Katrina May Marzan

Name of the Business: Necessitea Sta. Teresita

Output 1: SWOT Analysis

STRENGTH WEAKNESSESS
 Non-stop release of high-quality drinks  Not all crews are kept as friendly as
throughout their entire menu that match others.
to their customers' tastes.  Many competitors.
 Low cost of goods with high profit.  Forecast demand.
 Good service with a competitive price.  Not be able to accommodate everyone's
 Long business hours. food allergies or dietary restrictions
 Location.
OPPORTUNITIES THREATS
 Huge market: many target customers  Seasonal demand.
around the area.  Too high rental cost.
 Health property. (If milk tea also has  Competition.
good benefits for our health, then  Lack of parking area.
consumers will be more motivated to buy  Lack of security.
this product.)
 Provide bulk packages sale different
flavors solid tea powder.
 New product introduction.

Output 2: PESTLE Analysis

P E S T L E
Political Economic Social Factors Technological Legal Factors Environmenta
Factors Factors Factors l Factors
Political The aggregate The culture and To be In number of Varying
factors play demand and way of life of a competitive in countries, the markets have
an important aggregate society have an the short legal different
part in investment in influence on the term, framework norms or
defining the an economy culture of an Necessitea and environmenta
aspects that are determined organization in a must find the institutions are l regulations,
might have by given context. most cost- not robust which might
an influence macroeconomi The way effective enough to have an
on c factors such marketers at software protect the influence on a
Necessitea's as inflation Necessitea improvements intellectual company's
long-term rate, savings perceive and . This includes property rights profitability.
profitability in rate, interest produce increasing the of an Even within a
a given rate, foreign marketing accessibility of organization. A country,
market. exchange rate, messages for their website firm should states might
Necessitea is and economic Beverage sector as well as the carefully have
a milk tea cycle. consumers is speed and evaluate disparate
beverage Microenvironm heavily quality of before environmenta
company that ental elements influenced by service entering such l and liability
operates in such as the population's delivered on markets as it legislation.
over a dozen competition shared values the shop floor. can lead to Necesitea
places, standards have and attitudes. Developments theft of customers
exposing an influence on  Demogr in the organization’s create a lot of
itself to a the firm's aphics technology of secret sauce waste as they
variety of competitive and skill coffee making thus the often leave
political advantage. level of machines and overall the shop with
environments Necessitea can the the computers competitive their cup of
and political anticipate the populati that edge. coffee and
system risks. growth on Necessitea use Necessitea then dispose
Diversifying trajectory of  Class to run their need to be of it in the
the systemic not only the — structur cash registers aware of the street. The
risks of the sectoryname— e, will enable trade laws in packaging for
political sector but also hierarch their staff to the various this cup must
environment the y and work more countries they be carefully
is necessary organization power quickly and occupy and do considered to
to achieve using nation structur efficiently. business with. make it as
success in economic e in the This will result They need to biologically
such a factors such as society. in customers ensure they degradable as
dynamic milk growth rate,  Educatio being served are not in possible.
tea beverage inflation, and n level quicker and violation of Certain other
business industry as well create the e.g., religious materials can
across economic as potential to laws. Also, be very
numerous indicators such educatio serve more certain harmful to
locations. Nec as Beverage n customers in a countries the natural
essitea is a industry standard day. impose a tariff environment.
business. The growth rate, in the  Recent that has to be Necessita
FDA regulates consumer Necessit techn paid when need to
a range of spending, and ea. ologic goods are carefully
milk teas, so on.  Culture al imported/exp consider the
coffees, fruit  Type of (gender develo orted so this methods in
and iced teas, econo roles, pment must be taken which they
hot drinks, mic social s by into account. dispose of
lemonade, system conventi Neces Each country their waste as
and other in ons etc.) sitea has varying there are
beverages. countri  Entrepre  Techn employment strict laws in
Furthermore, es of neurial ology's laws. Some most
several operati spirit impact may have a countries to
markets on – and on holy day, some ensure a firm
across the what broader produ may have a trading in
city have type of nature ct limit on the their country
their own set econo of the offerin number of disposes of
of policies mic society. g hours an the waste
that are system Some  Impact employee may that is
either relaxed there is societies on work per created in
or rigorous. and encoura cost week, and all their business
Political how ge struct will have in a specific
factors can stable ure in varying levels and efficient
have a role, it is. entrepre Bevera of minimum way.
since there  Govern neurship ges wage.  Weat
may be civil ment while  Impact Necessitea her
unrest in interve some on should  Clima
particular ntion in don’t. value consider these te
areas, or the  Attitudes chain factors when chang
goods sales free (health, struct deciding on e
may plummet market environ ure in relocation.  Laws
owing to and mental Consu  Anti- regula
inflation. In related consciou mer trust ting
most cases, Consu sness, Goods law in envir
cross-border mer etc.) sector Bevera onme
scenarios are Goods  Leisure  Rate ges - nt
drastically  Exchan interests of Soft pollu
different as a ge techn Drinks tion
result. rates & ologic indust  Air
Necessitea stabilit al ry and and
must remain y of diffusi over water
compliant host on all in pollu
with all of country the tion
these currenc countr regula
regulations y. y. tions
and  Efficien  Discri in
modifications cy of minati Bever
in order to financia on law ages -
respond to l  Copyri Soft
them market ght, Drink
appropriately s– patent s
. Necessitea Does s/ indust
also provides Necessi Intelle ry
extensive tea ctual  Recyc
training to its needs proper ling
employees. to raise ty law  Wast
 Politi capital  Consu e
cal in local mer mana
stabili market protec geme
ty ? tion nt in
and  Infrastr and e- Consu
impor ucture comm mer
tance quality erce Good
of in  Emplo s
Bever Bevera yment sector
ages ges law  Attitu
secto  industr  Health des
r in y and towar
the  Compa safety d
count rative law “gree
ry's
 econ advant  Data n” or
omy. ages of Protec ecolo
 Risk host tion gical
of country produ
milita and cts
ry Consu  Endan
invasi mer gered
on Goods speci
 Level sector es
of in the  Attitu
corru particul des
ption ar towar
- country d and
espec . suppo
ially  Skill rt for
levels level of rene
of workfo wable
regul rce in energ
ation Bevera y
in ges-
Cons Milk
umer tea
Good industr
s y.
secto  Educati
r. on level
 Burea in the
ucrac econo
y and my
interf  Labor
erenc costs
e in and
Bever produc
ages tivity in
indus the
try- econo
Milk my
tea  Busines
indus s cycle
try by stage
gover (e.g.
nmen prosper
t. ity,
 Legal recessi
frame on,
work recover
for y)
contr
 act  Econo
enfor mic
ceme growth
nt rate
 Intell  Discreti
ectua onary
l income
prope  Unemp
rty loymen
prote t rate
ction  Inflatio
 Trade n rate
regul  Interest
ation rates
s&
tariffs
relate
d to
Cons
umer
Good
s
 Favor
ed
tradin
g
partn
ers
 Anti-
trust
laws
relate
d to
Bever
ages-
Milk
tea
indus
try
 Pricin
g
regul
ation
s–
Are
there
any
 pricin
g
regul
atory
mech
anism
for
Cons
umer
Good
s
 Taxati
on -
tax
rates
and
incen
tives
 Wage
legisl
ation
-
mini
mum
wage
and
overti
me
 Work
week
regul
ation
s in
Bever
ages
 Mand
atory
empl
oyee
bene
fits
 Indus
trial
safety
regul
ation
s in
 the
Cons
umer
Good
s
secto
r.
Output 3: Porter’s Five Forces

