Assignment1 Case Study
When conducting organizational analysis, it is important to consider different forces that affect the organization’s overall performance level. According to Wilson et al. (2013), forces that affect the performance of an organization can be classified into different categories that include technological forces, economic forces, market forces, sociological forces, legal forces, and moral/ethical forces. Technological forces impact almost everything in an organization including product development process and methods through which various products reach to potential consumers. One of the ways of addressing the technological forces is tracking them and establishing their likely impact. Market forces refers to the forces that affect the demand, supply, and price of products. To address these forces, an organization is required to monitor and assess unmet customer needs and new competitors. It is also important to monitor acquisitions and mergers that are likely to strengthen other industry players. Sociological factors drive what customers buy and the method of buying. With the recent technological advancements, a considerable number of consumers prefer reading reviews online before making a final decision to buy a given product. Legal forces, for example local, state, and national regulations and laws affect major decisions of an organization including where the business should set it operations, how employees should be compensated, and the measures that should be put in place to guarantee employee safety. Although some regulations are costly, ignoring them can make a business to incur more costs. Making the necessary adjustments in line with the existing laws and regulations is one way in which a business can address the consequences of ethical forces. Lastly, ethical/moral forces are addressed by ensuring that an organization operates beyond reproach so that customers hold it with the highest regard. This paper provides a comprehensive organizational analysis of SportDirect UK. Specifically, the paper identifies the major strategic forces that have affected the organization over the last two to three years. The analysis includes a discussion of the strategy pursued by SportsDirect UK, and provides suggestions on how the company needs to evolve in the future.
SportsDirect is amongst the leading sporting goods retailers in the UK. The company was established in the year 1982 and deals in a wide range of sports, fashion, fitness brands in the UK and other locations in the U.S., Asia, and Europe. The company aspire to be the leading lifestyle and sports retailer globally and to realize a considerable and sustainable level of growth for its shareholders both in the short-term and long-term. The strategy of SportsDirect involves investing in people and brand partners as it seeks to elevate its retail proposition and consequently acquire new excellence levels across its multi-sport offering. The company offers a complete multi-channel retail approach throughout UK as well as in other locations across the world. With close to thirty thousand employees, SportsDirect is able to serve many customers and collaborate with different partners as part of the effort to promote the company’s brand (SportsDirect.com, 2017).
Major strategic forces that have impacted on Sports Direct over the last 2 – 3 years
Although Sports direct is impacted by many forces, the company is mainly affected by the political, economic, s...