Business strategy means the company sets out a strategy for achieving a goal of the organization. It is also known as long term business planning and it covers more than 3 to 5 years. The present report is based on Primark organization, it is as Irish clothing retail operating it bossiness in Austria. It offers a diverse range of products in which it includes beauty products, kid's clothing and menswear. The present report covers, environmental audit for the organization is analysed. Along with this, the role and responsibilities of personnel who are charged with strategy is assessed. Apart form that, the contribution of SMART targets tot eh achievements of implement
Primark is a multinational company that deal in fashion in European countries like in Austria, UK, Ireland, German, etc. Business strategy is very crucial for accomplish the objectives of the corporation, it is provide the framework to the manager to implement the planning and policy of the organisation. Strategy assist to increase the efficiency of the employees by successfully apply the procedure of the task.
Strategic planning: It is processed through which organisation formulate the plan or the framework to achievement of the business goals or win market competitions. It provides the information to the business manager about the present position and the future opportunity of the business.
Vision: It is define as the long term aim of the organisation it concern what the corporation need and where it can be achieve for the company like Primark. Mostly visions are made for long term success of the business by applying the appropriate functional strategies of the firm.
Mission: It is primary purpose of the business or the organisation. Mission provide reason why a enterprise is stay in that particular segment of trade for Primark the mission of the company is gain advantage of the market by providing the desire of the customer in fashion segment. Mission assist to employee of the organisation to perform their assign task to achieve the organisation's objective.
Objective and goals: Mostly people are thought that these both are same but in the reality this two are quietly different form each other. Goals refer the desire of the human or an organisation it is the ultimate stage of business for the example a company goals to reach the highest-ranked in the market of a particular market segment of the goods or services while the objectives refers as the progress of the achievement of the goals of the business. It measures of the accomplishment of the goals of the organisation on step by step.
Core competencies: It is the primary element of organisational success, it provides the competitive business climate on the other revelry firm in the market. It stimulate to the company to enter in the new market through expanding it business operation in more region of the nation and foreign demography. For example an fashion manufacturer the core competence of the organisation will be obtaining of the raw material, production of the goods and its distribution sources will be include in it. Primark company, objective, mission and vision are interlinked with each other which help in informing strategy planning. Its missions to gain competitive advantage by satisfying the customer for this purpose it need to focus on strategy for fulfilling its company vision.
Strategic planning is a wider term in the business has to work for its future growth. If the trade operations are made for the development of the business entity it is essential to take care of all those elements which can affect the business and its future growth. Thus, it can be said that the strategic planning a wider term and it directly related with the future suitability of the entity and it is very important to take care of all those elements which are going to affect this strategy. The essential elements which are to be kept in mind while making the strategic planning are described as under:
Engagement: Strategic planning is a process not an event. So the essential element of this planning is to engage all the staff members in formulating and implementing of the plans. It is very important to have the involvement of the workers in making the strategic plan. This can provide the insight on the issues related with the plans and procedures.
Communication: Strategic planning is the process in it the interaction can be made with the employees so that they can provide their valuable suggestions to the management. So it can be said that the strategic planning is a long term process and in it the communication of all the relevant materials and data is necessarily to be communicated with all the staff members. By this the employees will be able to have a knowledge of all those elements which are related with the strategic planning so that the process can be made in the most effective way.
Innovation: It is the another most important factor which can affect the strategic planning. In it, the new technologies of the plan are made and implemented. It is very important for the development of the business to take care of all latest technologies and advancements which are going to take place in the market so that these all trends can be used in formulating strategic plan.
Project Management: it is the another most important factor, in it the employees of the company make the various strategies to obtain the desired goals. The management of the entity must be effective so that the actions can be taken in the most efficient way. To have the better management the company can provide the training to the staff members so that they will be able to create a good culture and environment. By this all the activities related with the strategic plan will be done and completed in the most efficient way.
Culture: strategic planning is related to the tools and techniques which can be adopted in the business. The culture of the business is made by the employees sop it is very important for the company to have the best talent in the entity so that the good and healthy culture can be made and the desired goals can be achieved.
Strategic planning is the most important factor which is to be made by the management of the company. If the planning is made in the most efefct6ive way then all the tasks can be done in the most effective way. This is a long term approach and in it the role of other factors and techniques is very high. If the employees will be trained properly then thy will be able to perform better in providing the best services to the entity. The plan is relay ion its making and the tools which can affect its business positions. Along with the employees there are some another factors which can affect the strategic planning these are the communication level and innovative tools. It is very important for the company to use the effective and innovative tools and techniques in formulating the strategic plan and this can be done paying attention on the factors which are related with the strategic planning process.
