Primark

3530 WordsApr 28, 201615 Pages
Primark Case Study Contents: 1: Exclusive Summary 2: Brand Introduction 3: Task 1: Target Market 4: Task 2: Environmental Analysis 5: Task 3: Growth Strategies With Respect To 6: Task 5: Poster Design For Advertising Campaign 7: Task 7: Ethics 8: Appendix 9: Reference Exclusive Summary: This marketing report will provide an integrated marketing campaign for Primark to expand its businesses to Boston, the USA, and Milan, Italy. It will use relevant marketing theories and strategies, which may help Primark to reposition itself to be more competitive and successfully access the new markets. Introduction: Primark, which was founded in Ireland in June 1969, is a subsidiary of Associated British Foods. It has nearly 300 stores…show more content…
However, because of the increasing Value Added Tax in the UK (VAT rate rose from 17.5% to 20% in 2011), it is more difficult for Primark to keep its low price for customers (BBC News, 2011). In addition, Primark is one of Cambodia's biggest buyers. Because of worker demonstrations in Cambodia, Primark had to raise the minimum wage for clothes made, which will also increase its cost of production (Brignall, 2014). Moreover, In America (Primark's target market), labors also demanded that their minimum wage should be raised (McCarthy, 2016), which may increase Primark's labor costs. Economic factors: Because of the Eurozone crisis , people in Europe have less disposable money to spend on shopping. However, Primark can attract these customers who move from the up-market to the down-market in terms of its low price (Guardian, 2016). Moreover, recently, youth unemployment rate in most of the Europe countries are still high, especially in Spain, Primark's large market in Europe (The figure of Youth unemployment rate in EU is showed in Appendix 4), which may reduce Primark's revenue from 20 to 30 year olds (McCarthy, 2015). Social factors: People's lifestyle is changing. In recent years, more and more people prefer to shop online. Mintel (2015) demonstrated that approximately 70% of Americans would shop online regularly, especially in the 20-34 age group. In addition, recently,

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