Frank Advisory Services: PEST Analysis For Expansion Into London Borough

PEST Analysis of London Borough

Drug is one of major issue which is faced by many countries worldwide. This problem is rotting the fresh man power of country, as young people have started taking drug which is causing ill-effects on their health and simultaneously resulting to death. So, advisory services shall be provided to drug addicts and their family members as well. It will help them to gain knowledge about the problem which the other person is dealing. It will also help them to take precautionary actions and communicate other people about the problem of drugs and its solutions. The below mentioned task provides a brief overview to Frank about their decision of entering in London Borough to provide consultancy services about misuse of drugs and other substances by youngster. It provides PEST analysis of London, Borough and recommendation to the company for the purpose of expansion. Further details about the task are discussed below.

The PEST Analysis implemented on London Borough will help Frank and his idea to associate his consultation activities and implement them in a way to achieve profits for the organization and aware people with the sideffects of drugs as well. Further the PEST analysis of the country with respect to the consultation services provided by Frank is discussed below:

Political factors refer to the factors associated with the political system of the state or the country. It helps the analyst to gain knowledge about the political services implemented in the country and its pros and cons. Further such information aids in proactively take steps by the entrepreneur to protect their prevailing or newly launched business (Gupta 2013). Further the political factors affecting the advisory services of Frank are discussed below:

• As the country United Kingdom is a constitutional monarchy which is administered by parliamentary system, similarly the governmental bodies assigned by the parliamentary system of UK governs he political activities happening in London Borough.
• Initially taking about the positive aspects, it shall be noted that public has a large influence on the activities implemented in the inner department of the government (Burns, and Birrell 2014). So, the fact shall be known that if there is demand of some products or services in the market then automatically the norms will conducted in a way that they promote such products and services. This can be regarded as a benefit for the consultation services, as it helps people to know how to save themselves from such substances and how to liberate themselves from addiction of drugs.
• Also the government of the city is proactively working for the betterment of the people living in the city. They are initiating measures and campaign to protect the interest of the communes and acknowledge them with their rights (Gottwald, and Lansdown 2014). Thus, with this fact it shall be assumed that as this consultation business will help people to attain knowledge about the drugs and its harmful effects on the body, due to which it shall be noted that government of the country will also develop measures to promote the business of drugs related consultation services. Also the government of the city will help them to promote their services and to expand their services to areas prone to drugs use in the country (Maphosa 2016).
• One of the aspects which can hinder the growth of the new firm in the country is the effects of BREXIT on the market of the country. Post BREXIT there has been many changes in the governmental regulation of the country. Now it is not easy for a new company to enter in the market of London Borough. Presence of various regulations bars the growth of the firm and it also makes people restricted to attain services from the consultation firm. Such firms are always kept under strict surveillance and suspicion by the government as they believe that these firms might be provoking the youngster to initially take drugs and then bring them to Centre to help them to cure (Schenker, Arnold, and London 2014).

Economic factors refer to those factors which are related to the economic conditions prevailing in the city. Factors like, inflation rate, economic growth, unemployment rate, per capita income etc. are involved in the economic analysis of the county. Further there are various economic factors which can affect the new business of Frank in the market of London Borough (Shabanova, et. al., 2015); these factors are discussed below:

• Concerning the economy of UK, it shall be noted that the country holds a strong economy due to which all the present in the country have adequate flow of goods and services in the market. Along with adequate flow, the key features present in the environment which assist the new ventures to enter in this market are the availability of goods and services in the market. This process states that all the products and services present in the market can be easily occupied by the target customers present in the market. So, this can act as an advantage to the firm as the company will not struggle to reach to the target customers, infact it can be approached by them and used by them. So, entering in the market of London borough for drugs consultation services can be regarded as a good idea while looking at the economic features of the city (Ryan, Hislop, and Ziebland 2017).  
• Large population present in the country supports the small entrepreneur to enter in the market and sustain their pace. Connecting this economic feature to the services provided by Frank, it shall be noted that such market penetration will give rise to the new and budding entrepreneurs in the country. Two feature of this aspect can help the company to grow, one of them is the large population, it shall be not that number of youngster attain drug at a tender age is increasing along with increase in population. Calculating the ratio of 2015-16, it fact that came into existence is that around 15.8% of young people (975,000) used harmful chemical (NHS Digital 2017). This shows that there is a need of such services in the market. Another feature is that as the market support new ventures to settle their business in the target market, thus the big firms already involved in drug and other substances consultation services will not flush off the growth of the company in the target market (Hagell, Hagell, Lamb, and Lamb 2016).
• Also it shall be noted that is high per capita income in the country due to which as discussed earlier people have more cash in hand. Resulting to which misuse of drugs is made as they are consumed by youngsters for fun and enjoyment. If they will not get the money to purchase drugs then they will not consume it as well. Thus, it is one of the features which give rise to the need of drug misuse consultation services in the city. Resulting to which it shall be known that it is viable for Frank to open their Firm in London Borough (DrugWise 2017).