The business is relied upon the various elements of the plan and its implementation process. If the factors are used in the most effective way then the business can grow faster. Primark is a fashionable garments company it is very important for the company to take care of all those elements which can tale place in the business while operating trade activities. Along with this there are some other tools which are having vital role in making the strategic plan these are the marketing strategies the role of the governmental, policies and the regulatory authorises. The management of the planning process is also having a great role in making and implementing it in a most effective way and this can be done by taking care of the role sand responsibilities of the employees of the company. Thus, it can be said that strategic planning is made for the success and development of the business and it is very important for the company to formulate the plan in such a manner that it can sustain in long run.
BCG matrix is known as the four celled matrix and it is based on observation in which company unit can be classified in different categories. This all are based on the market share and growth. This Market growth is knows as the agent for attractiveness of industry on the other side market share as proxy for competitive advantage which are as follows:
- Star: This shows that in growing industry Primark have large market share. Therefore, firm can easily earn income from the market. On the other side it is growing fast so, it need to have huge investment to maintain and to survive in competitive market.
- Cash cow: It represents the mature and slow growing industry which means Primark have large number of market share. Therefore, less or no investment is needed by the firm and it can easily earn cash. This can be utilised for the investment in other business projects.
- Question marks: Question mark which show that there is less relative market share and it can be located in a high growth rate. Primark can adopt expansion strategy if they have enough market share as compare to its competitors.
- Dogs: This show low growth rate of the company and low market share. This cannot be earn huge cash and their cannot be have huge amount of cash for investment. Further it there is low market share then Primark may face issues related to cost disadvantage.
This BCG matrix us useful for the organisation. It shows that in development of strategic business plan effectiveness of BCG matrix is that this matrix help Primark manager to evaluate balance in company current portfolio of star, question mark, cash cow and dogs. Further this model is simple and easy to understand. It helps in manufacturing new product and sell at low enough price for gaining market share.
The evaluation of SWOT analysis shows that the effectiveness of SWOT analysis is that it helps Primark company in understanding its weakness and threat.
SWOT analysis of the Primark company
- Primark have more then 50000 thousand employee all over the world.
- It have a extensive range of cloths for men and women.
- It focus on mouth to mouth advertising so there is no advertising cost.
- It have a strong presence across the Europe and more then 300 stores.
- There is slow economic growth which lead to down the profit of company.
- There is poor working conditions which is big issue for the Primark.
- It does not advertise to products which give other competitor a great advantage.
- Primark have a great opportunity to create online presence.
- Sportswear is the fastest growing segment of primark which help in increasing a profit of the company
- It has an opportunity to open more stores in a different country.
- There is no presence in emerging market.
- It has many competitor which are selling same products at reasonable price.
Porters five forces for Primark
Threat of new entrants: (Low)
- The risk arises from the entry of new entrants is very low
- High cost of set-up the business reduces the number of new entrants
Power of the supplier: (Low)
- There is no single supplier for the products
- Less bargaining power of the supplier
Power of the buyer: (High)
- Fierce competition leads to increase the power of buyer
- No switching cost
Competitive rivalry: (Moderate)
- The competitive rivalry is low as only few price retailers are there with same range of products
Threat of the substitute: (Moderate)
- It is low because amount of low price retailers is not much
Further it also shows opportunities for expanding its business. Further the effectiveness of PESTLE analysis is that it help in identifying macro factor which affecting a business environment.
- Strenght- Primark has an amazing growth and profitbility graph in the past years. The company haas 160+ stores and large numbers of employees and offers greater job opportunities. They offer there product and services in the lower price.
- Weakness- Primark lack in the online stores. As Primark does not advertise they have a bad effect or negative impact on the market condition even from the compititors side of view. They have poor conditions of enviroment of working. Primark do not follow the rules and regulations appropritely which may create the bad flow of outcome.
- Opportunity- Primark is opening the new stores in the US market. In the competative market with the no or little advertising its growing market and stores over the many places like UK ansd Spain.
- Threats- Increasing competitors with the growing market. Have a good profit and financial strenghts. It can have effect in the level of the marketing or profit because of the growing competition in the market.
Porter's 5 force model:
- Competitive rivalry- To be very keen and examine the current on going market situation and competition. The appropriate and powerful leaders have to be appoint. To see the marketplace and competitors.
