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PESTE and FIVE Market Analysis

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    Market analysis We are using PESTE and FIVE’s forces to analyze for the market. The FIVE’s are Competitor, Substitute, Supplier, Customer and New Entrants. There are five factors in PESTE which are Political factor, Economic factor, Social factor, Technological factor and Ecological factor. Political Factor Several national newspaper has reported some adverse news about Zubinos coffee shop.

    As Zubinos coffee has involved in some of public issue which press over possible health concerns. In the coffee shop, there are some of these foods that contain levels of salt, sugar and some additives that may be harmful for health. In addition, some the foods sold of calorie count have shown incorrectly on its food label. The UK’s Food Standards Organisation has concerned about the recent bad press and sampling a number of Zubinos coffee shop food item sold.

    After the sampling have been done, the UK’s Food Standards Organisation has found out that several item sold did not contain any food labels and other food item contain incorrect or misleading data for the food labeling. Zubinos coffee shop has misleading customer with advertising show that “All coffee sold in Zubinos is Fair Trade coffee”. As the ex-employee of Head office has brought out with saying that the information was not totally correct, this is due to Zubinos coffee shop is only using around 82% of Fair Trade coffee and this issue has lead to negative publicity for Zubinos.

    With the effect, Zubinos had admit to the claim and the sales were drop by 7% across all Zubinos shops. Moreover, Zubinos coffee shop is also involve in the case of Gelato Food Poisoning. The 10 consumer fell ill from food poisoning after consuming Gelato ice-cream that sold in the outlet of Zubinos coffee shop. Because of the issue, the Food Standards Organisation has taken some of the samples from the shop for testing. And this may affect the reputation and sales of the coffee shop.

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