BSBMGT617 - Develop And Implement A Business Plan

Running head: DEVELOP AND IMPLEMENT MARKETING STRATEGIES-MACVILLE BUSINESS VENTURE 1
Develop and Implement Marketing Strategies-MacVille Business Venture
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DEVELOP AND IMPLEMENT MARKETING STRATEGIES-MACVILLE BUSINESS VENTURE 2
PEST Analysis
PEST Analysis is an abbreviation that stands for political, economic, and social and technology.
The four factors affect the external environment of any business. For the companies to overcome
this environment, have to strategize effectively or else they will be kicked out of the business.
This is mainly because businesses do not have control of the PEST factors. For the MacVille’s
Company, their major PEST aspects attributable to its external environment are as discussed
below;
Political: The political factor is exhibited by the government regulations laws and regulations
that either affect the business positively or negatively (Gupta, 2013). Businesses should take
advantage of the positive political impacts and plan how to prevent or eradicate negative political
factors (Rastogi & Trivedi, 2016). Similarly, MacVille should optimize the removal of the tariffs
on the espresso coffee machines. However, there a few critical factors facing MacVille. For
example, the company must make sure it conforms to the government business laws and
regulations in the new areas where it wants to expand its operations. This will help the company
to avoid conflicts with the government. Secondly, there is a possibility of introducing a carbon
tax that may see MacVille profits being diluted.
Economic: Economic factor is one of the major PEST factors that businesses have to put into
consideration (Koumparoulis, 2013). It will not matter whether the company is at kick-off
stage or how long it has been in operation. If the company is faced by the economic constraint
that falls beyond its ability there is a high probability of the company to suffer loss and
eventually end up closing (Issa, 2010). On the other side, if the business is experiencing
favorable economic environment there is a likelihood to enjoy higher profits, experience growth
and development and expands to other regions (Yüksel, 2012). MacVille appears to face both
favorable, unfavorable economic business environment. Favorably, there are huge expectations
that the economy will grow as result of the resources boom. Secondly, there are monetary and
fiscal plans to strengthen the Australian dollar against that its trading partners. Recently, there
has been a trend of the rising Australian dollar. This has had a negative impact on the tourism
industry, a sector that the MacVille relies on to thrive in the market. Finally, the anticipated
interest rates increase are likely to affect the disposable income available for the company
customers.

DEVELOP AND IMPLEMENT MARKETING STRATEGIES-MACVILLE BUSINESS VENTURE 3
Social-cultural: The social culture of the target customers largely determines the nature and the
type of the customer that the company will sell in the market. If the product appears to interfere,
mock or against the culture or religion of the target customers, then it becomes useless
introducing it in the market (Koumparoulis, 2013). It will be easy for the MacVille to
introduce its product in the new market because Australians and majority of the international
tourists in Sydney likes having an evening coffee. Therefore, the coffee culture in Sydney seems
to favor MacVille business operations in the region. Secondly, there is growing culture where
people tend to eat out more frequently as they age. Third, there is a predicted steady growth of
the Australian population up to 36 million people by 2050. The social set up in the Australia
business environment offers MacVille with a lucrative opportunity to enter in the coffee industry.
Technology: In the modern business world, companies are thriving in technology. If the
company is unable to adopt the latest technology, it might find itself being kicked out of the
business (Rastogi & Trivedi, 2016). Technology is a changing factor and therefore what was
termed as the best technology in the industry two years ago it may be an obsolete technology
today. MacVille has taken advantage of the latest technology in two ways. First, the company
has taken advantage of home espresso machine that will help it ease its business operations.
Secondly, the company will integrate Management Information System (MIS) to help its
management and staff in executing all company business operations effectively. For example, the
planned Management Information System will assist the company to carry out corporate and
strategic planning that are aligned with strong internal controls in the department of accounting
and finance.
SWOT Analysis
SWOT analysis which is an abbreviation for business strengths, weaknesses, opportunities and
threats involves the evaluation of the company or industry’s internal and external environment.
Strengths and weakness are attributable to the internal environment of the business while
opportunities and threats fall in the external environment of the business. The MacVille internal
and external environment based on the SWOT analysis will appear as follows;