Primark Case Study – Irish-based clothes company Primark has its corporate office in Dublin. The country where it was founded, Ireland, gives it the name Penneys. The name “Penneys” is not used outside of the Republic of Ireland since JC Penneys already has a store with that name.
The business has operations in both Europe and the United States. It is a distinctive organization that aims to improve everyone’s life via fashionable apparel, regardless of the person’s socioeconomic level. Primark became a major player in fashion retail by offering high-quality goods at affordable prices to all members of society. It has a striking effect on societal, ethical, and environmental issues.
A wide variety of goods are available at Primark, including household goods, clothing for men and women, shoes, candy, and cosmetics. In 2014, it began selling goods. It has been offering vegan food since 2018.
According to the company’s mission statement, it is its goal to deliver actual product value while supplying high-quality goods at rates that are perceived. The corporation uses pricing techniques in an effort to give clients high-quality services and goods. Customers see the business as pleasant since it treats everyone well. The organization makes an effort to be trustworthy and responsive.
SWOT Analysis
Strength
- Primark has approximately 27,000 employees and provides attractive employment possibilities.
- Primark attracts people by providing high-quality goods.
- Being a part of the ethical trading effort helped Primark acquire prominence.
- It emphasizes employee rights, good outputs, and labor rights efforts.
Weakness
- Poor working conditions and disregard for employees’ rights cost Primark its image.
- Primark doesn’t market or advertise its products. It offers competitors a competitive advantage.
- Child labor allegations were made against Primark.
- Corporate procedures including product creation and innovation received unfavorable reviews.
Threats
- Businesses like M&S, ASDA, TK Maxx, Tesco, Costco, Zara, and Next pose a serious threat to it. Primark finds it more challenging to grow its market share.
- Businesses that sell goods and/or services at a cheap price compete with Primark.
- Due to subpar management and technological standards, Primark suffers.
- Since the bulk of the company’s outlets is located in Europe, the EU accounts for the majority of its sales, which is a deceleration trend.
- The enterprise’s supply chain is vulnerable to events and disasters.
Opportunities
- Primark has opened stores in a number of European countries, including Madrid, Lisbon, Düsseldorf, Cologne, and Vienna.
- Prior to launching stores in the North-East of Europe, Primark did a lot of studies.
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