Publix Case
1. Identify the relevant marcroenvironmental factors. What impact do these issues have on the focal organization?
Level I: The Global Business Community
The macroenvironment consists of the global business community, focusing more on the external environment of an organization. The macroenvironmental factors that are relevant to Publix and its industry includes society, demographics, economic, natural, political/legal, and technological.
I. Society: Publix serves over 1 million customers every day. This consists of individuals being influenced by others, organizations, society, and the subcultures, which they identify with. Publix is based in the United States, initially being founded in Florida. In places such as Atlanta, Florida, South Carolina and Tennessee, where Publix has presence, consist of a melting pot of cultures that have come to the “land of the free” for convenience and freedom of choice. Due to this, there are many subcultures that have their own preferences. Some only eat Kosher, organic, or specialty products, that may only be found in certain supermarkets; alternatively, consumers may just be looking for the best deal they can get their hands on. Customers, both men and women, are becoming more knowledgeable about products and are more demanding on quality in the goods they purchase, therefore being more involved in company’s decision making process. “Nutritional conscious supermarket shoppers are checking labels as never before”(Mujtaba et al, 2012).
II. Demographics: The growth rate of the population, the age distribution, and household patterns all account for many of Publix’s’ innovative ideas. In Florida, Atlanta, South Carolina, and Tennessee, all have a strong student population, as well as dual employed family homes. In such a fast paced society, a majority of this population can be categorized as time impoverished customers. They opt for already pre-cut food and prepared cooked dinners. Studies show that 37% of
Level I: The Global Business Community
The macroenvironment consists of the global business community, focusing more on the external environment of an organization. The macroenvironmental factors that are relevant to Publix and its industry includes society, demographics, economic, natural, political/legal, and technological.
I. Society: Publix serves over 1 million customers every day. This consists of individuals being influenced by others, organizations, society, and the subcultures, which they identify with. Publix is based in the United States, initially being founded in Florida. In places such as Atlanta, Florida, South Carolina and Tennessee, where Publix has presence, consist of a melting pot of cultures that have come to the “land of the free” for convenience and freedom of choice. Due to this, there are many subcultures that have their own preferences. Some only eat Kosher, organic, or specialty products, that may only be found in certain supermarkets; alternatively, consumers may just be looking for the best deal they can get their hands on. Customers, both men and women, are becoming more knowledgeable about products and are more demanding on quality in the goods they purchase, therefore being more involved in company’s decision making process. “Nutritional conscious supermarket shoppers are checking labels as never before”(Mujtaba et al, 2012).
II. Demographics: The growth rate of the population, the age distribution, and household patterns all account for many of Publix’s’ innovative ideas. In Florida, Atlanta, South Carolina, and Tennessee, all have a strong student population, as well as dual employed family homes. In such a fast paced society, a majority of this population can be categorized as time impoverished customers. They opt for already pre-cut food and prepared cooked dinners. Studies show that 37% of