“There are many factors in the macro-environment that will affect the decisions of the managers of any organization. Tax changes, new laws, trade barriers, demographic change and government policy changes are all examples of macro change. The model PESTEL is often used to describe macro environmental analysis.”
To help analyse these factors, managers can categorize them usingthe PESTEL model. This classification distinguishes between:
* Political Factor: Governmental stability, relations and opening of the market towards the international. The Irish government provides incentives and grants for businesses to be more energy efficient.
* Economic factors: Currently, the economic situation in Ireland is not good, some factors can Influence the market: like theunemployment, the taxation and inflation. Given the current economic climate, costs such as labour, acquisition of a premises and equipment would be quite low.
* Social factors: Chocolate Bar is usually associated with positive things, such as happiness and having a good time. One could state chocolate bar is socially relevant because of the sympathy thoughts. But also chocolate bar can beseen as a product not good for weight-especially for kids.
* Technological factors: Technology is one of the key factors to succeed. Customers are demanding more functional products. They want the product to be beneficial to their health. Therefore we want to create a chocolate bar which tastes good and is not bad for the health. That’s why we put natural ingredients in ourproduct. What allows differentiates ourselves from our competitors is the fact that our product is really “natural” (natural source, no artificial colours or flavours).
* Environmental factors: There is not specific time or periods for this product, Seasonality and weather don’t influence the demand. And we apply new ecological challenges for our product: decline of the consumption ofenergy. We also seek, in corporation with the government, for some kind of eco-tax.
* Legal factors: Respect for the labor law and the safety standards. Hardening of the laws on the environment.
The market for chocolate bars is highly competitive. There are a small number of large firms in the industry - Mars, Cadbury, Nestlé and Suchard being the most well known. Many ofthe brands in the market have been in existence for a long time and have a high amount of brand loyalty. Openings for new products therefore are limited. There are many examples of products that have been launched and which have been withdrawn because they could not sustain long-term sales success.
The market for certain types of chocolate bar has changed in recent years. The growth of the so -called 'count-line bar' (shaped like Mars bars) became popular as people ate chocolate on the go as opposed to sitting down in a room with a traditional bar of chocolate. Companies had to respond to these changes. Rowntree (now owned by Nestlé) changed the shape of their Aero bar and Cadbury brought out a rival bar called Wispa. Both of these were designed to exploit this growing market.
Themarket is still changing but using chocolate as a snack as opposed to sharing a bar amongst a family or giving chocolate as a gift is still a growing part of that market.
Cadbury Schweppes (http://www.cadburyschweppes.com/EN/Brands/)
Web 2.0 and social network campaign:
Currently, a new type of media have been create,the Web 2.0 : “ The second generation of the World Wide Web which focus heavily on ser-generarated content, communities, networking and social interaction “
Web 2.0 is a system in which online users become participants rather than mere viewers. It has become obvious that the internet is one of the greatest communication mediums in the world, thus for this project we will use these new “media”....