&
Strategy
1. External environment
EXTERNAL MACRO
POLITICAL ENVIRONMENT
“Tied House’ system had been broken - the number of pubs which a brewer could operate has been limited”
- Companies have been forced to choose between brewing and retailing, which resulted in selling brewing operations or chains of public houses and hotels.
ECONOMIC ENVIRONMENT
“Supermarkets began selling drinks at loss-leader prices”
-Supermarkets become competitors to other pubs by selling drinks, particularly premium larger, at cheaper prices and encouraging customers to buy them.
SOCIAL ENVIRONMENT
“Government concern about binge drinking and anti-social behaviour”
-Pubs have bad publicity by binge drinking and the consequent anti-social behaviour of customers, especially in city centres, the busiest places.
TECHNOLOGICAL ENVIRONMENT
“Installed TV and sound systems in pubs”
-Majority of pubs have installed TV screens and sound systems, especially to show football matches.
EXTERNAL MICRO
CUSTOMERS
“Customers with families want to dine out together”
- Pubs now have a dedicated family area, which is restricted and limited to meal times only. Children are not allowed in the bar areas, which work good with the rest of customers.
LOCAL GOVERNMENT
“Change in smoking law”
-Smoking inside the buildings has been banned in whole industry. All pubs have to comply with law and they cannot have smoking areas inside their pubs. All smoking areas have to be outside the buildings.
INTERNAL AUDIT
HUMAN RESOURCE AUDIT
“Involvement and communication with managers and staff”
- JD Wetherspoon places great importance on listening to, acting on and receiving feedback from members of staff on all aspects of the business. All companies trying to motivate their staff to work by offering different benefits, providing training and meetings.
PHYSICAL RESOURCES AUDIT
“Size and location of premises”