- Bargaining power of suppliers- As there are many competitors in the market so there are many options available for the suppliers to switch over the company as relevant to them and suitable to them. If the company have more suppliers then the compny have better position in the market.
- Bargaining power of customers- This the very powerful tool in the hands of the customer as they have many options lying in the path for them. They can look and buy over other company product and services which are of may be low price as compare to the Primark.
- Threat of new entrants- As there is less effects from the new entrants in the company because already there are company running in the market which have more goodwill and position in the market.
- Threats of substitute product or services- In today's changing enviroment the taste and prefrences of the peope keep on changing so Primark should look after there competitors and market force how and what kind of processes are being followed. The design, packing, quality and style of the product sholud be taken care of. There should be a change for the people so it keep on attracting them any how.
Strategic position is the situation in which the organisation makes its value and create the policies to defeat the rivalries. Strategic position of the company can be divided in to two parts such as one is premium price and the next is lower cost of the entity. Primark is the UK based entity and it is operating its business activities in the filed of the fashionable garments and clothing entity. The company has the motive to sustain in long run and this can be done by using he strategies of handling the business situations. The corporate can provide the services as per the needs and demand of the customers. So the company has to pay attention on its various elements which are to be opted while carrying the trade operations. It should work in such manner that at a lower cost it can meet the expectations of the customers and by this the sales of the entity can be increased. This can lead the entity to defeat its rivalries as well. So the management of the company must work for the development of the business. So it can be said that the entity has to work for the development of the trade activities and the personnel departments. By this it will be able to manage its identity and existence for the long run. Thus, strategic position of the company reflects the desired future position of the business in the upcoming years. So the corporation must make its existence in such manner that it can be able to sustain in the long run as well.
Organisational audit is a wider concept in it the internal and external environment analysis of the business is done. As fare as the internal analysis is considered in the SWOT evaluation of the business strategies is done. And tin the external analysis the PESTEL analysis can be conducted. So by doing the study if the internal and external analysis the business will be bale to address the issues of the tare operations. Organisational audit is a wider term in the impact of the regulatory, governing, political and legal regulations on the business is evaluated. And this will be enable the entity to address the issues related with the trade operations. The purpose of the audit is to evaluate the problems which can occur in the business so that it can be ensured that the company is operating its activities properly or not.
Pestle analysis for the Primark company are as follow
Political factor: There are many political factors that affect the Primark company. Government made rules and regulation which affects the organization activity. Further company need to follow those rule such as health and safety act, data protection act. Etc, this all affect the activity of the organization.
Economical factor: There are many economic factor such as at the time of rescission company is facing a problem loss because buying power of the customers decrease. So Primark sale its product to Customer at discount price. By offering product in offer and discount price help in maintaining a profit of the company.
Social factor: Customer taste and preference change with the changing lifestyle (Goetsch and Davis, 2014). They want something new every time so company need to more product according to the needs and demand of the customers. It help company in increasing the sales.
Technological factors: There are new technology come in market which primark need to adopt so that they can make more innovative products. Advanced technology help in increasing the productivity of company and also it help in lowering the cost of production.
Environmental factor: Primark need to make a product buy keeping in mind that environment is not get be harmed. All the wastage should be recycled instead of throwing it in water (Jang and Kim, 2015). There are many policy created for protecting a environment such as by using a limited use of resources and by avoiding a exploitation which is a big dilemma.
Legal factor; There are many legal policy which company need to followed strictly. This legal policy are imposed by the government. Such as taxation if company charge high tax form the primark company then they need to sale a product at higher price (Van den Brink, Van der Laan and Moes, 2013). It help in maintaining the profit. While if government charge low price them company van lower it price.
There are importance of stakeholder when formulating a new strategy that is as follows
- There are different stakeholders of company that are Customer, shareholder, employee, government etc. at the time of formulating a strategy it is necessary for Primark to focus ion interest of different stakeholder.
- They need to make a strategy which satisfy the needs and wants of customer and fulfil their demand which is done by stakeholder analysis.
- Increment in the sale of company is also significant because by doing this profit can be earned and some interest get to its shareholder. Stakeholder analysis aids tin sales enhancement.
- Government are important stakeholder of company so company need to make product without breaking and rules and regulation made by governments. Therefore analysis is needed.
