to analyse the operating environment of Skinclad, an audit ofthe performance of the geological formation was executed. This took the formof an environmental look which assessed the internal and externalenvironment of the company. The findings of this scan will provide anunderstanding and appreciation of the many factors impacting directlyor indirectly upon the companys operations. The report explores themacro and micro environmental factors which are likely to impact uponSkinclads business over the bordering five years, reviews the internalfactors, existing marketing mix and highlights possible problemsareas. The mug up abridgment lists the main strength of the business, itsweakness and likely threats and opportunities the company may face inthe future. Finally, the report identifies recommendations andpossible options for improving production and the monetary viabilityof Skinclad.MACRO ENVIRONMENTAL FACTORSPEST A NALYSIS A1A PEST analysis is an environmental scan of the macro economic factorsimpacting on the operations of an organisation. It analyses the avocation factors and its relation to the UK stuff industry* Political* Economical* Social* technologicalThe relevance of this analysis is significant in gauging world trendsand its consequent social function in influencing social, cultural,technological, demographical and economical factors. The analysis nones with interest the current state of the UK Textile industry whichhas experienced a slump since the late 1990 (Figure 1). The figureshows that sum up output had declined significantly over the period andproduction has collapsed by 30%. This may be attributed to the effectof globalisation and a shift to trade clothing from cheaper Asianmarkets such as Philippines, Indonesia and Bangladesh. Many localmanufacturers were bear upon by this move. A case in point was Marksand Spencer who were commit to local producers until the early 20 00when they were forced to source garments from cheaper suppliersoutside of the UK to compete with the influx of European retailers.The establishment of the European Union and institution of the Eurodollar has hike up exacerbated the situation for local producers as astrong UK currency () has do exports more costly to other regionsin the Eur... ...shionShared Values This is not applicable to the caseSustainable Competitive Advantage Has been in humankind for over twenty two year Developed an establish interlocking that includes, suppliers, retailers addition 4==========8 PsProduct* Jackets and untrimmed coats in twenty different stylesPlace* Old dilapidated building in the old textile industry main district footing* Basic assumption that product is high priced since product is high borePromotion=========* This information was not provided in the case. However, the need for promotion may be limited as there is a direct attach to a retailer who purchase the majority of the product emolument* Profit has been eroded over the years with a net value of 1 on certain productPhysical* Old rented premises in what used to be the hub of the UK textile industryProcess* This information was not available from the casePeople- Not accessible from caseAppendix 5----------Ansoff Matrixexisting productsnew productsExistingMarketsMarket acumenProduct DevelopmentNewMarketsMarket DevelopmentDiversification