External Environment Analysis of Cuppa Choice

1.Environmental Scanning by using PEST Model semipolitical/Legal factors: Internationally, the stability of the countries in which Cuppa choice purchases its choco slowly and other raw goods affect Cuppa Choice. The political environment in Singapore and Colombia for the coffee industry is stable. Singapore gained actualisation as one of the coffee centers of the world. At the same time, as the economy grows, international and national coffee companies and well cognize retailers enter the domestic market. This transforms the coffee culture from one that was rigorously a kopitiam kopi to an international one. Currently, there are few political implications of doing business in the industry. Domestically, Cuppa Choice is affected by the Singapore Coffee Association (SCA), which was established in the late 1950s by a group of pioneering coffee traders. Cuppa Choice is in any case subject to the safety and health regulations under Ministry of workforce and food safety regulations. Economic factors: The economical environment is a concern within the coffee industry, as rising dairy farm and green coffee determines around the world are push button up the costs of doing business. The rising prices can be attributed to pretension and the decline in value of the US dollar in recent months.

However, the demand in the coffee industry is also increasing which affect the revenue streams for the industry. According to Coffee-Singapore by Euromonitor International, the economic trends of the coffee industry include: Consumers become receptive towards coffee, with a boom in specialist coffee shops and cafés Fresh cause coffee posts the strongest off-trade volume growth of 4% Unit price increases cod to rising raw material costs and consumers trading-up to bounteousness brands: The unit price of coffee increased in 2008, due to rising production costs. Manufacturers passed these costs on to consumers, with various brands eyesight substantial price increases in 2008. Consumers increased sophistication also... If you command to get a full essay, order it on our website: Orderessay

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