Macro-Environmental Factors. 1. Political Factors. There

1108 WordsMay 11, 20175 Pages
Macro-environmental factors 1. Political factors There have been significant changes in the political and legal atmosphere in the last five years that will affect the operations of retailers in the industry (Plunkett, 2008). The federal government developed the Australian Competition and Consumer Commission’s (ACCC), which is regulating the industry (Tootill, 2012.). The ACCC introduces a variety of policy changes that will open industry competition. These legislative reforms, including taxation and regulatory environment, are factors that should be taken into account when developing strategies. 2. Demographic factors Australia 's population grew by about 1.8% in 2012 and most people live in urban areas. The high density population…show more content…
It also highlights the threat to the Coles supermarket, the farmer market and the niche supermarkets specializing in organic and healthy products will flourish. There are more and more consumers in the Australian market. The market for consumers "time to facilitate" the growing demand. Satisfying and satisfying the time-sensitive customer 's ability to extend the trading hours is likely. Coles supermarkets can also provide customers with more convenience by extending the range of products to customers. Coles Supermarkets meets the needs of these customers by creating Coles Express. 5. Economic Factors The current trend in the economic climate has resulted in the reduction of consumers purchasing powers. The most adversely affected goods are the flexible goods; consumers are shifting into private labels in order to save costs (Hattersley, 2013). This allows private labels to compete on a lower price basis while earning huge profits. The private label provisions of the Coles Supermarket will enable the supermarket to compete on the basis of a choice of convenience, providing customers with a low-cost option. 6. Global environment Changes in the global business environment happen quickly, meaning that companies must continue to adapt to these changes. Globalisation has brought about the free movement of people and goods in the world
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