ALBERT OLUMORIN
Student No: 15020231
MODULE: MANAGEMENT PRINCIPLES
MG6111
ASSIGNMENT 1
Table of Contents 1.1 INTRODUCTION 1 1.1.1 An Overview of Paddy Power 1 2.1 MACRO (IPESTEL) 2 2.1.1 International 2 2.1.1a Expansion into Australia 2 2.1.1b Business-to-Business (B2B) Venture 3 2.1.2 Political/Legal 3 2.1.2a Offensive Ad 3 2.1.2b Under-age Bet 4 2.1.2c Rob Keane’s Lawsuit 4 2.1.3 Economical 5 2.1.3a Global Economic Downturn 5 2.1.3b Foreign Exchange Rate 5 2.1.4 Socio-Culture 5 2.1.4.a Responsible Gambling 5 2.1.4b Sports and Social 6 2.1.4c Health and Safety Policy 6 2.1.4d Publicity stunts 6 2.1.5 Technology 7 2.1.5a Mobile Betting 7 2.1.5b Acquisition Cayetano 8 2.1.5c Marketing Strategy 8 2.1.6
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I guess they do care for their customers.
2.1 MACRO (IPESTEL)
IPESTEL: International, Political, Economical, Social Culture, Technology, Environmental and Legal. In this section, we will consider the external environmental analysis based around the factors in relevance with Paddy Powers.
2.1.1 International
A process by which businesses develop international influence or start operating on an international scale is known as globalization. Organizations today see globalization as an important step towards growth and Paddy Powers has done just that e.g. the expansion to Australia, B2B venture and so on.
2.1.1a Expansion into Australia
Australia was the company’s first stop; in 2009 51% of the company’s online stake in online bookmaking was brought into Australia as sportsbet.com.au (Paddy Power, 2015). By 2010, the rest of the shares were brought in (Paddy Power, 2015).
2.1.1b Business-to-Business (B2B) Venture
Paddy Power established partnership overseas. The company shared its technology with partners overseas as a B2B venture. Although the point can be considered as a technological factor, it would be seen more as an international factor for this case study.
The first B2B partnership in 2009 was in France, with Europe’s largest betting company PMU (Paddy Power, 2015). Paddy Power provided the French horse racing pools operator, PMU with sports pricing and risk
The greater vision of the Sportsbet company, is to make them a betting and gaming business that is world class, and that can be trusted by its customers, colleagues, and partners. They ensure that the company is passionate towards their customers, and their customers are at the heart of all the things they do. They also consider that the working environment is exciting for the employees of the company, by conducting regular activities and events for staff (Glassdoor, Inc, 2017). Sportsbet is currently leading in innovation associated with online gambling. However, in the hands of Simon Noonan (Chief Information Officer), and his team, the Sportsbet team are working on a future vision to improve the technologies, focused towards customer mobile experiences (Sadaukas, 2015).
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