- Further primark also need to focus on strategy which help its company in gaining competitive advantage so that it can give share its profit with employee for satisfying them
Stakeholder analysis is the process of analysing the potential stakeholders and diverting their interest towards the Primark's particular project, program or procedure. It can be done on regular basis to check whether the stakeholder are having the interest in the organization project or not. Strategic planning will be helpful for Primark for deciding in advance what to do, how to do, when to do and how the result would be evaluated. Stakeholder analysis has vital role in the formulation of the strategies. It is important to know the interest of stakeholders according to that strategic plans are made. Stakeholder analyse is used to generate data to know the stakeholder instinct, objectives, intention and the resource that they have contributed for the process of decision-making. This data is used to formulate strategies to manage the stakeholders and to accomplish the organization goals effectively and efficiently. Strategic Planning is a complex process which involves both internal and external factors. Stakeholder are the external factors. Primark can use stakeholder analysis for the predetermined goals as future is unpredictable.
The new strategies are as follows -
Substantive growth strategy: In this strategy primark can can focus on its growth. The following strategies are franchising. It help in company in issue more and more franchise without any investment. While horizontal integration is that Primark can merge with other company in the same industry. It help increasing monopolistic power of a company/.
Limited growth strategy: This strategy for primark involve product development and innovation. The organization can make new innovative product so that it can easily retain the existing customer and attract anew customer of selling its products (Gendron, 2014). Further company can also develop its existing products and it can also develop a new products for increasing a market penetration
Retrenchment Strategy: Remedial action taken when organization face the retrenchment. It can use the following strategies so that can control the sales turnover. When company sale decreases it can reduce the cost of the products. Further, it can sold its unnecessary assets So that it can manage the profit of the organization. It also focuses on regenerating a revenue by increasing the price level or by working on the stock turnover ratio.
Retrenchment strategy for Primark
Turnaround strategy – This strategy to be followed by the Primark company as the decision that not to grow the scale should be drop out it should be continue keep on the scale on increasing. Quantitative and quantitative method have to adopt. And to be grown in the other parts of the city and market area too. So its credibility will be increased and more competition will be there which will lead to the better enhancement. It will need better working and employees in the company so it will work innovatively and more efficiently. They have to change there price policy as compare to the other high brand company because its stated that price ad quality goes hand in hand. So better the price and quality of the product it will attract the people to buy the products and services of the Primark. There should be store available for the women clothing. The different section to be provided. It will be more comfortable for the women's to do the shop.
Business strategies played a prominent role in sustain and growth of a business. There are various strategies for market entry, substantial growth of the business and for the limited growth of the business. These strategies used by the organization specially for MNCs. Primark requires to use these strategies carefully and implementing in a effective way so that they can achieve there goals and objectives. There are following strategies which is used by the company:
Strategies for Market Entry:
Direct exporting: This strategy is used by Primark for entry in a new market. It used when the company wants to expend their business much wider so that they can increase their profitability through a new market. In this strategy the identify countries where they want to export their products and also select their an appropriate distributors in that country.
Licensing: It is another strategies for market entry. It is an arrangement where a company transfer their right to their agent or distributors for use their products and services. Primark can use this strategy for increasing their market share.
Franchising: As we know that Primark is well-known brand in UK. Therefore they can use their brand through franchising foe selling their products in to another country.
Analysis of all the strategies suggests that direct exporting is the most appropriate strategic which could be used by the cited company. It is because expansion of company is the most important aspect of market entry. Exploration of new markets provides immense opportunities and benefits.
Strategies for Substantial Growth:
Diversification: Diversification is a strategies which is used by the organisations for substantial growth in their business. Primark requires that they can diversified their business activity in to the different sector to maintain their profitability. They can investing their capital in to various business which gives a good rate of return for their investments.
Product development: It is another strategies for substantial growth for their business. With the help of this strategy Primark can increase their existing product range or they can also come up with a new product range for their customers.
Market development: In this strategies, a company can make a new product range for different market segmentation. Primark can choose a different segment it can be niche market, young market or any other. It is used by the company for maintaining their market share and profitability for their business.
Evaluation of different strategies reveals that diversification acts as the most appropriate strategy for achieving market growth. This is because diversification can attract more number of customers having varied needs and choices.
Strategies for retrenchment:
Turnaround: It is a retrenchment strategies which is used by the companies if they feel that they faces continuous losses in their business, declining market share etc. in this strategy Primark can close their store where the market share and business declining continuously.
Disinvestment: In this strategy, the company reduces the scope of their business. They can sell a portion of their business which is facing the maximum losses. So that they can protect themselves for future financial losses in their business.
