MARKETING

Fluctuating Sales Figures in Christmas 2012 UK Retail Market



Fluctuating Sales Figures in Christmas 2012 UK Retail Market

Introduction

In the recent era, many things have changed throughout the world. One of the many changes experienced throughout the world includes continuous fluctuations within the operations and values of different retail stores. As known universally, the nation of United Kingdom is home to many famous retail chains known for their famous products, services and support to the customers (Hong & Gary, 1997, p. 170).

However, in the recent quarter ranging from the Christmas season of 2012, there have been some really big changes within the market. The most amazing and noteworthy among these fluctuating changes is that many of the famous retailers have lost their value; whereas, others have succeeded in gaining market value. In order to better understand the reasons behind this fluctuating change, an in depth discussion regarding the relevant players and factors is required.

Discussion

Major Players within the Industry

Within the United Kingdom's Market, the most prominent players include:

The all time famous camera retailer Jessops.

The universal electronic appliances retailer namely Curry's.

The media expert known for its voice products, HMV.

Blockbuster known for its retailing and renting of different movies and shows.

The universal super retail market branded as Woolworth's.

Another of Woolworth's kind known as Argos.

John Lewis, the complete package provider.

The fashion house known by the name of Primark.

Macro & Micro Environmental Analysis

In order to have a clear understanding of the reasons behind any brand's up rising or down falling, there are certain environmental factors which are directly or indirectly affecting the brand (Tom, Lin & Peter, 2004, p. 601). The most famous method of doing environmental analysis is to conduct a Macro and Micro Analysis of the different relevant factors.

Consumer Behaviour

Apart from the different environmental factors, the other most important thing to analyze is the present behaviour of the customers, and how has it been changing within the recent times. A brief evaluation of the different factors forming up the customer's behaviour is also necessary for successful analysis (Lawrence & Scott, 2012, p. 191).

Macro Environmental Analysis (PEST Analysis)

A Macro Analysis is directed towards analyzing how the external factors have affected the different organizations directly or indirectly. The Political, Economic, Social and Technological (PEST) Analysis of the total UK Retail Market is shown below.

Political

The Government has developed new policies regarding customer rights and taxations on luxury goods.

The Introduction on Value Added Taxes for luxurious goods and some of the electronic products (Milbourne. 2010, p. 123).

Economic

Reduction of demand for luxurious goods such as cameras and movies due to recession period and losses of jobs.

Increase in inflation rate in comparison to the past years (Cave, 2005, p. 22).

Social

Increase in e-shopping concept due to exposure to the recent tools on the internet.

A demographic change leading towards an increased proportion of youth within the total population of the United Kingdom (Clapson & Hutchison, 2010, p. 3).

Technological

Advancements in methods of transaction.

Advancements in Product Developments and extensive introduction of new technological gadgets leading towards an excessive range of products in inventory (Gallear, Ghobadian, ...