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Situational Analysis on Soccer Scene

Category: Business & Management Paper Type: Report Writing Reference: HARVARD Words: 1600

Soccer Scene is a shop in which anyone can purchase the gears like, balls, boots, gloves, shin guard, practice net etc. Adding more people can also be able to buy replica jersey, coffee mugs, club banners etc. The business depends on the sale of souvenirs and gear in which, 30% are souvenirs whereas 70 % are gears. Les Hunter is the founder of this store, which is launched 20 years ago. The business is going successful due to the different games played in the New Zealand as this store is also situated in the New Zealand. Both of the techniques are used in order to sell the products and these technique are online selling and on store selling.

SWOT Analysis of SOCCER SCENE

Weakness

·         No marketing other than “Words of Mouth”

·         Online/offshore sale with high taxes

·         Compliance issues

 

Weakness

·         No marketing other than “Words of Mouth”

·         Online/offshore sale with high taxes

·         Compliance issues

 

Threats

New Entrants

Changing market demand and trend

Variety of products

 

Threats

New Entrants

Changing market demand and trend

Variety of products

 

PESTAL Analysis of SOCCER SCENE

Political

 

Country’s political stability makes situation more suitable for the business therefore, political factors has positive impact

Economical

As compare to the past few years the economy of the country has somehow decreased from annual economic growth from 3.5% in 2015 to 2.9% in 2017. However, still the economy of the country is stable that pose a positive sign for the business.

(See Appendix 1)

Social & Environment

Social trends have been rapidly changing therefore it has considerable impact on the business as it becomes hard for the business to quickly respond to the market demand.

Technological

The company has an easy access to advanced technological infrastructure that enables the company to effectively run its business operations.

 Porter’s Five Forces  of SOCCER SCENE

Threat of new entrance of SOCCER SCENE

There are also other shops which are available in the New Zealand due to this threat of entrance is moderately high. It is moderately high as there is a shop opened near the Soccer Scene but it is not be able to become success because of the time of running of the Soccer Scene.

Bargaining power of supplier in SOCCER SCENE

The bargaining power of the supplier is moderately low as the Score Scene buys the products from the supplier in bulk and on a large scale. Therefore, the suppliers give more discounts on the products(Dobbs & Michael, 2014).

Bargaining power of buyers of SOCCER SCENE

 The bargaining power of buyers is moderately high as there are many shops are opened in the market near the Soccer Scene. The individuals usually buy the products from the shop whose quality is high and the rate is lower than the other shops but it is also seemed that some of the buyers use to shop the Soccer products from Soccer Scene.

Threat of substitute of SOCCER SCENE

 The threat of substitute is moderately high as it is known that the other business which are somehow related to the Soccer Scene are considered as the competitors. As there are more and more shops are opened in the market in which the sellers are selling the different products which may be increase the selling or may be decrease (Huang & Jindong, 2013).

Force Field Analysis of SOCCER SCENE

 This analysis method is use to clear the pros and cons of the product for the better increment of sale in the future.

The Soccer Scene is adopting the colours and new brands in order to gain the attention of the customers. For the more increment in the sales of product the Soccer Scene have to focus on the display of their store. They have to use different marketing skills in order to gain the attention of the costumers. The sensory marketing is the better one to gain the attention of the costumers. In it uses of consumers senses is used in which the sense of smell auditory and other senses of the individuals are used through which the Soccer Scene will be able to get the attention of the consumer(Swanson & Donald, 2014).

Summary of SOCCER SCENE

 From the above head studies, it is summarized that about 20 years ago the Soccer Scene is came into being and they are selling the products of the Soccer game and selling the general items.

In the SWOT analysis of the Soccer Scene the strength, weakness, opportunities and threats are founded with respect to the other shops available in the market. Whereas in porter five forces the threat of new entrance is moderately high and the threat of substitute is also moderately high. Furthermore, the bargaining power of the suppliers is low whereas the bargaining power of the buyers is moderately high.

Role of situation analysis in strategic planning and management segmentation

Situational analysis play vital role as it enables the management of the organization to address and analyse the factors that can influence the organizational business from macro-environment as well as from the microenvironment. The situational analysis helps the management to recognise the risk associated with the business and to identify the opportunities and on the base of these understandings an organization can decide the way towards its future. Overall, situational analysis supports the business to take more accurate decision by developing a better understanding about the organizational potential in a specific market (Ansoff & Harry, 2019).

Situational analysis provides the platform to see the situational view of the market for the company. In the modern time, the trends and strategies have been changing in the market therefore, the organizations has to remains up to data bout the changings that are taking place in the market. In case if an organization ignores market change then the results could be disastrous such as it has happened to the Nokia who was once one of the leading mobile phones manufacturing company but later on, company did not addressed the changing situation in their market and they lost their market that was replaced by the smartphone(Ansoff & Harry, 2019).

In the past, the role of the situational analysis within the organization was limited but with the growing technology, the role and importance of the situational analysis increases and now organizations use situational analysis at various stages of a product life cycle. At the initial stage of the product, the situation analysis are used in the planning to decide that what is the market trend, what types of products are being demand by the customers and what features a product should contain to be successful in the changing market. Following this, before introducing the product into the market, the organizational management again analyse that what is the right market to launch their product, what is the right time to introduce the product and what is the most suitable pricing strategy to be use for the product. During the product development stage, the organizations use the situational analysis to analyse the strengths and weaknesses of their product as compare to the market and in this regards, they evaluate the products offered by the competitors, various strategies’ use by the competitors and their impact on the product market response(Dobbs & Michael, 2014).

Overall, the role of the situational analysis are used throughout the marketing mix planning started from the development of the products, to decide about the most suitable place by addressing the consumer’s demand and behaviour. Following this, in the marketing promotion planning the situational analysis assist the company to come up with most suitable promotions to maximise the sale of the product. Likewise, the situational analysis also helps to understand about the consumer’s experience about the services and product that lead to make the required developments accordingly. Therefore, overall, situational analysis provides assistance to make every decision regarding the organizational planning and management by keep an eye on the chain market behaviours and trends that influence or have potential influence over the business or product (Huang & Jindong, 2013).

Conclusion on SOCCER SCENE

 From the above studies, it is concluded that Soccer Scene is started in the market about 20 years ago and going towards the success due to the products quality and availability of the products colour. In the strength of the Soccer Scene the product quality and the gaining of market values takes place whereas the only advertisement used for the promotion of the shop is WOM in lieu of other advertisement. Poster five forces also show the impact of the business on the market values and also on the individual. However there is positive impact of the political influences. It is also seemed that the economic condition of the New Zealand is stable. The company access the technology easily that enables the Soccer Scene to run his business operations effectively.

Appendix of SOCCER SCENE

Appendix 1:


References of SOCCER SCENE

Ansoff & Harry, 2019. Implanting strategic management. s.l.: Springer.

Dobbs & Michael, 2014. Guidelines for applying Porter's five forces framework. Competitiveness Review, pp. 32-45.

Huang & Jindong, 2013. Analyzing Firm’s External Competition Environmentswith PEST and Porter’s Five Forces Framework. Evidence from An SME, pp. 54-89.

Swanson & Donald, 2014. Sharpening the focus of force field analysis. Journal of change management, pp. 28-47.

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