Business Report on Boral: Market Analysis, Strategies, and Competitors

This business report examines Boral, an Australian-owned multinational company specializing in building and construction materials. It analyzes Boral's market position, key competitors (Calstar, Icopal, James Hardie), strengths, and weaknesses. The report also explores how Boral can utilize data for marketing, identifies its target market (builders and construction businesses), and details its marketing strategy, including the 4Ps (Product, Price, Place, and Promotion). Furthermore, it applies a PESTLE analysis to assess the political, economic, social, technological, environmental, and legal factors influencing Boral's operations, providing a comprehensive overview of the company's business environment and potential growth opportunities. The report concludes with a discussion of macro-environmental trends and offers insights into Boral's future prospects.

Running head: BUSINESS REPORT ON BORAL
Business report on Boral
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Table of Contents
Introduction:....................................................................................................................................2
Organization’s most significant competitors...................................................................................2
Market..............................................................................................................................................3
Strengths and weakness...................................................................................................................4
Data company can use for marketing purpose:................................................................................5
Target market:..................................................................................................................................7
Marketing strategy:..........................................................................................................................7
Two macro environment trends:......................................................................................................9
Conclusion:......................................................................................................................................9
References:....................................................................................................................................11

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Introduction:
Business environment can be defined as the sum total of internal and external factors that
possess the potential of influencing a business (Mithas, Tafti & Mitchell, 2013). It is important to
note that internal as well as external factors are inter-connected and they are continuously
effecting one another. The external and internal factors are work together to affect businesses,
bring growth in the business or perhaps result as failure (Dunning, 2015). For example, the
external factor that is healthy and safety regulation is highly responsible for the influences in the
internal environment. Internal environmental factors are controllable whereas the external factors
are beyond the control. The report aims to examine the ways companies operate in the business
environment. The business report is based on an Australian-owned company, Boral. It is a
multinational company that deals with building and construction materials. The report discusses
about the company and its position in the business environment. The organization’s most
significant competitors are discussed. The report discusses regarding the target market and the
major customers of the company’s supplies. There are several data presented that can be utilized
by the company for the marketing purpose followed by a discussion that critically analyzes
marketing mix of three main products. With the usage of various findings the report attempts to
manifest the overview of the business and the possibilities of the business.
Organization’s most significant competitors
Founded by David Craig in March 1947 Boral is an Australian-owned company. The
company is located at Matraville on Sydney’s Botany Bay. The company has evolved in last
seven years and grown across various industries that includes oil refining, gas supply,
construction materials. Building products and manufacturing in Australia, Europe, the USA and

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Asia. The organization produces a range of products and distributes across the overseas. The
company had 8334 full-time employees who have been working in operating sites over 550 and
conducts A$ 4.3 billion sales. From cement, fly ash, pre-mix concrete, quarry products and
construction products, building products including clay bricks and pavers, clay and concrete roof
tiles, concrete masonry products, timber, plaster board and light weight trim and sliding. The
primary service Boral provides to customers in the building and construction industries. The
company operates in large scale that is due to the fact that Boral operates in 16 countries at
present in Australia, North America, Asia and the Middle East. They operate under three
operating divisions, the USG Boral joint venture, Boral USA and Boral Australia (Elliott & Pap,
2013).
Boral Australia has concrete, asphalt, quarry, concrete placing, masonry, roofing, and
hardwood and softwood timber operations. The division is mainly a major contributor of to the
residential and commercial construction, engineering market and roads by supplying materials.
USG Boral manufactures and supplies USG Boral manufactures and supplies in Asia,
Australasia and the Middle East with based wall, ceiling lining systems and accessories. The
existence of the division was began in 2014 when Boral Gypsum and GSG created a 50/ 50 joint
venture. Following the acquisition of headwater in May 2017, Boral North America supplies
construction materials and building products. The division consists of a national fly ash
processing and distribution business, it also includes manufactures stones veneer, concrete and
commercial construction market. A construction material business is also within the Boral North
America in Denver and has a 50 percent share of the meridian Brick joint venture.
Considering the revenue of the company there have been several changes from previous years.
Boral Australia revenue was up by 1 % from $3.30b growing infrastructure activity. The market

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downturn WA has an impact on bricks WA with lower revenue. The tax expense of the year was
flat. However, the current year benefitted from the recognition of unrecognized tax losses in
USA and Australia previously. Boral brick joint venture, US brick, Thailand construction
materials experienced mostly gains and very less loss (Boral, 2017).
Market
The building product manufacturer, Boral organization has several competitors in the
market. The top three competitor companies are Calstar, Icopal and James Hardie. CalStar is a
company that manufactures, develops and sells innovative, sustainable building products. The
company’s main focus is on brick and masonry. Icopal manufactures roofing materials such as
insulation materials, water proofing ad other building materials. James Hardie is company that
deals with manufacturing and develops technologies, materials and processes for building
material production.
Strengths and weakness
Strengths:
Boral is a strong company which makes base of success. However, the competitors are equally
strong. The competitor companies are well-resourced company and currently on the top of the
list of ranking. Strategically located reserves and has built a strong market position across the
world. The competitor companies have loyal set of customers who have been receiving reliable
delivery of quality products. The customers of the competitor companies are of broad range and
long lasting (Charter & Tischner, 2017). The competitor companies consist of efficient
management team with good experienced. An experienced, efficient team of management is one
of the most essential requirement for the success of the company. The company also has highly