Disinvestment strategy proves to be effective and efficient strategy for retrenchment. Selling of unit facing losses helps the companies to deal with the losses and focus on units which provides better profits.
3.2 Reasons why they should use the strategy given in 2.4 and why this is suitable, acceptable and feasible?
Primark is a leading fashion brand that offers superior quality clothing brands for its consumers. Expansion of business operations requires a strategic approach for implementing the actions plans that are formed by management for expanding the operations of the enterprise. Different types of strategies are used by enterprise for accomplishing this objective and some specific strategies have been used (Frynas and Mellahi, 2015). The action plans used by enterprise aids in entering into new market area and enhancing consumer base in existing market. Direct exporting strategies have been used for selling clothing brands in new market areas. If products will be directly sold ion market than it will aid in saving investment cost of firm for starting a new manufacturing plant. When expansions are done in new country than there is need to take approval of government (Hair and Ringle, 2012). Legal and regulatory frameworks are different across diverse nations and due to that it becomes complicated for executing desired operations. When clothing products will be directly exported than it will aid in saving various cost and time of firm. This is the most suitable strategy which will aid in selling large number of clothing products to large consumer base.
Moreover for substantive growth company has adopted a product development strategy. Consumers are getting more aware due to technological advancements and fashion trends are also changing at faster pace. It is vital that clothing brands of an enterprise should be developed as per the needs and preferences of buyers (Global retail challenge, 2016). For achieving this objective designers can be hired which will support in developing the product as per the needs of consumers. Attractive clothing brands can be launched by Primark group for selling large amount of products. In addition to this Turnaround strategies also have been planned by management. It is a backup plan that has been used by company if expansion strategies of business fails in delivering required results. However it is assertive to always form a backup plan for reducing the risks and dangers that are associated with implementing strategies in business. Two strategies including product development and direct exporting aids in meeting required objectives of business in successful manner (Morgan,2012). But there are some risks and dangers that are associated with these strategies and it can be reduced by making a backup plan. Primark has decided turnaround strategy for reducing the danger that is associated with it.
Justification for recommended strategy using SAF analysis
This Survivability analysis framework (SAF) is interconnected with a global operation means that it is a critical analysis which work process can be supported by a multiple system. This SAF is structured view of people, technology and activities which help company in implementing its business strategy. The SAF analysis help in identify potential problem so that at time of implementing a retrenchment strategy company can keep in mind this all problem.
SAF es rendered will be more feasible. And to handle the minimum and appropriate stock in the hand will be more good than to handle in the bulk. It should according to the taste and preferences and trends in the market. It will be less to handle and to keep an overview of.
Roles and responsibilities of personnel requires some strategy implementation which divide work among employees according to their roles and also considering of level of organziation. Employees of Primark need to change their strategy which are implemented because through this, they may get successful implemenation of startegy. Moreover, personnel roles and responsibilities need to be clear and concise because they can understand and communicate well by providing some information to employees and other parties (Muhammad. and Abdullah, 2016). CEO of Primark is responsible for communicating strategy to employees moreover, it is also responsible in guiding of strategic planning.
Strategic planning in Primark are resposible for maintaing their record because it is very essential in strategic planning which helps in avoiding legal responsibilities within organziation. Furthermore, they need to mainatin ethical and legal standard which is involve at time of implementation of strategy. In organziation proper monitoring is also require because if any probloem rises then they can make some changes at that time only. Monitorining and controlling involves of periodic overview of activities because they help in evaluating employees performance properly (Barney, 2012). Thus, from this they can implement their roles and responsibilities accordingly which help in meeting out goals easily and effortlessly. However, they can implement their startegy by considering all factors which may affect on personnel. Firm need to analysis all strategies because they help in identifying proper roles and responsibilities for implementing of their target. Moreover, through startegic implementation organization need to mainatin and consider all legal and ethical factors because through this no biasness among organization involves.
Organization need to consider some legal factors related to personnel that are equal opportunities to employees, discrimination act, employment act and health and safety act. Through this, they may able to implement all strategies correctly and accurately. Through defining of roles and responsibilities CEO of firm need to consider all planning accurately because this will results in development and performance of individual. In addition to this, they may also allow some essential and corrective actions which are requires at time of implementation. Thus, it leads to encouraging overall performance of startegic planning.
Top management– It can be stated that top level of management will be responsible for formulation of strategy which can results in growth and success of business. Furthermore, the top management of company will also play very important role in the process of decision making and formulation of policies.
