SWOT and PESTEL Analysis of Primark: Opportunities and Threats

CONTEXT OF
BUSINESS

Table of Contents
INTRODUCTION : ........................................................................................................................3
TASK...............................................................................................................................................3
Perform a SWOT and PESTEL analysis for chosen business.........................................................3
SWOT analysis- .............................................................................................................................3
Recommend a suitable leadership style......................................................................................7
CONCLUSION .............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION :
Their is served that in all the countries the growth and the establishment is managed
through the revenue generation which is encompassed by the goods and services that are being
made by the company in order to gain profit and turnover. Business environment implies to be
all such factors in which different orientations and their management is aligned. This helps in
giving the achievement to all the higher terms and also helps the company to manage the growth
in both ethical legal and in corporative manner. This generally tends to maintain the internal and
the external analysis which helps to analyse and manage the tendency of work and also to frame
the business expansion. The organisation chosen in this report is Primark it is a well known
retailing company specialised in footwear, clothing and accessories June 1969 by the western
areas and families. their will be given the the evaluation of all the internal and the external
prepositions which has the SWOT and PESTLE (Rehg, 2022). The company opened first store
in the name of penney's. The company expanded its business into another countries after its
success as penney's The following report is based on Primark. It was founded by Arthur Ryan in
1969. Primark. As of now Primark owned 384 stores in 13 countries.
TASK
Perform a SWOT and PESTEL analysis for chosen business.
SWOT analysis is considered as strategic management exercise that is performed by
organisation in order to assess their internal strength and weaknesses. It also helps in evaluating
varied opportunities and threats which are emerging in market (Roshandel, and Sarookhani,
2022). It assists top management in getting a better understanding of their business so that they
can plan strategically for future. It is beneficial for managers of Primark as it aids in evaluating
external factors which further help in gaining competitive advantage. All the factors of SWOT
analysis in relevance with Primark are discussed below:
STRENGTHS
 Primark is one of the biggest clothing
retailers in the UK. A number of
surveys finds it as the most famous
brand in UK in terms of affordability
and good value for money.
WEAKNESSES
 Primark does not sells its product
online. It tested out e-commerce in
2013 via ASOS website but the
partnership came to an end in 12 weeks.

 Innovative practices- Primark tend to
bring innovative and new products in
the market. Managers of Primark
encourages their designers to bring
something innovative to attract its
existing as well as potential buyers.
 Primark has found itself in the number
of controversies. The UK government
found that it is one of the 260
employers that have paid less
(Ramakrishna, 2022).
OPPORTUNITIES
 Digitalisation era- Digital channels
have helped business to increase their
reach to a large number of customer.
Primark also have an opportunity to
increase their marketing through digital
channels. Managers can improvise their
website to make the shopping
experience of people more exited.
 Focus on customer segments-
Managers of Primark can concentrate
on segmenting their customers as per
their needs and desires. This exercise
can help them to make their reach
towards untapped markets.
THREATS
 High competition in market- Primark
is facing a high competition in the UK
market form its competitors including
Next plc, Debanhams, John Lewis.
Increasing competition in market
increases the threat of brand switching
and close substitutes.
 Fluctuations in policies- Primark
operates its business activities globally.
Any fluctuations in trade policies of
that country where it is operating can
poses a threat for organisation (Ruël,
2022).
Pestle analysis-
PESTLE analysis is concerned with identification and assessment of numerous macro
environmental forces which have their impact on internal business situations. Efficient
evaluation of these external factors helps an establishment in planning strategically for the future.
This analysis helps in conceptualising information related to macro environment and thus helps
companies to set their targets accordingly. It is beneficial for managers of Primark as it aids in
evaluating potential opportunities as well as threats which can affect business operations in near
future. All the factors of PESTLE analysis in accordance with Primark are discussed below: