Analysis of Superquinn
Introduction Superquinn is an Irish supermarket brand; it was founded in 1960 in Dundalk by Feargal Quinn. Since 1960, Superquinn has been running successfully, they began a progression that has led to Superquinn owning nineteen large shops and nine shopping centers with 5600 employees. Superquinn estimated annual sales about $700 million. ... Superquinn has built itself the reputation for innovation. ... Superquinn is dedicated to the highest standards of customer service. ... Superquinn is recognised throughout Ireland as a company that understands and responds to the customer. Superquinn does grow up very quickly, but its size is still relatively small compare to one of its fiercest competitor, the British supermarket chain Tesco, which has $ 30 billion annual revenue. ... Let’s take the PEST analysis for each factor of Superquinn. ... 5% tax on the large companies including Superquinn, at this moment the rate is quite low, therefore it is a good thing for Superquinn’s growth, and it can invest with little worries and count its profit after tax with less pain. ... Superquinn sold 200000 reusable bags in the first week of levy and all the bags with Superquinn’s name on it, so when people do the shopping with the bag it is actually a free advertising. Economic factors Firstly, transportation costs can be kept low, since Superquinn delivers only within Ireland, which means there is less tariff to pay. ... Superquinn also laid off staff in some stage. ... People’s real income dropped, that leads the sales of all business dropped, including Superquinn. Those economy factors are not good news for any firms, Superquinn sells mainly necessity goods such as food and commodities, and so it suffers less than any other types of business. ... Superquinn call these people ‘CTT customers’ (can’t cook, too tried, and have no time). This is a quite big potential market and Superquinn they offer the best service for these customers is suitable services: what they want, when they want it, how they want it. For example Superquinn have developed a variety of meal solutions for those customers, reduced the maximum waiting time at checkout point to 60 seconds. Superquinn also have developed online shopping. Technology factors Firstly, since 1998 Superquinn has started use the DNA-tracing technology to test the animals. Superquinn did get the benefit of using the new technology. For example, in the mildest of Europe’ (mad-cow disease) scare and its foot-and-mouth crisis, Superquinn’s sales of beef have experienced double-digit increase. Superquinn operated on-line shopping, there are one million people using internet in Ireland and this number rises every day, it shows shopping on-line would be a huge potential market, it is also suits people’s needs of saving time. The external environment is not only PEST analysis but also an external analysis involves scanning and evaluating various sectors outside the organization to identify positive and negative trends that may affect its performance.