Business Decision Making: Analysis of Poundland and Market Conditions

This report analyzes the market conditions in retail outlets like Poundland, B&M, and domestic companies. It includes primary and secondary data analysis to determine the market share and profitability of Poundland and its competitors.

Business
Decision
Making

Executive Summary
This report summarizes the study of Poundland a British multinational retailer
supermarket that was established in 1990 with the main purpose of making available of
discounted product for customer. The company's headquarters are in Willenhall, West
Midlands, England. It has worked with different products, including meat, consumer goods,
electronic items and Tech. Poundland has different shops and sales of nearly £ 1 billion and
maintains a profit of about £ 6000 every year. The objective of this document is to analyse
market conditions in retail outlets like Poundland, B&M and domestic companies. To
evaluate the business situation researcher, gather primary data with the help of specific
questioner. They also apply secondary data analysis in order to determine the market share
and profitability of Poundland and other competitors.

Contents
Executive Summary...............................................................................................................................2
Contents.................................................................................................................................................3
INTRODUCTION.................................................................................................................................4
TASK 1..................................................................................................................................................4
Primary data analysis.........................................................................................................................4
Survey Methodology and Sampling Frame........................................................................................4
Questionnaire.....................................................................................................................................5
Secondary data analysis...................................................................................................................18
CONCLUSION...................................................................................................................................22
References...........................................................................................................................................23

INTRODUCTION
In business context, decisions are an extremely important feature of modern
business administration. In general, the primary role of managers is logical and reasonable
decision-making (Ananthram and Chan, 2016). Decisions are taken to insure that business
and company objectives are met at each level of management. In turn, actions are among the
main operational beliefs accepted and enforced by every company in order to maintain
successful development and progress in the products and services produced. In order to better
understand the importance of business decision making Poundland plc has been selected
which is a famous leading supermarket in UK.
In this project report, primary data analysis with the help of respective questioner has
been discussed in order to determine the overall efficiency of Poundladn plc. In addition,
secondary analysis is also discussed in this report that help to ascertain profitability and
market share of company.
TASK 1
Primary data analysis
Primary data relates to the information that researcher collects at the first side. In
general primary information is the actual data (that has been obtained from the media without
processing or not optimized results) that have not been analysed systematically, such as
filtering and tabulation (Bohanec, Robnik-Šikonja and Kljajić Borštnar, 2017). This method
helps to get the real time data with the support of different methods such as interview,
experiments and questionnaire. Some of these methods are discussed below:
Survey Methodology and Sampling Frame
Survey Methodology: A survey is described as a type of study used to gather data
from a predetermined community of interviewees in order to gather knowledge and insights
into several topics (Owen, 2015). Surveys include a particular purpose and may be conducted
in several respects according to the selected technique in order to reach the predetermined
goals. Some of these methods are discussed underneath:
Questionnaire: One of the most widely utilized techniques for collecting information in data
analysis is really the questionnaire. In this method, different questions are devised to get
exact information on any specific subject matter thus, equated to many other primary research
techniques, this is an affordable data gathering approach. In this process the large general

public are provided with the relevant questions at a particular time period and the answers
can be easily achieved. The major drawback of this method is low feedback because several
individuals do not give back survey questions on moment (Ghasemaghaei, Ebrahimi and
Hassanein, 2018). In order to gather data related to Poundland discount policies, customer
knowledge researcher of Aboss Ltd selects 40 respondents. A questionnaire is being prepared
by the research considering three main section personal detail of customer, attractive factors
of Poundland and customer preferences.
Interview: An interviewer gathers separately from each of the respondent’s data and requires
enough cost and time for this process. Interviews should only be used as a medium of
analysis in case if there is enough resources and time. The researcher must be able to perform
an interview and establish a relationship with the general public, so that real answers can be
obtained. This method is not only helpful in collecting the information on specific topic but
also help researcher to understand the nature and depth knowledge of the respective
individuals (Power, 2015).
Sampling Frame:
The collection of data to classify a representative of a sample group. A system
sampling contains a person's numerical identity and further data about the person's
specific attributes, allowing research to support to prepare for further structures for study.
Random digit dialling: It is a popular method of choosing the right phone questionnaires
participants. The software-based method selects generic telephone statistics for a random
sample study. Various geographic regions, such as regional code and geographic area, can
describe samples. These samples involve operating, un-working and unallocated numbers, but
they may cause issues, because large numbers may not be allocated or are just the private
number (Greasley, 2017)
Dual Frame Sampling: Dual-frame sampling models are really a multi-frame subcategory of
bases chosen from any of two blocks inside the workforce of concern via autonomous
statistical samples. The population of interest comprises these two frameworks, generally
intersect. While the extent of variation in the two blocks is generally not previous to the
selection, projections of the under-coverage anticipated from the double-rate strategy may be
further evaluated if this data are available (Skjærseth and Wettestad, 2016).

