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Aspd the Pestel Analysis

Essay by   •  May 13, 2019  •  Case Study  •  436 Words (2 Pages)  •  650 Views

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External Analysis Summary:

The PESTEL Analysis (Appendix A) shows that there are possible negative consequences from ASPD side if the company try to deal with excess capacity by creating a new low-end brand. Moreover new low-end brand can changes Neptune’s positioning on the market as high-end brand, which can result in decreased margins. On the other side Neptunes can increase its customer base and opned

PESTEL analysis

Table 1 PESTEL analysis

Political

ASPD has an influence on American and global policies in fishing industry and set benchmarks on quality standards of its members.

Based on survey of wholesale and retail seafood prices, ASPD posts price level that have an impact on pricing policies across the industry.

If Neptune changes its business model and create new low-priced brand, it will affect the whole market, creating excess supply and hurting competitors and which can cause a potential conflict between Neptune and ASPD

Economic

GDP growth USA 2,3% in 2017

3rd largest producer on the market

Fishing and seafood consumption in the United States increased in 2017, with landings and value of U.S. fisheries continuing a strong, positive trend

Demand in the past four weeks reached all-time high

Society

Neptune represents itself as a prestigious brand of fish sale

Eco friendly ways of fishing, with reduced damage to the haul

Clients value the ASPD approval of Gold Seal

Possible shift from high-end product toward low-end, which can result in the damage of margins and the reputation of the premium-brand company

Technology

High expenses on more efficient ways on fishing that ensure top quality catches

New way of freezing, increased quality and shelf-life on the product

Environmental

New way of fishing that ensure that only mature fish is caught – eco-friendly technology

Legal

New law has forbidden fishing near coast and forced Neptune to out to sea. That helped to increased catches and inventory

C: 5 C’s

Context

Industry—Tough laws and high competition especially from China, Peru, Chile, and Japan, there is a need to invest heavily in order to ahead the competition on the market, relatively seasonal, overcapacity can be long-term trend across the whole industry

PESTEL analysis – check the table 1  above

Customers –

now and potential

Now:

  • U.S. grocery chains and organic food retailers, all along the eastern seaboard and in parts of the Midwest.
  • Premium restaurants and the biggest cruise lines
  • Fish Market

Potential:

  • Medium and low-end grocery stores, wholesalers and restaurants

Competitors

China, Peru, Chile and Japan, and private brands from grocery stores

Collaborators

Retailers

Company

Leading and reputation on the market as a high-end brand, top quality, heavy investments, selling product with premiums, as a result of new regulation company is facing with inventory excess, possible negative consequences if Neptune will create low end brand in order to deal with excess inventory

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