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committed employees. For several years the competitor companies have been operating
efficiently and still determine to provide the best along with higher returns. The company is
globally recognized and therefore it makes the company less vulnerable to slowdown.
Weakness: Although the competitor companies are a major success, there are some of the
weaknesses that the competitor companies need to take in consideration. Among the diverse
products that the competitor companies produces, oil and gas sector is faced with fewer order
books. There is a decreasing order book value from oil and gas sector. Another challenge that the
firm is faced with is that the competitor companies’ growth in assets overweight growth in
profits (Teece, 2014). There is an arising problem in the internal environment is the talent
retention and acquisition. The competitor companies’ belong to sever comparative market along
with Boral, manufacturing and producing the same products. The competitor companies needs to
constantly upgrade along with the changing demands of the market. The committed team is
useful, helpful and experienced however since the competitor companies are across the globe and
expanding it requires more manpower. As mentioned earlier the competitor companies are faced
with retention issues with new employees, therefore need in manpower and loss of employees is
a weakness of the competitor companies.
Data company can use for marketing purpose:
The PESTLE analysis is a framework that is the marketer’s tool through which they
analyze and monitor the external environment. By the help of external environment, companies
decide their strategies and future decisions. The term Pestle consists of Political, social,
Economic, technological, environmental and legal factors (Zalengera et al 2014).

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Political environment: the political factors are the factors that involves the degree to which
government intervenes in the economy. In Australia, the state constantly interfere in the
economy through various roles. The liberal-capitalist democratic state is considerate about the
country’s economy and therefore it is highly interfering in every business of the state. Although
the state is interfering body, it is highly supportive toward the development of the state. The state
is politically stable however there is always new tax rules and subsidies that are implemented.
Having an efficient team that would monitor this particular aspect would help the company
overcome challenges. It is important for Boral to cooperate with the government since it is a
large scale organization and it has a responsibility towards the society and environment.
Economic environment: economic factors are mainly the economic conditions, policies and
factors that commonly affects business. Australia is a state that is one of the largest capitalist
economics in the world (Baker, Bloom & Davis, 2016). The state is dominated by service sectors
and it is a positive factor for the company. Boral is already a world known brand and it has the
ability to influence the economic factors. The country has favorable condition of doing business.
There is continuous growth in economy in the country which is an important aspect to consider
by companies. The country has a low unemployment which means the company will get
adequate employees to work in the organization. The country is also possess strong and stable
financial system which serves as opportunity for all the business.
Social environment: considering the social factors the country there are a set of beliefs, customs,
practices and behavior that exits within the Australian population. Social environments are
important and plays vital role for companies especially businesses operating internationally
(Cherrier & Gurrieri, 2013). Australia is a collection of diverse people with relatively young
people. Therefore, it serves as a benefit for the business as it allows space for experiments. The

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cultural beliefs and multi-cultural society where the primary language is English. It is a favorable
factor for companies, since it make them easily adaptable and compatible. Within the framework
of Australia’ law, every Australian has the right of expressing their cultural beliefs. They are
allowed to freely participate in Australia’s national life.
Technological environment: the technological factors involves the technological aspects such as
automation, research and development, technology incentives and the rate of technological
change (Verbong, Beemsterboer & Sengers, 2013). Australia is technologically advanced to a
great extent. This makes the business gain profit by taking advantages in the environment.
Similarly the Boral is also at benefit for being able to utilize the advance technology. The
business can have more investment in the research and development department for more
innovation and creative plans technologically supported.
Legal environment: it is important to understand the legal environment of a state for it is an
important part of the whole theory of marketing. While making the products reach to the diverse
customers and consumers the company needs to be fully aware of the legal laws and regulations.
Australia has a flexible business laws and it makes the procedure of opening as well as operating
business simple and easy. It helps in achieving for one and everyone.
Target market:
The Boral is a company that supplies construction goods and building products. The company
targets mainly the builders who are involved in the construction business. The business to
business is the deal between two businesses where two companies can benefit from one other. in
this case, the business that work in the fild of construction are the customer of the Boral
company. the large scale company as well the small scale company are the consumers as he