Data analysis
Q1. Which age group you belong to?
a) 18-26 22
b) 27-40 10
c) 41-65 8
Mean 13.33333
Mode 6
Median 15
Std.D 7.571878
Interpretation: From the above it has been analyzed that maximum number of
people are from the age group 41-65 years. The different statistical presentation shows that
these candidate are more effective to draw meaningful results.
Q2. What is your gender?
a) Male 16
b) Female 20
c) Other 4
Mean 13.33333333
Mode 0
Median 10
Std.D 8.326663998

Interpretation: The table shows that maximum number of candidates are males as
they frequently visit different supermarkets store in order to buy necessary goods. Female
candidates are likely to buy goods from nearby store.
Q3. What is your education level?
a) Primary 15
b) Secondary 13
c) University 12
Mean 13.33333333
Mode 3
Median 13.5
Std.D 1.527525232
Interpretation: The University study is the maximum education level for the
candidates selected for conducting research on Poundland. The statistical analysis define that
more educated personnel are able to give better results.

Q4 What is your monthly income?
a) 700-1000 14
b) 1500-3000 15
c) 4000-5000 11
Mean 13.33333333
Mode 3
Median 12.5
Std.D 2.081665999
Interpretation: It is observed that income level decide the actual spending of an
individual during a month. The above tables shows that most the candidate chosen for the
research receive 700-1000 GBP per month.
Q5 What is your total expenditure within a month
(GBP)?
a) 100-150 12
b) 200-300 16
c) 400-500 14
Mean 14
Mode 12
Median 13
Std.D 2

Interpretation: From the above, it is analysed that around 22 individual thinks that
location of Poundland must be in the centre of the city so that customer can easily visit the
store. Some people thinks that location is not the main and far distance give customer more
experience to properly access the product of company.
Q6. Is location can be consider as important factor in
constructing a new retail in pound land?
a) Strongly agree 19
b) Agree 15
c) Disagree 6
Mean 13.33333333
Mode 1
Median 12.5
Std.D 6.658328118
Interpretation: The above table shows that there is 19 member are strongly belief

that management must choose the best location to open their new store which are nearest to
people as more and more customer can visit to buy essential products.
Q7. Does company should keep their prices
satisfactory?
a) Strongly agree 20
b) Agree 15
c) Disagree 5
Mean 13.33333333
Mode 0
Median 12.5
Std.D 7.637626158
Interpretation: From the table above it has been determined that 20 respondent
thinks that product price are significant factors to increase sales. On the other side 15 people
think that quality must be good so that customer can neglect high prices while 5 assume that
product must be provide highest level of satisfaction.
Q8. Does company should provide discounts during
festive seasons?
a) Strongly agree 15
b) Agree 15
c) Disagree 10
Mean 13.33333333
Mode 5
Median 12.5
Std.D 2.886751346

Interpretation: In order to make customer base more reliable company must provide
additional discount sales as 15 member thinks that it is the main requirement for every
customer. On the other side 10 people think that additional sales just make the place over
overcrowded.
Q9. Should store follow trends according to the
market?
a) Strongly agree 17
b) Agree 13
c) Disagree 10
Mean 13.33333333
Mode 7
Median 13.5
Std.D 3.511884584
Interpretation: The table above discuses that customer 17 are strongly agree with the

facts that company is providing different kind of food as per customer needs. This is consider
to be main component for Poundland gaining more profit margin as compared to other big
supermarket.
Q10 Should store convince their customers to
purchase products?
a) Strongly agree 14
b) Agree 15
c) Disagree 11
Mean 13.33333333
Mode 3
Median 12.5
Std.D 2.081665999
Interpretation: In order to gain popularity among customer Poundland sales manager
use to make different schemes and policies in order to increase sales. As 14 member think
that there is number of attempts made by sales person to convince them to make a purchase
of different product.
Q11)Is there proper convenience facilities to reach store?
a) Strongly agree 15
b) Agree 10
c) Disagree 15
Mean 13.3333333333
Median 15
Mode 15

