For this assignment I will be writinga report for my chosen organisation which isBrown Fashion. Browns is a fashion boutique based inLondon, England. It was founded by Joan Burstein and husband Sidney in 1970.
The business sells latest designer clothing, bags, shoes and jewellery for menand women. TheBrowns Fashion is known as the “temple of style in the heart of London.” Theorganisation has launched the careers of countlessleading fashion designers since 1970 which Browns Fashion maybe most important fashion destination in the UnitedKingdom or even the world. The purpose of mewriting this report is to consult the organisation concerned and the nature ofthe business.
The information I will be discussing the elements that make upthe organisations Macro Environment. I will use PESTLE to analysis theenvironment of Browns Fashion. The PESTLE analysis is used to identify theexternal forces affecting a organisation in making up the Macro environment. From there I will give justification for the decisionmade from PESTLE analysis that it impacts Browns Fashion.
Through this reportcritically asses how Browns Fashion use technology that play part in thebusiness environment. I will mention on the business demonstrate the use ITinformation and technology and IS information system play in businessenvironment of Browns Fashion. Politicalenvironment is the most unpredictable of all eternal factors that affectorganisation.
The Political factors has direct and indirect effects onorganisations which laws has an effect on Browns Fashion that has a political meaningto it. With political factors it makes it effective of Browns Fashion strategyand process. Also for indirect effects of political factor this affectsstakeholders within the organisation that have indirect effect on BrownsFashion. The political factors affectthe Work force of Browns Fashion. From my research that I found it indicatesthat, around 15% of Brown Fashion employee are from EU, which when Brexit isconcluded, employees are so uncertain if they will still be able to work in UK,Consequently Browns Fashion as an organisation might be facing staffing issuesand might be pressured to take staff that are not highly qualified, in order tomeet up with it’s the standard.
Since Browns Fashion is in the fashion industrypolitical ensure that the business is following government regulations thatallows to influence success. The economic factormay determine environment changes that might impact the planning and managementof organisations. The Economic factors on Browns Fashion make an impact to theorganisation because it is in fashion industry which this is considered one ofthe key industries in the global economy. The affect economic boom periods ofthe economy allow people to have more disposable income. Due to this it haspositive impact of Browns Fashion because people will be purchasing moreallowing sales to increases. Therefore, changes of recession affect the BrownsFashion because due to the economic failure of trade and manufacturing activitythat has been reduced by of the decrease amount of GDP. Recession impacts Browns Fashion sales because it determines oncustomers on spending more on products.
In the time being, there is norecession which the state of employment changes due to that people are workingmore. Consumers’ buying power has increased which customers are spending morewhen shopping. This is a good thing for Browns Fashion because people will bespending more on their clothing products allowing sales to increase. However, BrownsFashion being the fashion industry adds to the economy since it is one of thebiggest UK fashion base business.
Therefore, the competition rate of BrownsFashion is big because there stores and individual brands that will havenegative impact on the organisation and their sales and profits. On the otherhand, there are customers who have less disposable income often go to a storethat offer cheaper clothing range products which this can have effect on BrownsFashion because their products expensive. Due to this not that much people willpurchase their product. Also, this has negative impact on Browns Fashionbecause people not purchasing their clothing products then may lead to havinglarge amount stock left. Clothing manufacturersand retailers like Browns Fashion may also need to sell lower-priced clothingbrands to compete with more generic brands from other stores like Next andZara.
Socialfactors of Browns Fashion help them grow their business that impacts society.For Browns Fashion a number of social factors has affected the society level ofcustomers in making shopping decisions and what brand of clothing they preferto shop. Since the business Browns Fashion is a fast fashion brand they havebrought affordable and good quality clothing products. Changes in fashion is socialfactor that affects Browns Fashion.
This is because people may new styles ofclothing that people want to purchase it which changes affect society of peoplebuying decisions. In this way, fashions evolve and constantly change over timewhich Fashion business like Browns Fashion keeps up with the trend clothingrange product. The effect of Customer level of income is social aspect whichthe level of income can determine if customers are willing pay products fromBrown Fashion rather than going to another store. Due to the demographic makeupof the population that keeps on changing. Due to this it has impacts servalimportant changes that Browns Fashion has to face these challenges. For instant BrownsFashion products, they offer to customer are aiming to be beneficial andcomplement to customers lifestyle and behaviour.
Changes may occur of customers lifestyle andbehaviour which it is important that Browns Fashion need to respond tocustomers lifestyle and behaviour. If the business does not respond to changesin society they will lose market share and demand for their products andservices.Technologicalfactors play an important for Browns Fashion. Browns Fashion is in the 21stwhich Technology is a key attribute that has helped the Fashion organisation togrow. Therefore, with technology is has increase globalization for thebusiness.
The use of IT software and Technology devices has increased meaningpeople and businesses are using it more often which Browns Fashion makes gooduse of the technology. Customers can mobile and any other technology devices toaccess online shopping to purchase products for instance Browns Fashion has anonline website that allows customers to look and purchase products. Due to thechanges of technology that has a positive impact on Browns Fashion sales,marketing and consumer choices. Keeping up technology has benefited BrownsFashion in terms of overseas expansion of the business. The Ecommerce hashelped the business to expand and able to sell to large customers with help oftechnology. The use of Information technologyfor Browns Fashion is helpful to them because Information Technology allows thebusiness to showcase external and internal images that make an impact on thebusiness performance. For information system this allows Browns Fashion to collectand store information with the use of technology. Information about customersthat purchase is a source they collect which they could use the informationunderstand a lot of things that may benefit the business for exampleinformation customer buying habits when they purchase products from BrownsFashion.
Also, Technology makes it easier to communicate with customer in allsorts of way. This allows Browns Fashion to develop relationship with customer makingit effective. For example, this could apps that are on people smartphones whichBrowns Fashion developed an app that allows access to many things about theirbusiness which they could shop for clothing or footwear products or it couldallow customers to find the nearest branch or check the facilities and productavailability at a branch before making a visit.