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compny is well systemisez and provided all types of services regarding the construction and
building material. The small scale businesses who are in business of only one particular sector
such as roof treatment, false ceiling, piping and many more. The major consumers are the
builders as Boral is the supplies of a broad range of products.
Marketing strategy:
Small or large, growing business is not easy. It requires effort, idea and right strategies. It
is important to figure out the target demographic and let them know that the company is
providing something valuable to them. It is important to consider the products, services,
information to get the right strategies. Marketing strategies are the way company deals with its
way of delivering its services. Strategies are the made basically on two elements that are
choosing a target market and developing a marketing mix. The marketing mix of Boral consists
of 4P, price, product, place, promotion.
Product:
Boral is one of the largest company that provides building materials and construction
equipment. The company is a real estate development company and it undertakes various ways
of supplying materials to the real estate companies and the builders. Therefore, the relation with
such companies needs to be enhanced.
Price:
The company has various range of products. The company makes products that are high
in quality and it is produced considering the countries and other factors. Therefore, to maintain a
price that is exceptionally excepted as well as adequate to maintain the quality. The company
makes high revenue involving the governmental taxes. The fall in price commodity price will

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have negative impact on the economy as it will lead to decrease in profit. This gives an insight
the ways Boral prices its products and services in its marketing mix.
Place: present in various countries and providing supplies to various states and overseas. The
company is present in 16 countries in Australasia. The company is one of the largest growing
company. It goes through tender process and bids for tenders. Although it is majorly an
Australian based company, it is spread across the world.
Promotion: perhaps the most important part of marketing is the promotion. The company have
made use of media as well as broadcast to promote the products of the company.
Two macro environment trends:
There are two key perspectives considering marketing environment. The two
environments are microenvironment and macro environment. In the micro environment, this
particular company combines the groups like management, finance, research, development and
such internally. This company has a high trained research team that finds the trends that are
present externally, that are considered Macro environment. Macro-environment is the collection
of uncontrollable forces that company goes through. For this particular company, two trends are
mentioned, natural environment and economic environment. In the long run, it is important to
consider the trends of the market. Current the two macro trends among many would be using
sustainable products which are environment friendly. Sustainability is at the higher position of
the agenda. Consumers are increasingly becoming aware of the environment impacts and
therefore demands sustainability. Along with company’s profit, the company needs to cope with
the growing demand of sustainability. Another trend would be providing training to the workers
in order to avoid the large scale accidents (Franzen & Vogl, 2013). Every company needs leaders

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who will take the company to great heights. Since this particular company deals with building
materials such as cement, building materials and such it has a high risk of accidents, specifically
the workers. Providing training to the workers will help reducing the risks of accidents which
would be conducted by the experts. It is important to ensure employee safety for it plays a vital
role in making the brand image.
Conclusion:
Business environment are important and a company depends largely on the internal
factors as well as external factors. Business requires effort, idea and right strategies for both
internal as well as internal. The external and internal factors are work together to affect
businesses, bring growth in the business or perhaps result as failure. In this report it is seen that
the company is a large scale company operating across various countries. The company is
targeting the real estate business to interchange business and it has successfully done that part.
The company is expanding and therefore it needs to consider the various aspects such as
marketing, promotion, strategies and promotions. The organization’s most significant
competitors are three companies who are in the similar field.. The report discussed regarding the
target market which is the real state companies and the builders. There are several data presented
that can be utilized by the company for the marketing purpose among which media is used
widely by the company. The company’s marking mix is also provided and analyzing that it can
be concluded that the company is well established and therefore needs to secure its position.

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References:
Baker, S. R., Bloom, N., & Davis, S. J. (2016). Measuring economic policy uncertainty. The
Quarterly Journal of Economics, 131(4), 1593-1636.
Boral, (2017), Boral annual report 2017, retrieved from:
https://www.boral.com/sites/corporate/files/media/field_document/Boral-Annual-Report-
2017.pdf
Charter, M., & Tischner, U. (2017). Sustainable product design. In Sustainable Solutions (pp.
118-138). Routledge.
Cherrier, H., & Gurrieri, L. (2013). Anti-consumption choices performed in a drinking culture:
normative struggles and repairs. Journal of Macromarketing, 33(3), 232-244.
Dunning, J. H. (2015). Reappraising the eclectic paradigm in an age of alliance capitalism. In
The Eclectic Paradigm (pp. 111-142). Palgrave Macmillan, London.
Elliott, B. W., & Pap, D. E. (2013). U.S. Patent No. 8,522,510. Washington, DC: U.S. Patent and
Trademark Office.
Franzen, A., & Vogl, D. (2013). Two decades of measuring environmental attitudes: A
comparative analysis of 33 countries. Global Environmental Change, 23(5), 1001-1008.
Mithas, S., Tafti, A., & Mitchell, W. (2013). How a Firm's Competitive Environment and Digital
Strategic Posture Influence Digital Business Strategy. Mis Quarterly, 37(2).