Contemporary issues in business (Primark) Essay

Contemporary issues in business (Primark) - Essay Example Based on the success rate of the company, it has become apparent that more stores are needed to be added to the chain for improving its value. The company caters to the customers belonging from diverse age groups (Primark Stores Limited, 2013). It targets those consumers who are fashion conscious and want proper value in return for their money. The company caters to the market by way of fulfilment of needs of the people by supplying both menswear and ladies-wear. In addition, it also aims to meet the requirement of the market by way of supplying other products that range from accessories & hosiery, children’s wear and footwear among others. The company is said to attain a sales target of ?3.5billion in the year 2012 which is quite impressive (Northern and Shell Media Publications, 2013). The company has a very effective supply chain that brings together different manufacturing units in India, Turkey, and Bangladesh, China and other countries, having a number of retail outlets in the United Kingdom, Ireland, and in other parts of Europe (The Times Newspaper Limited and  ©MBA Publishing Ltd, 2010; Dobson, 2004). In relation to the ethical and corporate social responsibility, the company acts in a much diversified manner. It focuses upon delivering quality products at cheap prices and at the same time retaining the customers by way of creating value for the goods which are manufactured. Identification of the CSR responsibilities of Primark is considered to be the main theme of the paper. Additionally, the paper also aims to highlight various reasons for which the company focuses upon developing and third world countries in relation to sourcing of its products. A Snapshot of Primark Store Source: (The Times Newspaper Limited and  ©MBA Publishing Ltd, 2010) 2.0 Reasons for Sourcing From Developing Countries The primary reason for sourcing from developing countries is to source the products in an efficient manner. Moreover, the company in order to improve the manufacturing process the company opted for developing countries. Another reason was to utilise the local fabrics for producing the products. The other reason for sourcing was to create a strong focus on the current product trends (Choi, 2012). 2.1 Growth Rate It would enable to provide high opportunity of growth to the developing nations. It would allow the company to achieve the high rates of growth because it will get to expand its business channels. Primark’s business expansion comes from fulfilling the needs of the customers along with continuing to expand its markets in the selected regions. The company is able to implement very effective marketing strategies as it is primarily laying its focus upon the developing countries. These factors can prove to be concurrent in relation to the aspects related to growth (Grose, 2011).Therefore, the company planned to source its products from developing countries to attain high rate of growth through sourcing the products from developing nations (Grose, 2011). 2.2 Competitive Advantage This would lead to growth of an ideal company