Save Money Britains Macroenvironment - Coursework Example

Running head: save money britain’s macroenvironment 27th April Executive summary Save Britain Money (SBM) is a registered company based in Wales. Neville Wilshire, the CEO and the founder of Save Britain Money, has adopted various strategies in order to ensure that the company achieves its objectives. Politically, the company ensures that during its acquisition strategies, it is in line with the government regulations. The economic factors include providing excellent money saving services. During the recent global economic downturn, SBM services were highly demanded. Socially, the company ensures that it visits its customers in their homes and trains them on how to use their services. Save Britain Money adopts various aspects of technology in order to ensure that it remain competitive in the market. For example, the company emulates Green Deal, an innovation that allows consumers to improve the company services without incurring upfront costs. In order to remain competitive, this paper provides three major recommendations to SBM. These include establishing research centers in various locations, more promotion and advertisement as well as expanding the use e-marketing. Introduction As the competition becomes stiff in the local and international markets, firms have embarked on using microenvironment as well as macroenvironment factors in order to remain competitive. Examples of microenvironment factors include employees, managers, suppliers and debtors among others. On the other hand, macroenvironemt factors include government, economic and social factors as well as technology. One of the companies that are significantly influenced in its performance by external factors is Save Britain Money (SBM). This paper aims at undertaking the PEST analysis of Save Britain Money. PEST Analysis Political Save Britain Money is a registered Welsh Company whose responsibility is to provide the services of saving money for the UK residents. Having being founded by Neville Wilshire, the company provides services that are in line with the government policies to curb carbon emissions. For example, SBM provides services such as energy efficiency surveys, on-line fuel switching and renewable energy advice among others (Fast Growth 50, 2013). In order to ensure that the company achieves its expansion objective, it emulates the culture of acquiring other companies in the industry. This is done by ensuring that the government acquisitions laws are complied with as well as following the wishes of the shareholders. Save Britain Money was formed in response to the Welsh Government efforts to provide the householders with grants that were aimed at improving energy efficiency in their homes (The Sunday Times 100 Best Companies, 2013). Economy Save Britain Money aims at providing excellent money saving services in order to improve household incomes as well the national economy. In order to ensure that the company obtains adequate revenue to achieve its goals, the company has diversified its product portfolio to provide services such as energy efficiency surveys, mis-sold payment claims, debt management services and renewable energy advice among others (Hochbaum, 2011). Due to 2007-2008 economic recession, SBM services were highly demanded since it was the time that more households were seeking for more income that could be achieved through savings. Based on the increased savings without associated costs to the individuals, the company has been able to experience a sustainable growth. Social Save Britain Money achievement have also been as the result of social aspects that the company has adopted. For example, the NES surveyors visit the customers in their homes and advice them on the various improvement strategies that can be done on services provided by the company (Gentle, 2012). Additionally, the company maintains an active work force whose majority are less than 34 years. In this way, the staffs are energetic to undertake the company activities. As compared to other organizations, the employees are fairly treated including high compensation. The strong relationship between the employees and the management has also contributed to the success of the company (Li and Bernoff, 2008). For example, through the “tell the CEO” initiative, the employees can freely intermingle with the chief executive officer and provide their views on the company operations (Lardi and Fuchs, 2013). The staffs are also provided with opportunities where they practice their skills thus developing themselves. The social contact between the company and the 15,000 households has also contributed to the high demand of the company products resulting to increase in the customer savings (Mary, 2010). Technology SBM emulates technology in order to provide services that meet the needs of its customers. For example, in 2013, the company launched Green Deal, an innovation that allows the householders to make energy savings or improvement of the company services without upfront costs (Teich, 2008). Such innovation has contributed to the provision of quality services by the company. Another innovation is the establishment of price comparison site that will allow SBM customers are aware of the prices of the company brands (Kotler and Philip, 2009). In order for SBM to remain competitive, it needs to adapt more strategies to curd carbon emissions. In the contemporary world, governments have put various regulations to reduce the amount of carbon in the atmosphere (Rhodes, 2000). Thus, SBM should produce brands that are in line with government carbon laws. In the economic aspect of PEST, SBM should undertake a market research in order to identify the purchasing power of their consumers (Stolley, 2013). In this way, the company will produce brands that will take into consideration the consumer’s income level. The company should also aim at households with average income as well as young families (Kremer.1993). This is based on the fact that such consumers have high propensity to consumers thus they will highly demand the company products. Technologically, SBM should focus at adopting modern technology such as social media including face book and twitter to communicate with its customers locally (Andreas and Haenlein, 2010). In this way, the consumers will have opportunity to provide feedback on the quality and effectiveness of the company products. Recommendations SBM should establish research centers in various locations to ensure that it produces products that are in line with the needs of local communities. Based on the stiff competition that is being experienced in the banking sector, SBM is exposed to stiff competition that requires that it comes up with quality brands and more services in order to effectively face off the competitors. Thus, the research centers will be appropriate for the company. More promotion and advertisement should be done for example through sponsoring social events locally in order to create strong customers awareness (Kerin, 2012). For example, the company should adopt the culture of sponsoring local football matches. In this way, it will ensure that the fans as well as the players become aware of the services being offered by SBM. SBM should also expand the use e-marketing including creating groups in the social sites. In this way, it will create a strong positive customer brand relationship leading to high sales (Wellman, 2012). In the contemporary business world, firms have embarked on the use of e-marketing in order to remain competitive. Save Britain Money should therefore ensure that it emulates e-marketing for instance through the use of face book and twitter in order to create strong awareness in the Britain market. Conclusion Based on the above discussion, it is clear that the macroenvironment factors including political, economic, social and technological factors have positive impact on the operations of Save Britain Money. Based on strong relationship the company has with its customers, it should ensure that it continues to operate in line with government policies while at the same time creating quality brands in order to remain competitive. The company should also expand its marketing strategies in order to create strong customer awareness. References Andreas, M and Haenlein M. 2010. Users of the world, unite! The challenges and opportunities of social media. Business Horizons 53 (1). Fast Growth 50. 2013. [Online]. 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