Standard Deviation 2.8867513459
a) Strongly agree b) Agree c) Disagree
0
2
4
6
8
10
12
14
16 15
10
15
Column C
Interpretation: The above graph describe that there are 15 people thinks that there
are enough facilities to reach store while 15 other belief that they faces number of problem to
reach poundland.
Q12) Do you like the payment Style offered by
Poundland?
a) Strongly agree 20
b) Agree 10
c) Disagree 10
Mean
13.33333333
33
Median 10
Mode 10
Standard Deviation
5.773502691
9

a) Strongly agree b) Agree c) Disagree
0
5
10
15
20
25
20
10 10 Column J
Interpretation: The above graph clearly states that 20 respondent like the payment
system in poundland, 10 thinks it must be more imposed as many time there are signal
problem and 10 other thinks that cash payment are the best.
Q13) Does company offer additional sales features after purchase of luxury items?
a) Strongly agree 13
b) Agree 14
c) Disagree 13
Mean 13.3333333333
Median 13
Mode 13
Standard Deviation 0.5773502692

a) Strongly agree b) Agree c) Disagree
12.4
12.6
12.8
13
13.2
13.4
13.6
13.8
14
14.2
13
14
13
Column C
Interpretation: In the above table it is clearly stated that 13 customer are strongly in
favour of pounland offering additional benefits on festival seasons, while 14 think there is
need to add more specific gifts for customer on particular festival.
Q14)What kind of product variety you prefer to
purchase?
a) High 18
b) Medium 11
c) Low 11
Mean 13.33333333
Mode 7
Median 14.5
Std.D 4.041451884

Interpretation: From the above graph it has been determined that 18 person think
that customer prefer to buy high product variety, 11 respondent think that customer would by
medium product which are reasonable while 11 thinks that there are many customer those
Buy low product variety.
Q15 At what scale, a customer prefer online
shopping over offline shopping?
a) High 16
b) Medium 12
c) Low 12
Mean 13.33333333
Mode 4
Median 14
Std.D 2.309401077

Interpretation: The above graph discuss that 16 people think that customer highly prefer
online sales nowadays, while 12 thinks there are less dependency on online sales still now,
while 12 are totally discuss the facts that customer mostly prefer to buy good from store.
Q16 Which kind of customer group prefers more
after sales services??
a) High 11
b) Medium 15
c) Low 14
Mean 13.33333333
Mode 11
Median 12.5
Std.D 2.081665999
Interpretation: From the above graph, it has been discussed that 15 people accept
the facts that customer only wants to buy best goods and consume better services rather than
after sales services.
Q17 At what scale, people prefer a store to be open
for 24 hours?
a) High 12
b) Medium 20
c) Low 8
Mean 13.33333333
Mode 4
Median 10
Std.D 6.110100927

Interpretation: From the above graph it has been clearly stated that 20 people state
that medium customer wants to be open 24 hours so that they can buy goods at any time
according to the needs.
Q18 Which kind of consumer group purchase branded products?
a) High 20
b) Medium 10
c) Low 10
Mean 13.3333333333
Median 10
Mode 10
Standard Deviation 5.7735026919

a) High b) Medium c) Low
0
5
10
15
20
25
20
10 10
Interpretation: The above graph shows that high group customer are more likely to
purchase branded product while other medium and low group can prefer any good accotrding
to their needs.
Q19) How much customer are satisfied with home delivery services?
a) High 4
b) Medium 16
c) Low 5
Mean 13.3333333333
Median 10
Mode 0
Std.D 12.7279220614

