Business Culture and Strategy

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Business Culture and Strategy

Submitted by

Ma Yudian

(Candidate No.095512658)

International College

Central South University of Forestry and Technology

October 2010

contents

1. INTRODUCTION…………………………………………………………………….…..3

2.1 PESTEL……………………………………………………………………….…..3

2.2 SWOT analysis……………………………………………………………………4

2.3 How to conduct SWOT analysis…………………………………………….…….5

3.1 Organisation culture in JD Wetherspoon………………………………………….5

3.2 The type of culture that J D Wetherspoon has…………………………………….6

3.3 relationship between organizational culture and organizational behavior in J D Wetherspoon…………………………………………………………………………..7

3.4 different culture in company………………………………………………………7

4 Conclusion……………………………………………………………………….….8

5 REFERENCES…………………………………………………….………………..9

1.Introduction

The report is about the change in the external environment in JD wetherspoon. It analysis the PESTEL and SWOT of the J D Wetherspoon. It also analysis the relationship between organisational culture and organisational behavior in the JD wetherspoon. J D Wetherspoon plc was founded by Tim Martin who opened the first J D Wtherspoon pub in1979. It now has over 600 pubs, which means that it has expanded on average at the rate of about one new pub each week.

2.1 PESTEL

Social-cultural: J D Wetherspoon provide children’s cutlery with children’s meals to convenience children. Most pubs now have a dedicated family dining area where children and adults can eat together. The area is restricted and limited to meal times only. Children are not allowed in the bar areas and the company believe it does greatly alter the atmosphere of the

pubs.

Environmental: At least a quarter of the space in each establishment is non-smoking to protect customers’ health.

Technological: Each has a ventilation system (costing more than £100,000) which aims to ensure that customers do not leave smelling of smoke. J D Wetherspoon also have plasma screens and can show TV programmes to attract customers.

Economic: Tim Martin is a noted euro-sceptic and in 2002 printed 500,000 beer mats and put up 10,000‘save the pound’ posters to encourage customers to think about the issue while they drink. But union leaders and others condemned his actions. So that people who support Euro may not want to go to the J D Wetherspoon.

Political: From 2002 — 2004. There two other factors had an influence on the licensing trade. Firstly, supermarkets began selling drinks, particularly premium lager, at loss-leader prices. This makes it difficult for pubs to compete on price and encourages drinking at home. Secondly, there was increasing public and government concern about binge drinking and the consequent anti-social behaviour particularly in city centres. Pubs cannot be seen to be encouraging this state of affairs as it brings them bad publicity.

Legal: A ruling from the Monopolies and Mergers Commission broke the traditional link between the brewing companies and pubs known as the ‘tied house’ system which severely limited the number of pubs which brewer could operate.

2.2 SWOT analysis

Strengths Weaknesses

Large chain system The initial request for franchise stores is high for future

Good ventilation system Some club have no music or TV programmes

Comfortable environment

Good quality wine

Real ale beers at relatively low prices

Opportunities Threats

Purchase other pubs Ruling from MMC

Adapt to MMC’s rule quickly Supermarket begin sell drinks

Other pubs adapt‘tied house’

For Strengths: J D Wetherspoon became a plc in 1992 at which time it consisted of a chain of 44 pubs. Each has a ventilation system (costing more than £100,000) which aims to ensure that customers do not leave smelling of smoke. Real ale beers at relatively low prices, good quality wine and comfortable environment will attract more customers.

For Weaknesses: In2002, J D Wetherspoon pubs did not...
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