Wants (Personal) and Needs (PEST) Analysis (Term Paper Sample)

PART 1: WANT ANALYSIS
Personal goals
* Need to maintain entrepreneurial development. The implication has been increasing employment for people, increasing personal risk taking behaviour and driving economic growth in the country. For ORC, there has been fears of getting new members and looking for options to increase membership has been key. They have also been ensuring they come up with strategies that reduce competition.
* Healthy lifestyle. Club have been a solution to leading a healthy life through working out as well as engagements. It is also a leisure period where am able to spend time with family and friends. ORC has been serving young families, retired, and the old. Also the high income persons which are at risk of lifestyle diseases.
* Personal project dream. The projects and its growth has been a personal dream. Growing the club and seeing its member on rise over the years leads to dreams actualisation and self-satisfaction. The CEO of ORC despite having experience with the club for more than 30 years, intends to adopt strategies that would ensure current and future growth.
* It provides income. ORC being a club owned by a stream of shareholders, their return on investment is warranted and thus a source of personal income. it is a family business and thus a source of income for them.
Professional goals
* Wealth maximisation and profit growth. ORC is a privately owned club and thus has one of its major objectives as profit maximisation. This has led to increased return on investment as well as its growth over the years.
* Gaining market share. ORC is one of the biggest clubs in Canada. Though in the recent years it has been faced with high competition and has thus been working towards strategies that would increase their membership. Consequently, reach out to a bigger market. For instance, the club underwent a lot of modifications to be able to attract more customers. It also plans on expanding operations to reach out more.
* Customer satisfaction with strong brand loyalty. ORC has been working towards ensuring they achieve a competitive edge through improved customer satisfaction. This has been through provision of a wide range of options as well as having an attractive membership cost, which has been lower compared to that of the competitors.
Risk tolerant
ORC is high risk tolerant. Being high risk tolerant meaning that the firm is able to undertake investments although faced with a lot of uncertainty. ORC stipulates that they can be able to undertake different options to increase their revenue as well as membership. However, they have not been doing so with certainty of positive repercussions. With realisation that customer’s preferences keep changing, they have been undertaking intensive modifications not sure whether it would pay.
The implication of being high risk tolerant has seen ORC become a leading firm in Canada. This has been through its many options available to customers thus making it a first priority. In addition, it has been able to deal with the stiff competition as well as offer services at relatively low cost.
PART 2: NEED ANALYSIS
PEST analysis
Political- this includes political factors that influence the business. ORC on its part follows through the tax policies, government’s regulations, trade policies and fair competition, and environmental laws. ORC ensures CSR and environmental conservation. They have been filling their returns in accordance with Canadian tax laws.
Economic- this encompasses the economic factors that may affect the business. ORC business environment could be affected by interest rates, disposable income of consumers and the business, and financing capabilities.
Social- social factors that could influence ORC include; age distribution, health consciousness, lifestyle trends, organisational image, and consumers’ confidence.
Technological- technological factors that would have direct consequences on the operations of ORC would include; emerging technologies like online models, target market communication, returns on investment, and customer’s awareness.
Competitor analysis
Competitor

Strengths

weaknesses

Private clubs

Similar offering to ORC
Exclusive , up scaled atmosphere
Strategic location
High class dining facilities

High prices
Fewer activities
Smaller facilities.

Fitness chains

Commercial facilities enjoying economies of scale
Extensive fitness
Lower membership fee

Lack amenities and offer few options
Lack of strong social community and lacked community atmosphere

Community clubs

Low costs especially for playing tennis
Attractive to casual leading to reduced supply during summer season.

Only marketable during summer season
Have fewer amenities.

ORC has three major competitors
Opportunities available for ORC includes increase of amenities to tap the market and become a first priority to the customers. In addition, they could develop their amenities such that they are able to offer conducive atmosphere all year round.
However, ORC need to be in the watch out for anticipated future competition as the others especially the private firms can increase their amenities and thus enjoy economies of scale.
Customer analysis

Young families

Older families

retirees

Who are they

young
High income households
Mississauga-market

Older families
High income
Mississauga-market

Above 56
High income
Mississauga-market

What do they want

Interaction and leisure time. Also need time with family.

Remaining active and ensure convenience as they lead a busy life

Socialisation and to remaining active

When do they come to the club

During after school period, weekends, and holidays

Stay-at home- During the school day
Active professionals- weekdays early morning and evening

Weekends in the morning and early afternoon

How are they influenced

Online advertisement platforms

Online and open air campaigns

Social events

All segments should be targeted as they offer excellent revenue to the firm. In addition, different segments have different needs which could be satisfied without exaggerated costs to the firm. This has future profitability ability to the firm and could lead to future sustainable revenue.
Trade chain/ distribution
ORC has been a strong firm that has been less reliant on others. They have been targeting high income families and thus they have been charging a high membership price which has earned them a great premium.
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Key success factors
* High quality services
* High qualifies and professional staffs
* Wide range of choices an amenities.
* Good customer services.
PART 3: CAN ANALYSIS
Finance
* + Net income has been increasing over the years.
* - Firm has been highly geared and a lot of investments made through loans.
The implication on finances is that the firms may have a negative image form the high gearing which may compromise its future sustainability.
Marketing
* + Use of online advertising and press
* - Weak business to customer relationship
The firm making use of the marketing platforms, ORC would be able to build strong customer loyalty and eliminate the limitations facing them.
Operations
* +Service channel has been using the club managed areas of about 8.5 acres..
* -Has membership capacity of above 4300 members which is low with respect to competition.
The firm making use of expansion and proper utilisation of area would be able to attract more members.
Human resource
* + high qualified and skilled employees
* - competition of casual worker during summer
The implication to ORC is that they could have future issue with customer satisfaction during summer as they have scarcity of casual. They may thus make use