a) High b) Medium c) Low
0
5
10
15
20
25
30
Interpretation: From the table above it has been discussed that high range of
customer group are more satisfied with home delivery services. On the other side other group
only needs better value of their spend money.
Q 20) How attractive Ambiance offered by the store?
a) High 10
b) Medium 20
c) Low 10
Mean
13.33333333
33
Median 10
Mode 10
Standard Deviation
5.773502691
9

a) High b) Medium c) Low
0
5
10
15
20
25
10
20
10
Interpretation: The table shows that customer of medium group are more attached to
the ambience of Poundland, while other group only visit to store in order to buy the goods.
Secondary data analysis
Data collected by others can be organized, computed and statistically interpreted is
known as secondary data (Gubler, Kalmoe and Wood, 2015). The information is processed
and personalized in order to complete the research depending upon the subject matter and
scope. Secondary information is the evidence previously compiled by other entities and
readily accessible. This information is faster and cheaper to acquire than the primary data and
can also be usable if primary data cannot be collected at all. It's competitive because it saves
money and energy and commitment. It actually makes primary data processing more
comprehensive because, using secondary data, researcher is able to identify what the
weaknesses and shortcomings are and what extra information requires to be obtained.
Market share of companies
Poundland Plc
Year 2017 2018 2019
Poundland 20.00% 19.20% 20.20%

Interpretation: The graph above reveals that Poundland's market share in 2017 was 20%
down due to competitors offering the same products at a decent price. Nonetheless, next year's market
share will increase as the business starts to sell valuable goods at reasonable prices.
Morrisons
Year 2017 2018 2019
Morrisons 10.40% 10.40% 10.10%
Interpretation: the above table shows that market share of Morrison is equal in 2017-
18 as company do not make any additional efforts to promote goods. In year 2019, the market
share reduces by .30% due to same reason of non promotion of goods.
Tesco
2016 2017 2018
Market
share
28.1 27.8 27.4

Interpretation: The market share of Tesco is diminishing as there are other number of
competitors selling the same product in market at lower cost. As in year 2016 it was higher as
compared to other years because company is earning huge profit.
ASDA
Year 2017 2018 2019
ASDA 15.30% 15.20% 14.90%
Interpretation: From the above table it has been founded that there is uneven fluctuation
within the market share of Poundland plcs since last three years as company is able to satisfy the
customer needs. On the other side the market share of Tesco and Morrison are continuously increasing
as these companies are always focused to provide additional benefits and extra discounts facilities to
customer that make them popular in UK market (Osiyevskyy and Dewald, 2015).

Operating profit of companies
Poundland
Year 2017 2018 2019
Operating Profit 8.41% 7.91% 8.21%
Interpretation: In year 2017 the profit of company was 8.41% which decrease at
7.91% in 2018 and afterwards increase again in 2019 till 8.21% this state that company have
a decent customer base which do not move to other options.
Morrison
Year 2017 2018 2019
Operating Profit 2.67% 2.54% 2.49%
Interpretation: The operating profit of Morrisons keeps on decreasing year by year
from 2.67% to 2.54% and 2.49% in three previous year. This shows that competition is higher
and customer search for other option to buy good.
Tesco

2017 2018 2019
1.17 1.56 2.08
Interpretation: In recent time the profit of company is increasing as in latest time it is
2.08 which shows that there is huge customer base which makes Tesco to earn more and more
profit throughout the respective years.
ASDA
2017 2018 2019
6.42 5.18 3.12
Interpretation: From the above table it has been determined that the total operating
profitability of ASDA has been decreasing due to more rivals firm present in the market.
They are proving more and more quantity at reasonable prices which makes difficult for

ASDA to make adjustments.
Profit after tax for companies
Morrison
Year 2017 2018 2019
Profit after tax -40 1206 1322
Interpretation: In Morrison, manager makes different plans and strategies and
principles in order to make more and more profit. As in year 2017 company faces loss but
from 2018 to 2019 there have been huge growth in net profit figures.
Tesco
Year 2017 2018 2019
Profit after tax 305 311 244
Interpretation: The graph above shows that company is making so much expenses in

