Business Proposal - Center Parcs UK - Market Anaylsis - Essay Example

Reference can be made, for example, to the status of organic food market in UK, as compared with the relevant markets of Germany and France, for the years from 2006 to 2009 (Figure 1 below). Figure 1 – Organic food market in UK, from 2006 to 2009 (Padel 2011, p.4) In a report published in 2012 it is explained that organic food industry in UK has been reduced by an average percentage of 5.5% for the years from 2008 to 2013 (IBIS World 2012). It is also noted that among the supermarkets that provide to the public organic food, John Lewis has the first position and Sainsbury’s is positioned as second (IBIS World 2012).

At this point, it should be noted that the global organic food industry has achieved a significant growth in the international market; in 2010, the growth of the organic food industry internationally has reached a percentage of 8.8% (Soil Association 2012), in opposition with UK where the specific sector shows signs of continuous decline, as described above. 1.2. Competitor analysis Organic food market in UK is promoted through businesses of different types. . ce should be made here to the potential of consumers to buy organic foods of various types in street markets, in those regions that such option is available.

Figure 3 – Organic food market structure in UK (Source Organic Monitor 2009, p.18) On the other hand, it seems that the competition in the particular industry is rather strong; still, there is chance for new entrants. The major competitors in the UK organic food industry are presented in Figure 4, below. It is clear that there is space for new entrants, especially in regard to the indirect provision of organic food, as in the case of CenterParcs, a firm that aims to develop an organic food restaurant.

Figure 4 – Major competitors in the UK organic food industry (Organic Monitor 2009, p.19) 1.3. Consumers 1.3.1. Consumer behaviour The support of consumers in UK towards the organic food market seems to be rather instable. In 2008, as recession appeared, the sales of organic food started to decline (The Guardian 2008, in Padel 2011, p.6). In an extended survey published in the newspaper The Times one year after, i.e. in 2009, a similar trend was reported (Padel 2011, p.6). It was clear, up to then, that consumers in UK had started to re-examine the necessity and the value of organic food (Padel 2011, p.6). It should be noted though that for consumers the origin of organic food seems to be of critical importance; in a survey developed in 2009, 64% of participants stated that they prefer ‘organic products produced locally’ (Padel 2011, p.11), compared to those originated from another country.

According to the above findings, skepticism has been developed by consumers in the UK market in regard to organic food products. The firm that will manage to capture the actual consumer preferences in regard to consumer