Social factors refer to those factors present in the external environment of the organization which show the change in social conditions of the market which also affects the workings of the company. Here in the case of Frank it shall be noted that social factors are one of major aspect which can affect the business of Frank in London Borough (Eva, et. al., 2014). Further details are the social factors of London which can affect the consultancy services of Frank are discussed below:

• The high social standard population of plays a great role in affect the ratio of drug use in the society. It shall be noted that now a days drugs are easily supplied in the market due to which people who have rich ad spoilt kids are affect with this problem as their young kids intake such harmful content. Use of drugs has now become a trend in culture among rich class people, due to which it has become very important to teach parents and youngsters about the use of drugs and its implications.  Also the city has many social cause organizations which strongly work for banning the illegal supplying of drugs to young kids. Such organizations also provide information about the cons of such products. Thus, it shall be noted that such organization can help the organization in its promotion (Sayal, et. al., 2017).
• Also looking at the sociological factor the fact came into account that there is high degree of dependency ratio, which shows that there is more degree of people are dependent on a single bread earner in the family. Due to such pressure the young age people start to take harmful substances. This causes ill-health of them and makes the condition of the family more wore. Resulting to which the country is also impacted economically. Thus it shall be noted that if precautionary measures are taken to secure the high degree prone people from use of drugs then the country can also grow properly and dependency ratio can also decrease.  
• Also it shall be noted that many students are migrating to London for the purpose of studying and they get attracted to such harmful substances due to which they destroy their career, money, time, health etc. Thus proper teaching shall be given to such people so that they can run on the right path and become a successful person in life. And he is starting this venture in London Borough to provide such services only (Baltag, and Sawyer 2017).

Political Factors

Technological factors refer to those factors related to the expansion process of the consultancy firm which affects the activities of business in London market (Ho 2014). Further technological factors present in external environment are discussed below:

• Being an MEDC (More Economically Developed Country), the UK has the power of technology in their hands. Such technical factor has already assisted Frank in initiating their consultancy services, so now also these services will help in inaugurating the drugs related consultancy organization in London Borough. It shall be noted that technology is the initial priority of the government of the country due to which they are aiming to implement them in all sectors of the country including healthcare. Companies which utilize qualitative soft skills are given first preference as it helps the country in growing forwards and reaching to the community on a whole. Thus, this venture has t possibility to receive approval from the government due to its technological use in initiating activities (Burns, and Birrell 2014).
• Connecting technology to healthcare it shall be noted that the country is growing fast and providing healthcare services but there is no proper guidance on the usage of the technology for the betterment in the field of healthcare. Thus, such consultancy services will help both the health care organization and the people to get knowledge about the use of resources for their own betterment.
• Further effective intellectual laws are laws implemented in the society which will give authority to and first preference to the new venture to originate their company in the market.

• Talking about the recommendation to manage the expansion of the business in London, Borough the initial recommendation which shall be given to Frank is that he shall not ruin his online consultancy business because of the new venture. Talking risk in order to grow is one thing and focusing on only one new business to grow is wrong. On the initial level rank started the free online advisory services, due to which he earned name and respect in the target market. This reputation will help Frank open his venture in London borough.  So, he shall not ignore his online business for the search of revenue from new business (Nambiar, et. al., 2017).
• Expansion is one of the major risk factors which can either ruin the whole business or it can provide great success to company. Thus this factor shall be overlooked, while expanding the company shall start from the basic level services as there is not much efficient staff with Frank. Also it shall be noted that the business is not familiar with the London market condition due to which changes in the market an adversely affect the growth of the company. And failure on the initial level can act as a danger for the company (Eichler, et. al., 2015).
• Advertise and promotion is one aspect which can help the company to grow with time and gain the target market. By the way of advertisement people will get to know about the new company entering in target market. With such promotion, gradually the number of customers will increase which will earn revenue for the company (Wood, and Reynolds 2013).
• Apart from that, it is important for the business to initiate the segmentation, targeting and positioning process in the external environment. This will help the company to gain knowledge about the number of drug addict youngsters prevailing in the environment. With such information the company can take adequate measure to prevent them and consult them as well. Also they shall gain information about the healthcare organizations and social committees which promote the prohibition of drugs in the society. In association with them the company shall initiate road shows and rallies so that people get aware about the illicit effects of drugs in the society. Also if they will get connected to such social groups and health care of organization then it will get easier for the company to recommend such organizations and provide advisory services (Lee 2014).
• Expansion has both pros and cons so the company shall consider the above mentioned PEST analysis and then initiate their action plan. The action plan shall include the management objective and marketing plan as well. The organization defines an objective and set a target on the basis of they shall work in order to accomplish them. And the marketing plan shall be initiated in such a way that it identifies the right market opportunities to enter in the control and gain position. Further the plan shall provide advertisements and promotions schemes, such scheme shall attract the customers by providing them benefits like, discounts, additional services etc. Also the whole managerial team shall aim for the target, not just set of few people can target to achieve the market share. So practice of team building and team work shall be implemented in the organization. Thus, with help of such practices the company can aim the process of expansion effectively (Un-Habitat 2016).  

Conclusion 

In the limelight of above mentioned events it shall be noted that Frank shall inaugurate their advisory services company in London, Borough as the market analysis shows that the company is fit to enter in the market and initiate their business activities. Further it shall be noted that the PEST analysis of the market place shows that London is highly attracted by young drug addicts. High income in hand leads to more usage of money due to which such youngsters spend their money on illicit products. There are many non-governmental organization and rehabilitation Centre which provide healthcare services to drug addicts, so with the help of such organization they shall aim to enter in the target market and provide true consultancy services to its customers. Lastly, the above-mentioned task also provides recommendations to the company for their plan of expansion in London, Borough.

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