The business our team has chosen to analysis, set up and create is a trendy jazz bar, located in the heart of Sydney. In order to analyse and build our establishment, we must research a variety of aspects that can harm or affect our business in any way. This involves researching our external environment such as the political/legal, economical, social and technological issues that are current in today’s world. They will all help us to determine our goals and objectives throughout the business activities.
It is essential that we conduct our PEST Analysis to ensure that our marketing plan is effective and successful. XTC management has researched these topics by using relevant articles from various media outlets.
One of the articles researched as a political and legal issue headlines “Regulations on energy drinks and alcohol tighten” May 13, 2010, by Australian Food News.
The article discusses the regulations on mixed energy and alcohol drinks served within the closing two hours of operation on weekends. The ban comes from WA Liquor Commission and could possibly extend Australia wide. A further investigation by The New South Wales Food Authority found energy drinks contained more than the standard amount of caffeine permitted by The Food Standards Code.
From this particular investigation, this is giving NSW Food Authority a probable cause to follow WA tightened regulations on energy drinks being served within the last few hours of operation on weekends. This will affect our business if these laws are introduced in NSW, by limiting our menu through government restrictions which in turn will lower our revenue. It will also put more restrictions and more reasons for people not to go out, as there are already too many rules and regulations. The Bar scene is becoming stricter and tighter by the day, which in the end will affect our business is some way. Less people will go out, due to violence caused by alcohol....