Faculty of Business and Law
Business and Management – Top Up
Module: SIM336 Strategic Management
Assignment Code: SIM336
Module Leader: Derek Harwood
Issue date: January 2014
Return date: Wednesday 7th May 2014 – 1pm Contribution to module assessment: 100%
First Name: Arthur
Word Total Count:
Student ID: 19907465744
Problematic: Why the Smartbox Company has several difficulties in some countries despite a resounding success in France in 2014?
Table of content:
V. Porter’s five forces
a) Bargaining power of customers
b) Bargaining power of suppliers
c) Threat of substitute products
d) Threat of new entrants
e) Competitive rivalry within an industry
VIII. Reference list
This report will answer to the problematic: why the Smartbox Company has several difficulties in some countries despite a resounding success in France in 2014? Firstly it will discover the company with a briefly presentation. We will then arrive to the PESTEL analysis who we will see the Macro environment of Smartbox company. Then the SWOT analysis will be used to grasp the forces and the limit of the company. Finally the Porters five forces will show the micro environment of the firm. Each analysis will help to find the source of the international development problem of Smartbox. The internationalisation of a company is vital if the firm want to improve its market and stay as a leader and not a follower. The end of this report will be consecrated to the recommendation that can solve the problematic.
Smartbox is a French brand specializing in gift boxes. The group, which started in France the concept of thematic gift box, already present in Belgium and the Netherlands presents itself as the leader in the leisure sector willing to offer in France. In 2012, Smartbox offers more than 80 gift boxes in five different thematic one (smartboxsmartbox, 2014) . Smartbox have 6500 partners and 11,000 businesses today in France (smartbox, 2014).In total, today announced that its Smartbox gift boxes are distributed in more than 3,000 outlets in France (smartbox, 2014). Smartbox has seven owned stores: four in Paris, one in Lyon, one in Marseille and one in Nice (smartbox, 2014). In 2003, Pierre- Edouard Stérin partners with Philippe Deneef, creator of Weekendesk Flemish entrepreneur to launch the concept of gift box in France, the Belgian franchise (Vaillant, 2010). He bought his franchise and business changed its name in September 2007 and became Smartbox. In 2009, Smartbox launches program satisfaction guarantee 100 % satisfied and offers online booking for its gift boxes stay on its website (Golla, 2009). In 2014, the brand is present in 13 countries worldwide.
III. PESTEL analyses:
To show where the major markets of the gift boxes are situated and can be establish, a PESTEL analysis is essential and will give an overview of the market. Political
Nearly all developed countries have a very stable government. European countries develop more and more each year common laws to harmonize the euro zone and help to the exchanges between each country. Smartbox take the advantage of this common politics to offer international services/products. The common politics of Europe is really useful for the company who want to improve their market to the international. The European Union represents 25% of world services exports it’s represent 640...
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