1. Introduction of Company

Neatsneaks is located at 89 Kingsley Road in Farnborough, GU14 8SY in the United Kingdom. The company is identified as the ultimate trainer technicians who are involved in bringing back life to the footwear. Neatsneaks focuses on cleaning the shoes, repairing them and restoring them back to a brand new shoe. Neatsneaks is dedicated towards transforming the footwear into better and clean form (neatsneaksuk, 2020).

2. Analysis tools

Different analysis tools were implemented in studying the operations and carrying out the internal and external analysis of Neatsneaks, UK.

SWOT Analysis

The strengths of Neatsneaks would include their high and excellent quality of services. The initiative taken by the brand is extremely new which would help them to expand their reputation. The management employees are highly skilled with a high potential target market. The prices are highly affordable for the services. The weaknesses of Neatsneaks would include their little involvement in the promotional activities, limited product lines to only shoes, limited range of distribution network (mindtools, 2020). Opportunities would include increasing the services to other products and not stay concentrated on shoes. It can expand into building other outlets across the city with better services for the customers. It also has the opportunities in building strong store networks with this unique idea. Threats would include the already established brand starting with this idea, the perception of customers wasting money on cleaning their shoes and any disruption in the consistent supply of the services.

PESTLE Analysis

The political environment plays an important role for Neatsneaks as a stable political environment provides support to the new and small companies to grow and thrive (Perera, 2017). Neatsneaks being a growing small organisation has faced many hurdles with the political environment. The decision of Britain exiting the European Union was a huge step and was the reason to cause turmoil in the business. Brexit implemented a series of uncertainty in the business environment which has the ability to affect the financial markets of Neatsneaks. This would also lead to increase in the demand of labour and would lead to increase in the investment and can bring down the profit margin. With political distress, an unstable economic condition can also be identified in the UK which can be against Neatsneaks and its operations. After Brexit, the pound sterling went to its lowest against the dollar which is putting a financial pressure on the status of the UK and which will directly have an effect on the companies within the UK. The social environment is favourable for Neatsneaks since the aging population in the UK is increasing and thus their ability to clean shoes and maintain them is decreasing. This will be a good opportunity for Neatsneaks to take up the services to meet their needs. The technological aspects included the growth in the online affairs. The introduction of social media to reach the people and spread awareness about the existence of the brand is done. The social media presence of Neatsneaks is presentable and growing. The environmental affairs have led to the customers being more conscious about the usage of organic materials which are recyclable. Since Neatsneaks is participating in reusing the shoes than throwing away is contributing to less wastage and increased sustainability. The legal environment included the implementation of Workplace Pension Legislation, legislation of working hours for the employees which needed to be aligned by Neatsneaks.

Porter’s 5 forces Analysis

The threat of new entrants is moderately high for Neatsneaks since it is an emerging company and even though it is a new and unique idea, it can be uptaken by the already existing reputed companies and integrate them with their other services. The bargaining powers of the buyers are high since the services depend on the customers and their satisfaction. Since the company is small and the number of customers is limited, they have the upper hand in the Neatsneaks. Bargaining power of the suppliers is extremely low since the company is new and there are not many in this industry yet whereas the number of suppliers is more. In this case, Neatsneaks holds the upper hand. The threat of substitute products is low since the only substitution to transforming and cleaning shoes would be buying them which can be more expensive. Lastly, rivalry among existing competitors are comparatively low since there aren’t many companies in the UK on such a scale on repairing shoes other than the small and local shops.

Value chain Analysis

This model deals with two activities of Neatsneaks. In the primary activities, there are inbound logistics where Neatsneaks has been identified to develop relationships with the suppliers which are strong. The operations of Neatsneaks are highly efficient as they are invested in transforming the shoes into better. The outbound logistics are highly efficient as the delivery of the products is done without any interference of intermediates (Jurevicius, 2013). Marketing is done with the help of social media in order to spread awareness of their existence and lastly, the services provided are unique and excellent. Secondary activities would include the infrastructure of the firm which is small but contains quality management, financing, planning, accounting and strategic management. The human resource management is efficient with strong policies and recruitment facilities. The technological development is steady with efficient procurement facilities.

3. Ideas for Action / Recommendations

Few ideas of actions and recommendations for the strategic movement of Neatsneaks would include:

Implementation of an online application which would enable the customers to place their order for getting their shoes cleaned and repaired.
Introduction of a pick and drop delivery services should be done in order to help the people save time and increase their satisfaction.
Should increase the services to other products and not only shoes. This will help in the expansion of the company.

4. Conclusion

In conclusion, Neatsneaks is an emerging company with a unique idea of transforming old shoes into new one. This assignment highlighted on the internal and external analysis of Neatsneaks using four models, SWOT, PESTLE, Porter’s 5 forces and which will help in the better analysis and planning of the business strategy to be implemented by Neatsneaks.

5. References

Jurevicius, O., 2013. Value Chain Analysis. [Online]
Available at: https://strategicmanagementinsight.com/tools/value-chain-analysis.html
[Accessed 2020].

mindtools, 2020. SWOT Analysis. [Online]
Available at: https://www.mindtools.com/pages/article/newTMC_05.htm
[Accessed 2020].

neatsneaksuk, 2020. NEATSNEAKS. [Online]
Available at: https://neatsneaksuk.business.site/#summary
[Accessed 2020].

Perera, R., 2017. The PESTLE analysis.. s.l.:Nerdynaut.

6. Appendices

SWOT Analysis
Strengths: High quality services. Skilled management employees	Weaknesses: Less promotional activities Limited product variations
Opportunities: Increasing the services of other products Exposure in the market with creation of outlets.	Threats: Competitive market Change in the perception of customers

PESTLE Analysis
Political factors that may affect the organisation: Increase in turmoil due to exit of Britain from Europe. Brexit implementation brought uncertainty.	Economic factors that factors may affect the organisation: The pound sterling plunged to lowest against the dollar. High demand of labour.
Social factors that may affect the organisation: Increase in the aging group of the UK.	Technological factors that factors may affect the organisation: Online facilities have increased. Introduction of social media for marketing.
Legal factors that may affect the organisation: Introduction of Workplace Pension Legislation. Introduction of limited working hours for employees.	Environmental factors that may affect the organisation: Increase in the ethical and environmental concern among customers.

Porter’s Five Forces
Bargaining Power of Suppliers has been identified to be low.	Bargaining Power of Customers has been identified to be high.
Threat of New Entrants: has been identified to be moderate.	Threat of Substitutes: has been identified to be low.
Rivalry between Competitors has been identified to be low.

Value Chain Analysis
Primary activities Inbound: Create relationship with the with the suppliers Outbound: Strict distribution channel Manufacturing: Interference of the intermediates Marketing: Developing unique products	Secondary activities Infrastructure: Developing a good infrastructure. Human resource: Developing strong polices for recruitment. Technology: Designing the product with technical measures. Planning: Boosting the financial condition.

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