Business Organisation Assessment: Primark in Hungary

BUSINESS ORGANISATION ASSESSMENT
PRIMARK IN HUNGARY
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Contents
INTRODUCTION............................................................................................................................. 3
BACKGROUND OF PRIMARK.......................................................................................................... 0
BACKGROUND OF HUNGARY’S BUSINESS ENVIRONMENT............................................................1
PESTLE ANALYSIS........................................................................................................................... 3
PORTER’S FIVE FORCE ANALYSIS FOR PRIMARK IN HUNGARY.......................................................6
SWOT ANALYSIS FOR PRIMARK IN HUNGARY................................................................................8
DATA/GRAPHS/TABLES..................................................................................................................9
CONCLUSION AND RECOMMENDATIONS....................................................................................12
REFERENCES.................................................................................................................................13
TIME PLAN................................................................................................................................... 15
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INTRODUCTION
This report is focused on assessing the business environment of Primark. Business assessment
helps the management to make sound decisions regarding the development and settlement of
the company (Bryman and Bell, 2015). The current scenario is focused on the establishment of
Primark’s branch in Hungary. This report is concentrated on setting up the Primark’s business in
Hungary by discussing various positive as well as adverse circumstances. The relative aspects of
establishment such as market analysis, financial conditions, respective data, development
scenarios and strategies, etc. are considered here by using pestle analysis, Porter's five force
analysis, swot analysis, etc. in this report to assess the business environment of Hungary for
Primark (Bryman and Bell, 2015).
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BACKGROUND OF PRIMARK
Primark is an Irish company dealing in accessories and clothing. It is a multinational
company and Associated British Foods’s subsidiary. The headquarters of the company are in
Dublin. The company was founded in the month of June of the year 1969 by Arthur Ryan. He
founded the company on behalf of the Weston family. The first store of the company was
opened in Dublin (Ireland) with the name Penneys. When the company tried to open up in
different countries, they skipped the name Penneys as it was already registered by J.C.
Penney. It led the company to choose Primark as its brand name to be used for the stores
outside Ireland (Gorgorni, 2017). The company opened its first store in the UK in the year
1973 and currently occupies 174 stores in UK (Primark, 2018). There are more than 350
stores in the company globally. The largest store of the company is in Manchester occupying
about 155,000 sq. ft. of retail areas spread over three floors.
Currently, Primark is offering wide product range comprises men's wear, women's wear,
kids' wear of all age groups, beauty products and accessories, food products, housewares
products, cosmetics, footwear, etc. at very affordable prices even at less than the average
market price. The company recently established its new store in Amsterdam in the
December of the year 2016 (Primark, 2018). There are about 68000 employees working for
the company globally. The revenue of the company for the year 2016 was 5954 million
Euros. The company even started selling the vegan snacks from 2018 January.
The company also achieved the leadership status in the year 2011-12 in context to Ethical
Trading Initiative. The company is focused on the work of labour rights issues from the year
2006. The management of the company also created a special website for dealing with the
issues and problems related to the Panorama programme ‘Primark: On the Rack’ (Gorgorni,
2017).