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BSBMGT616A Develop Environmental Analysis Assignment
MacVille is a high standard espresso coffee machine making company hence they need to obey the laws with consistency. Many different markets throughout the planet have their own set of rules and regulations. The political scenario is of high importance.
Any kind of a civil unrest can take place in case there is a sudden hike in the price of the maintenance of the machine. MacVille needs to stay in line with all the policies and regulations cross borders. An additional benefit is seen with Government’s free trade policy when all the tariffs on imported goods will be removed(Oldroyd, 2004). Imposing of carbon tax is a strong possibility that may have a political effect on the country.
The additional benefit with Government’s free trade policy when all the tariffs on imported goods will be removed the economy of the state will also be stable as the taxes would reduce making it easier for the public to use the machines more often. Since the resources are booming today there is a possibility of strengthening of Australian dollars.
S – Social
The new espresso machines are more environments friendly. They use 30% less energy which proves to be good for the society too. The growth in population is the key to the rising demands. The predicted growth of population from 2010 to 2050 is around 22 million to 36 million in Australia Marketing environment. The number of home consumers is also increasing with it. The lifestyle of people is changing and there is a growing trend of eating out.
T – Technological
As already discussed the new machines are developed with a special functionality to use 30% less energy to run. Technological leap is going to make a vast difference as it is going to reduce the energy consumption as well as make it environment friendly. The home markets are experiencing a definite high growth.
S – Strength
Marketing and sales are the strong points for MacVille. The marketing done with the promotions were well done and well accepted by the people. Especially the social marketing done was enormously helpful as it reduced cost and reached out to the world fast and easily.
The after sales service is a strong point for MacVille. The services provided were top notch. Starting from complaint lodging to installations all were taken care of.MacVille’s procurement policy has also helped. Putting the customer’s requirements as the top priority and giving them 24 / 7 call service has made MacVille stronger.
W – Weakness
The main and the biggest weakness is the logistics. The vehicles are not always on time and are not appropriate. This makes the delivery service weak. The delay results in a quality drop.
There is a problem with the team of people handling the import and the back end is that they are not always experienced. The lack of experience results in lack of quality work.
O – Opportunities
As already discussed, social marketing is a strong point. Internet plays a vital role too. Handling the data through internet is easy, ordering and receiving delivery requests are all done via internet. MacVille is stepping into the new Sydney market where most of the inactive competitors have withdrawn their service(Kocovic, 2011). This makes MacVille easier to grow the business. With the increase in population the demands are rising. Home based machines are also introduced in the market.
T – Threats
The rising Australian dollar may have a negative consequence too. The tourists who are the primary espresso users may not be opting for it so much like before. The interest rising rates may also diminish the disposable income.
Nufic.inc is a global corporation which has pulled up the socks to enter espresso machines and beans market. This is a potential threat as it may cause to be a strong competitor for MacVille. Bean Ex coffee is also ready for the espresso markets making it difficult for MacVille to rule.
Existing or potential competitor
- Nufix Inc: Nufix is a global corporation. It has a brand name and a face of its own already in the field of instant coffee long before it was introduced to the espresso and bean machine market. Their resources and services may bring potential threats to the business of MacVille. Nufix may have a difficulty in being adaptable in the niche market(Kocovic, 2011).
- Bean Ex.: Bean Ex had been a large coffee bean supplier and now has planned to step into the market of espresso and bean machine. Being already a bean trader they a firm hold in the market already. They could be setting espresso machine is wholesale.
Existing or potential allies
Home espresso trades:
- Business: It is a home based espresso machine seller in Sydney.
- Joint Venture: Every year for trade shows ate shared by them.
- Strength: Offers a full range of espresso machine to all the clients.
- Weakness: Works with partners not focused in service or hospitality industry.
- Risk: Partner is not putting up to the commitment financially. Being partners with a non hospitality business can have a total negative effect. The partner has an access to MacVille’s secrets of trading with the machines.
- Business: It is an Arabica coffee beans seller in Australia.
- Joint Venture: Penniless provision to the clients in using the machines.
- Strength: Top notch hospitality role play in the market.
- Weakness: Very strong alliance of this sort may not be considered by other coffee bean suppliers to do business with MacVille.
- Risk: Concerned with the outstanding money.
Ambroisa Coffee Roast:
- Business: Seller of all grades of coffee beans in Australia.
- Joint Venture: Outdoor advertising of cafes and restaurants with umbrella and barriers.
- Strength: Totally committed to coffee bean industry.
- Weakness: Has a quantitative approach in business and not a qualitative one..
- Risk: Not a well-developed brand for joint venture. The commitment has to be for a long period.
The above discussion throws light on the various environmental factors impacting the performance of the organization.
- Kocovic, M. (2011). Impact of macroeconomic environment on the cultural market. Marketing, 42(4), pp.276-287.
- Marketing environment. (2002). Cookham: CIM Pub.
- Oldroyd, M. (2004). Marketing environment. Oxford: Elsevier.
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