Bunning Company Analysis: External and Internal Analysis, Opportunities and Threats

bunning company analysis

1 CONTENTS
2 Introduction..............................................................................................................................1
3 Part 1:.......................................................................................................................................1
3.1 (External Analysis)...........................................................................................................1
3.2 Business Background........................................................................................................1
3.3 What industry is it?...........................................................................................................2
3.4 Environmental Analysis:...................................................................................................2
3.5 Industry Environment.......................................................................................................3
3.6 Competitive Environment.................................................................................................3
3.7 Opportunities & Threats....................................................................................................4
4 PART 2.....................................................................................................................................5
4.1 Internal analysis and proposal...........................................................................................5
4.2 Tangible and Intangible Resources of the firm.................................................................5
4.3 Capabilities........................................................................................................................5
4.4 Core Competency Analysis...............................................................................................6
5 Suitable Information System Solution.....................................................................................6
6 Recommendations....................................................................................................................7
7 Conclusion................................................................................................................................7
8 References................................................................................................................................8

2 INTRODUCTION
The discussion of the report will highlight about the competitive strategy where the focus is on
the environmental analysis through use of political, economic and the demographic factors which
help in highlighting about the different network range which is set for the larger warehouse
stores. Bunning caters for the consumer and the commercial customers where the revenue is
based on handling the trust centers that are mainly operating in Australia and New Zealand. The
report will discuss about the competitive standards, with the tangible and the intangible resources
which have been used by the company to handle the system in an effective manner. Apart from
this, the company has been working on operations in Perth, Western Australia which includes the
expansion mainly into the retail sector.
3 PART 1:
3.1 (EXTERNAL ANALYSIS)
The analysis of Bunning company is based on handling the environmental standards, where
Australian leading stores are defined for marketing and properly researching about the qualitative
research. It is based on the secondary source of information that helps in working and focusing
on the credible and academic sources for understanding the strategies related to marketing.
3.2 BUSINESS BACKGROUND
Bunning is a company which deals mainly in the hardware products and works towards attracting
more customers for a better sale. The external analysis of the company highlights about the
profitability and the future growth of the company, where Bunning has been working on the
downstream vertical integration mainly to maximize the profit (Rosemann & Vom Brocke,
2015). It has been facing the lower to medium level of negative influences which are determined
by the remote environment. The company has been in a direct competition with Masters Home
Improvement where there are differences in profitability of both the companies.

3.3 WHAT INDUSTRY IS IT?
The company has been mainly dealing in the home improvement and the outdoor living sector
where the employees are approximately 33000 in number. It is considered to be one of the
trusted retail brands by Australia which is working on the improvement of home and the other
outdoor living sectors (Arrfelt et al., 2015). The company has an annual growth of 19% where it
has been working on increased interest mainly for the improvement of home and the Home
Rules. The company has been able to focus on planning to expand the warehouse with
investment in necessary resources and then handling the capital enabling growth as well.
3.4 ENVIRONMENTAL ANALYSIS:
Economic: The economic forms are related to the GDP per capital with inflation rate that
is for 2.5% where the interest rate is 2.75% and it also helps in balancing GDP which is 1589
Billion Dollars.
Socio-cultural: The sustainability in the plans with the less usage of water and energy
helps in managing the use of sources of products. There is a need to support the local
communications which help in working with proper diversification of the workforce. There are
46.5 % of the women and 53.5% of men in this sector.
Global: There are business operating in Australia and New Zealand at a global level.
Technological: The technological development is done through the online store setup
where there is an improvement in the inventory of stock levels where Bunning has been working
on handling IBM XIV storage systems for the handling of 54 TB of the available storage
(Wesselink et al., 2015).
Political & Legal: The political standards of the company tax rate are depending upon
how the unions are able to support the employees with proper and fair work standards. Here,
ACCC works on the enforcement of the consumer laws that will help in highlighting about the
WOHS which is important for handling the heavy icon labels. The setup for the training
programs is to ensure that the employees are completely aware of the right and the safety in the
workplace. The Trade Practice Act is determined effectively in this.