II. ANALYSIS OF EXTERNAL ENVIRONMENT
Julie’s Bakeshop are subject to regulation under a wide variety of laws, regulations and policies and any resulting changes could impose new restrictions, costs or prohibitions on their current practices and reduce their profits. ECONOMIC
Because of increasing prices of raw materials and agricultural products used by Julie’s Bakeshop like flour and sugar, the price of the products that they offer may also increase. In connection with that, the demand for their product may also decline. SOCIAL
Because of the increasing number of potential customers due to continuous growth of population in the Philippines, the demand for their products may increase. And also, people nowadays are more health conscious. Instead of eating rice, they prefer to eat bread for their diet. As a result of that, Julie’s customers may increase. TECHNOLOGY
Due to technological advancement, there are many baking tools and equipments that will help enhance or speed up their production. ENVIRONMENTAL
The world is facing climate change which has great effect on the destruction of agricultural products. If this continues, it may affect the supply of raw materials that Julie’s Bakeshop use because the main ingredient of bread is flour which as we all know is an agricultural product. LEGAL
The change in health and safety law, consumer law, and food and sanitation law may affect Julie’s operation, its costs, and the demand for its products.
Our objective is to help Julie’s Bakeshop achieve its vision to be an ever expanding bakeshop in the Philippines through analysis of its internal and external environment and identifying company’s different areas of external opportunities.
Our group also wants to develop a strategy that will help Julie’s bakeshop retain its competitive advantage as one of the strongest bakeshop brand and largest bakeshop chain in the Philippines despite of growing numbers of its competitors because of...
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