Middle level- This layer of management will be responsible for implementing the strategies and action plan which has been developed by top level management. Along with this, middle level of management will play a key role in monitoring the strategy and directing efforts of workers for the accomplishment of the same.
Lower level- This level of management will play important role in making the implemented strategy successful in the market. Along with this, they will be responsible to communicate and deal out with the issues and challenges faced in terms of strategy implementation.
Keeping the analysis Primark in focus the organisation should implement various resource for its growth and long term sustain in the market. Being such a huge company prim ark must access in all the senses and may attain success in all the aspects of the business. Every business is required to forecast and plan the future requirement of resources so that the organisation may out suffer for the long run of the business (Al-Deen and Hendricks Eds., 2013). So considering the case of Primark their are various strategic resources which can be implemented for the future , some of them are given below.
Managing Plus Size Clothes:
As Primark is huge organisation dealing with vast variety of products related to the men, kids, babies ad women but lacks in providing plus size clothes, considering the fact most of the people in UK are suffering from obesity and look for plus size clothes as if we talk about UK out of 100, 80% people are suffering from this problem and Primark don't provide clothes for these size people till yet as some of the stores are already providing due to which customers have stopped going to the store for their needs and desires (Morgan 2012). So if Primark would focus major on maintaining plus size clothes it may enhance the growth of the organisation on the whole.
Scope of Online Shopping:
As we all deal with the digital world today and pay more attention to online stores for shopping and avoid carrying heavy bags and roam around in the city for the shopping where Primark is still lacking behind in providing online products to their customers who could not reach to the stores (Van den Brink, Van der Laan and Moes 2013). As we are aware with the fact that most of the crowd is busy working in offices and organizations and they hardly makeup time for shopping and so they prefer online shopping which saves their times plus their unwanted cost. So if keeping these strategies in mind Primark would attain success and will able to sustain for long term in the market which may result in the overall growth and desired targets will be attained.
Financial Resources- It can be stated that it is the most important resources which will be required in order to implement the strategy in best possible manner.The selected business enterprise will need to analyze the key resources of finance avalaiable and then select the best out of them to implement strategy.
Human Resources– along with finances, adequate amount of human resources will be also required in order to get the best possible and desired outcomes of strategy. Here, the company will need to look for effective and efficient personnel’s.
Technology– It is another key resource that will be required by the selected business enterprise in terms of strategy implementation. The use of high end and advanced technology will help in carrying out smooth flow of all activities.
Importance of evaluation of control for implementing the recommend strategy strategy. At the time of implementing the strategy it is necessary to evaluate it and control it regularly so that no negative impact no take places. Further it proper control help in removing barrier which if faced at the time of implementing the strategy.
Below mentioned SMART target are required for monitoring the successful implementation of the recommended strategy. This SMART target help in accomplishing the goal and objective on time.
SMART objectives are formulated in business for meeting the decided targets on timely manner. It is required that proper action plans should be formed and they should be implemented in organized way so that These objectives are as described-
SPECIFIC– Primark has set specific objectives where major goal of the organisation was to expand business operations in new market areas. Management of the firm decided to adopt market entry strategy for selling clothing brands of enterprise to large market area (Peteraf, Stefano and Verona, 2013). Asian countries including India and Pakistan will be targeted for selling clothing products of the enterprise. Direct exporting strategy has been planned which will aid in reducing the overall investment cost of the enterprise and it supported in gaining huge profitability (Primark .2016).
MEASURABLE- Major objective for expanding the operations of business will be broken into small targets. It will aid in measuring performance of the business in successful manner and also supports in assessing the performance of business against set targets (Barney, 2012). It has been decided that in a three-month company we will try to gain 2 % market share of chosen area.
ATTAINABLE – The goals set by Primark company are feasible and easily attainable. On the basis of target set some small term goals will also be set and it supports in achieving the long term objectives set by business.
RELAIBLE- The target for gaining 2 % Market share in target market areas of Primark group is reliable and attainable. Proper qualification have been used and analysis of external and internal business has been done for setting targets which makes them reliable (Eden and Ackermann, 2013).
TIME-BOUND– Targets are set on time bound basis and it has been decided that within three months company will try to achieve its desired objective is a time bound objective and it is required that proper monitoring should be done (Frynas and Mellahi, 2015). When objectives are set in time bound manner it aids in measuring and monitoring performance of business against set targets.