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Business Culture And Strategy Essay

3596 words - 15 pages

BUSINESS CULTURE AND STRATEGY

SECTION 1
EXTERNAL ENVIRONMENT
Part A
Social: Most pubs have a Family dining area was created where children and their parents can eat together. Children are not allowed to use the bar areas.
The consequences of anti-social behaviour have affected JDW as they could not encourage people to drink more.
Technological: JDW did not show televised football and sales dramatically decreased. From that moment on, JDW decided to have football match on TV. Furthermore, they did not play music or show TV programmes. Due to the increasing demands, JDW have TV screens and shows live matches in their pubs.
JDW also has a ventilation system where smokers are ...view middle of the document...

The main characteristic of JDW pubs are: They sell a wide range of real ale beer at low prices, quality wine, at least quarter of the space is non-smoking, proper ventilation system, toilets for customer with disabilities, and serve food is available all day at cheap prices.
JDW has flexible training policy where different kinds of people are welcome within the company.
Company's operation is "involvement and communication" Staff are in touch with weekly newsletters and monthly company video.
They provide lifelong training and relevant qualification like those offered by the British Institute of Inn Keeping. They consider their staff as a potential management material. Most of the managers started as bar staffs or cleaners.
Weaknesses
In the 21st Century, JDW has been facing much more competition as Regent Inns and Punch Taverns retail pubs.
The law has changed and supermarkets are able to sell drinks, particularly premium larger at lower prices, the changes makes it difficult for pubs to compete on price and encourages drinking at home.
The removal of price incentives to drink larger measures of alcohol resulted in the reduction of J D's sales.
Having no TV in some pubs has affected their sales.
Opportunities
Having the opportunity to serve breakfast in the mornings allow them to attract different type of people in to their pubs. Before, the normal licensing hours began at 11:00 a.m.
Sales suffered as a result of not having TV. Finally, JDW has TV screens in their pubs which is definitely a big opportunity to bring more people. Due to their large size, J D pub can make different atmosphere.
In 2000, J D has acquired the Lloyds pub chain consisting of 10 pubs. These bars are called Lloyds No 1 bar, they have a different menu to J D and in contrast to them, are music based outlets and can show TV programmes. Depends on the demand, J D has been re-branded as Lloyds No 1 bar and it could be in the other way around.
Budget hotel accommodations known as "Watherlodge" has acquired. It now has more than ten of these hotels, all of which have bar facilities attached to them.
Threats
The number of pubs has been increasing in the 21st Century. The market now appears to be over-supplied. This could lead to price wars by having too many competitors.
Supermarkets began selling drinks at cheap prices which encourage people to buy and stay at home. This situation is difficult for pubs because it would be impossible to compete with supermarkets on the price.
Increasing public and government concern about huge amount of drinking and social behaviour affected J D as they could not promote their business by encouraging them to drink.
The number of new openings was lower than the previous year and has affected the sales and profit of J D.
Tim Martin gave up day-to-day control to become non-executive chairman working just two days a week. J D has lost the knowledge of Tim Martin, as an example it would be when he regularly travelled round the...

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