Essay about Bunnings Market Analysis
The purpose of this report is to analyse the Australia’s leading hardware store Bunnings in terms of their marketing strategies. The research methodology is based on qualitative research based on secondary sources of information (PESTEL). This helps analyse the marketing strategy and tricks in the Bunnings .The research is based on credible and academic sources which help understand how marketing strategies and tricks benefit Bunnings to obtain economies of scale, Identify market trend and market segmentation. A comparison of marketing plans and identifies the strength and weakness of Bunnings through market matrix. 5 porter forces would help to identify the Bunning position in the market and recommendation for new …show more content…
The Australian political can affect the industry trends. For example, every industry has a safety benchmark and if this benchmark changed, Bunnings had to be actively responded for these changes. Bunnings is responsible for Product Safety Australia (PSA) regulate the household home appliances and hardware industry giving by Australian Competition & Consumer Commission (ACCC) and if Bunnings breach safety standards, it can impact the company brand, reputation and also the profit at the end (PSA, 2013).
Like any other business, the main agenda at Bunnings is making profits. The economic conditions that are within the external environment have an enormous impact on the operations of the company. The GFC and Euro zone crisis placed immeasurable doubt on consumer confidence in respect to spending. Irrespective of the continued interest rates cuts, consumers have a higher propensity to save, unlike stimulating the economy by spending (Pettinger, 2004). Similarly, the strengthening Australian dollar has proved a threat to the sectors that do not engage mining in the Australian industry. However, Bunnings’ position towards a dynamic cost leadership approach enables the company to adhere to the