promoting and developing effective goods for customer which reduces the overall profit in
recent year.
ASDA
Year 2017 2018 2019
Profit after tax 201 215 198
Interpretation: ASDA sales continues to grow year after year as consumers are more
loyal to the company's product which helps to increase profits. But at the same time the
operating profit continues to decrease as net profit often declines as gross costs are more
relative to the level of income.
Key finding
It was calculated from the above primary data review that consumers value
Poundland's services and goods. It is also known that consumers like to eat a variety of food
products to please them and help businesses gain a competitive advantage. Likewise, from
the secondary data analysis, Poundland's key finding is that there has been a progressive rise
in market share in recent times relative to other rivals. The company's net income is also
rising year by year and overall customer base as well as increasing in an effective way that is
a good sign. The above table shows that there is slow decrease within the operating profit of
Poundland due to involvement of additional operating cost in order to produce benefited
goods for customer. . As company is providing variety of product thus to they make various
new offers to increase sale but as a results sales are not as accepted and operating profit
margin decrease by decent figures. On the other side, operating profit margin for Tesco and
Morrison is increasing year by year as they provide different product range at decent price

covering total operating expense.
Recommendation
From the above overall discussion, it has been recommended that to increasing market
share for Aboss ltd manager are required to implement the discounted strategies and offers
like as of Poundland plc. This would help them to attain the predefined results in the nearby
future and customer would start purchasing the goods offered by respective firm. To increases
the profitability in a year Aboss ltd are suggested to consider the plans implemented in Tesco
that would benefits to reduce the operating expense and lower the overall expenditure.
Company might also take advantage of questionnaire, as it perfectly defines the actual taste
and preference of customer which help them to develop goods and services according to the
needs of customer. As Poundland is continuously providing number of special discount
offers, faithful home deliver and give more importance on after sales. Likewise, Aboss Ltd
can do the same in order to attain the maximum benefits of market and raise the overall
market share and profitability.
CONCLUSION
From the above report, it has been concluded that business decision-making method may
be seen as a control and balance system that retains the organization's vertical as well as
horizontal development. This ensures that decision-making is directed at a goal as manager
gives priorities to prepare set strategic in order to reach the desired organizational activities
and main purpose. The above questioner helps to determine the detail knowledge about the
personal attributes of customer that help Aboss Ltd to prepare plans and polices to deal in
dynamic business circumstances. Secondary data analysis is effective in defining the actual
market share and profitability of company.

References
Books and Journals
Ananthram, S. and Chan, C., 2016. Religiosity, spirituality and ethical decision-making:
Perspectives from executives in Indian multinational enterprises. Asia Pacific Journal
of Management. 33(3). pp.843-880.
Bohanec, M., Robnik-Šikonja, M. and Kljajić Borštnar, M., 2017. Decision-making
framework with double-loop learning through interpretable black-box machine
learning models. Industrial Management & Data Systems. 117(7). pp.1389-1406.
Ghasemaghaei, M., Ebrahimi, S. and Hassanein, K., 2018. Data analytics competency for
improving firm decision making performance. The Journal of Strategic Information
Systems. 27(1). pp.101-113.
Greasley, A., 2017. Simulation modelling for business. Routledge.
Gubler, J. R., Kalmoe, N. P. and Wood, D. A., 2015. Them’s fightin’words: The effects of
violent rhetoric on ethical decision making in business. Journal of business
ethics. 130(3). pp.705-716.
Osiyevskyy, O. and Dewald, J., 2015. Explorative versus exploitative business model change:
the cognitive antecedents of firm‐level responses to disruptive innovation. Strategic
Entrepreneurship Journal. 9(1). pp.58-78.
Oumlil, A. B. and Balloun, J. L., 2017. Cultural variations and ethical business decision
making: a study of individualistic and collective cultures. Journal of Business &
Industrial Marketing. 32(7). pp.889-900.
Owen, D., 2015. Collaborative decision making. Decision Analysis. 12(1). pp.29-45.
Power, D. J., 2015, May. ‘Big Data’Decision Making Use Cases. In International Conference
on Decision Support System Technology (pp. 1-9). Springer, Cham.
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persuasively for business decision making.

