Uk Organic Food
Contents
1. Introduction 2
1.1 Why this industry was chosen for analysis 2
1.2 Aim 2
1.3 Brief Background of the organic food producing industry 2
1.4 Competitive environment? 3
2. PESTEL analysis 5
2.1 Political factors 5
2.2 Economic factors 6
2.3 Socio-cultural factors 7
2.4 Technological factors 8
2.5 Environmental factors 9
2.6 Legal factors 10
3. Porter’s Five Forces analysis 12
3.1 Threat of new entrants 12
3.2 Threat of substitute products 14
3.3 Threat of established rivals 14
3.4 Bargaining power of suppliers 16
3.5 Bargaining power of buyers 16
4. Conclusion 18
4.1 The industry at present 18
4.2 Future changes 19
5. Appendices 20 5.1 Critique of tools and research limitations 20 5.1.1 PESTEL framework 20 5.1.2 Porter’s Five Forces 20
6. References 22
1. INTRODUCTION
1.1 Why this industry was chosen for analysis
The chosen industry for analysis in this report is the organic food producing industry in the United Kingdom. This encompasses groups of firms that produce similar products, in this case, organic food produce. In recent years, there has been a heightened awareness in the media in relation to organically produced food, and a great emphasis has been placed on ‘healthier eating’ and a reduction in the production of genetically modified food. As this awareness increases, it is important to analyse the industry in order to assess whether the industry is favourable to exist in, and to ascertain whether it is likely that it will be penetrated by new competitors. Another reason for choosing to examine this particular industry is due to the lack of an updated Mintel report, or a similar financial report, especially since there has been so much extra attention being placed on this industry of late in the media.
In order to get a better picture about the macro- and micro-environment in relation to the UK organic food producing industry, frameworks will be used in order to analyse information about the
1. Introduction 2
1.1 Why this industry was chosen for analysis 2
1.2 Aim 2
1.3 Brief Background of the organic food producing industry 2
1.4 Competitive environment? 3
2. PESTEL analysis 5
2.1 Political factors 5
2.2 Economic factors 6
2.3 Socio-cultural factors 7
2.4 Technological factors 8
2.5 Environmental factors 9
2.6 Legal factors 10
3. Porter’s Five Forces analysis 12
3.1 Threat of new entrants 12
3.2 Threat of substitute products 14
3.3 Threat of established rivals 14
3.4 Bargaining power of suppliers 16
3.5 Bargaining power of buyers 16
4. Conclusion 18
4.1 The industry at present 18
4.2 Future changes 19
5. Appendices 20 5.1 Critique of tools and research limitations 20 5.1.1 PESTEL framework 20 5.1.2 Porter’s Five Forces 20
6. References 22
1. INTRODUCTION
1.1 Why this industry was chosen for analysis
The chosen industry for analysis in this report is the organic food producing industry in the United Kingdom. This encompasses groups of firms that produce similar products, in this case, organic food produce. In recent years, there has been a heightened awareness in the media in relation to organically produced food, and a great emphasis has been placed on ‘healthier eating’ and a reduction in the production of genetically modified food. As this awareness increases, it is important to analyse the industry in order to assess whether the industry is favourable to exist in, and to ascertain whether it is likely that it will be penetrated by new competitors. Another reason for choosing to examine this particular industry is due to the lack of an updated Mintel report, or a similar financial report, especially since there has been so much extra attention being placed on this industry of late in the media.
In order to get a better picture about the macro- and micro-environment in relation to the UK organic food producing industry, frameworks will be used in order to analyse information about the