Structural change refers to a long-term shift in
the fundamental structure of an economy, which is often linked to growth
and economic development. For example, a subsistence economy may
be transformed into a manufacturing economy, or a regulated mixed economy is
E.g. Pound land uses
its core LAN infrastructure to oversee stock control, distribution, financial
and staff management systems and to integrate sales and stock information, via
EPOS, with a 24-hour warehousing operation.
Pound land are affected by technology because all their
competitors have online websites such as Morrison’s, Tesco’s and home bargains.
This means that to keep up with their competitors they have to create their own
website which will cost them loads of money
also to run the website will cost them loads of money as well.
The purposeful application of information in the design,
production, and creation of goods and services, and in the organization of
Pound land are effected by demographic because they cannot
put one of their stores on to a top floor because the older generation who may
be using walking sticks or have trouble using stairs will not be able to access
it. Also pound land need to make sure that their stores are unisex and that
they sell both women’s and men’s items so that both genders can shop there.
Another demographic factor that affects pound land is income, pound land need
to make sure that their products are cheap so customers on low income can
purchase the products.
The demographic factors of the market in which an
organization operates, and which are used to segment the target population for
Finally pound land are affected by other competitors
lowering their prices which force pound land to lower there prices so they can
continue to make more revenue
Pound land had to close down the old store of pound land in
the kingfisher shopping centre because they had to buy the pitch for the new pound
land that opened in a different side of the kingfisher centre.
Pound land close earlier on Sundays than normal due to the
trading hours policy. Pound land do not have to open up and it is strictly
voluntary however they do open up but shorten working time.
Implementation of legislation – Competition Act 1998
(Morrison’s and Safeway), Enterprise Act 2002 (Dell), Markets and policies
initiatives (Tesco Local)
Planning guidance – Retailers must follow strict guidelines
if they wish to build new premises or make significant changes to their current
Trading hours – The Sunday Trading Act 1994 gives retailers
the right to trade on Sunday. However working on a Sunday is strictly
Government policies can impact on crucial areas such as
education and health and safety in the workplace. Other relevant government
Macro environment affects pound land because
they can change the way they lay out the shop or which
products they buy and if they are the same or different. Another way macro
environment affects pound land is by
giving the same products at a cheap rate
than their competitors such as 99p store .
Another way pound land can use macro environment is by changing markets and beginning to do
different products such as more expensive products but not as good quality and
at a cheaper rate.
The big uncontrollable factors that influence an
organization’s decision making, and affect its performance and strategies.
These factors include the economic factors; demographics; legal, political, and
social conditions; technological changes; and natural forces.