THREAT OF NEW ENTRY

New entrants in the beverage industry - Milk tea introduces innovation and new
ways of doing things, putting pressure on Necessitea to decrease prices, cut
expenses, and offer new value propositions to customers. To maintain its
competitive advantage, Necessitea must handle all of these obstacles and erect
strong barriers. Through the development of new goods and services. New items
not only attract new consumers, but they also provide an incentive for existing
clients to purchase Necessitea products. By achieving economies of scale, the
fixed cost per unit may be reduced. The fixed cost per unit may be reduced.
 SUPPLIER POWER
Almost every company in the Beverages - Milk Tea
business gets its raw materials from a variety of
sources. Suppliers with a strong position in the market
might reduce Necessitea's market margins. Powerful
suppliers in the Consumer Goods industry utilize their
negotiation influence to get higher rates from
companies in the Beverages - Milk Tea industry. Higher
supplier negotiating power reduces the overall
profitability of Beverages - Milk tea. By experimenting
with product designs utilizing many materials, the firm
may transition to a new raw material if the price of one
rise and putting together an effective supply chain with
a variety of vendors.
COMPETITIVE RIVALRY
When there is fierce competition among current
rival in a sector, prices will fall and the industry's
overall profitability will suffer. Necessitea competes in
the Beverages - Milk Tea business, which is very
competitive. This rivalry has a negative impact on the
organization's overall long-term profitability. Instead of
fighting for a limited market, collaborate with rivals to
expand the market size. Create scale so that it can
compete better and build a sustainable differentiation
BUYER POWER
Buyers may be a demanding bunch. They aim to get the
greatest deal possible by spending the least amount of money
feasible. In the long run, this put a strain on Necessitea's
profitability. Customers' negotiating strength and capacity to
demand rising discounts and offers increases as Necessitea's
client base becomes smaller and more strong. Establishing a
huge consumer base.  This is beneficial in two ways. It will lower
customers' buying power and provide the company the chance
to simplify its sales and production processes.  By developing
new items at a quick pace. Customers frequently seek discounts
and special offers on well-known items, therefore if Necessitea
continues to introduce new products, it may reduce customers'
buying power.  Existing Necessitea consumers will be less likely
to defect to competitors as a result of new offerings.
THREAT OF SUBSTITUTION
Industry profitability decreases when a new product or service
satisfies comparable client wants in different ways. Services like
Dropbox and Google Drive, for example, can be used to replace
storage hardware devices. If a replacement product or service
delivers a value proposition that is significantly different from
the industry's current offerings, it poses a significant threat. The
threat may be handled by being service-oriented rather than
product-oriented, recognizing the customer's underlying need
rather than what the customer is purchasing, and increasing the
switching cost for consumers.