APPENDICES
Questionnaire
Personal details
Q1. Which age group you belong to?
a) 18-26
b) 27-40
c) 41-65
Q2. What is your gender?
a) Male
b) Female
c) Other
Q3. What is your education level?
a) Primary
b) Secondary
c) University
Q4 What is your monthly income?
a) 700-1000
b) 1500-3000
c) 4000-5000
Q5 What is your total expenditure within a month (GBP)?
a) 100-150
b) 200-300
c) 400-500

Attractive Factors
Q6. Does location is an important element to be consider while opening new store for
Poundland?
a) Strongly agree
b) Agree
c) Disagree
Q7. Are prices of goods offered by Poundland reasonable?
a) Strongly agree
b) Agree
c) Disagree
Q8. Do company offer any special discounts on festive seasons?
a) Strongly agree
b) Agree
c) Disagree
Q9. Does Poundland have variety product range?
a) Strongly agree
b) Agree
c) Disagree
style
Q10) Is there proper convenience facilities to reach store?
a) Strongly agree
b) Agree
c) Disagree
Q11) Do you like the payment Style offered by Poundland?
a) Strongly agree
b) Agree
c) Disagree
Q12) Does company offer additional sales features after purchase of luxury items?
a) Strongly agree
b) Agree
c) Disagree

Customer Preferences
Q13 Which sort of product mixture does customer prefer to purchase?
a) High
b) Medium
c) Low
Q14 Which kind of consumer group purchase branded products?
a) 1
b) 2
c) 3
Q15 What type of customer give more importance to online sales?
a) High
b) Medium
c) Low
Q16 What is your opinion about after sales customer services?
a) High
b) Medium
c) Low
Q17 In your opinion which consumer group wants Poundland to be opened for 24 hours?
a) High
b) Medium
c) Low
Q18 How satisfied are you with home delivery services?
a) High
b) Medium
c) Low
Q 19) How attractive Ambiance offered by the store?
a) High
b) Medium
c) Low
Q 20 Company have enough parking space?
a) High
b) Medium
c) Low
Responses

Q1. Which age group you belong
to?
a) 18-26
b) 27-40
c) 41-65
Q2. What is your gender?
a) Male
b) Female
c) Other
Q3. What is your education level?
a) Primary
b) Secondary
c) University
Q4 What is your monthly income?
a) 700-1000
b) 1500-3000
c) 4000-5000
Q5 What is your total expenditure within a month (GBP)?
a) 100-150
b) 200-300
c) 400-500
Attractive Factors
Q6. Is location can be consider as important factor in
constructing a new retail in pound land?
a) Strongly agree 19
b) Agree 15
c) Disagree 6
Q7. Does company should keep their prices
satisfactory?
a) Strongly agree 20
b) Agree 15
c) Disagree 5

Q8. Does company should provide discounts during
festive seasons?
a) Strongly agree 15
b) Agree 15
c) Disagree 10
Q9. Should store follow trends according to the
market?
a) Strongly agree 17
b) Agree 13
c) Disagree 10
Q10 Should store convince their customers to purchase
products?
a) Strongly agree 14
b) Agree 15
c) Disagree 11
Q11)Is there proper convenience facilities to reach store?
a) Strongly agree 15
b) Agree 12
c) Disagree 8
Q12) Do you like the payment Style offered by Poundland?
a) Strongly agree 22
b) Agree 10
c) Disagree
Q13) Does company offer additional sales features after
purchase of luxury items?
a) Strongly agree 17
b) Agree 10
c) Disagree 8

Customer Preferences
Q14What type of variety should prefer to purchase a
product?
a) High 18
b) Medium 11
c) Low 11
Q15 At what scale, a customer prefer online
shopping over offline shopping?
a) High 16
b) Medium 12
c) Low 12
Q13 Which kind of customer group prefers more
after sales services??
a) High 11
b) Medium 15
c) Low 14
Q16 At what scale, people prefer a store to be open
for 24 hours?
a) High 12
b) Medium 20
c) Low 8
Q 17) How attractive Ambiance offered by the store?
a) High 18
b) Medium 20
c) Low 2
Q18 Which kind of consumer group purchase branded products?

a) High 17
b) Medium 12
c) Low
6
Q19 Which kind of consumer group purchase branded products?
a) High 17
b) Medium 12
c) Low 6
Q20) How much customer are satisfied with home delivery services?
a) High 14
b) Medium 16
c) Low 5
Mean 13.3333333333
Median 10
Mode 0
Std.D 12.7279220614