Mr Price Swot Analysis

Mr. Price Group is one of the fastest growing fashion retail groups in South Africa that sells predominantly for cash. The Group’s retail chains focus on clothing, footwear, sportswear, sporting goods, accessories and homeware. As of 2009 it operated 954 stores in Southern Africa and 17 franchised stores in Africa and the Middle East. The company’s remarkable performance since it opened its first store in Durban in 1985, is evident by its listing on the JSE 25 years ago, and by the rise in share price over time. Mr Price’s innovative and experienced management team has ensured that their product appeals to a wide spectrum of customers. The retail group has withstood numerous competitors and economic crises over the decades and remained

The micro environment includes the company’s vision, mission statement, goals and objectives. It also includes the organizational culture and organizational resources of the company. Basically the micro environment includes the factors that can be influenced and controlled by the company. It refers to the eight business functions as well. The micro environment is where Mr Price can create and develop strategies to assist with the improvement of the internal

This shows a strength in the ability of their administration.

• Its greatest strength lies in its sales turnover being 80% cash and the remainder credit

• The clothing remains affordable in comparison to other large retailers like Truworths and Edgars, in keeping with the word value in its mission statement.

Weaknesses:

• Mr Price has been accused of producing poor quality garments due to the poor quality of materials. This has resulted in loss of faith from customers. This weakness places responsibility on the purchasing function of the micro environment to ensure better quality goods and raw materials are sourced out and negotiate favourable rates.

• It has also been associated with being cheap-looking and cluttered with untidy stores. There is also poor assistance to customers in the store. All these factors can be directly linked to management and poor employee supervision within the internal environment.

• A lot of the clothing is imported from China resulting in poor quality goods and size issues, as well as an unhealthy association with Chinese Sweatshops and supporting child slavery.

• Mr Price online has proven unreliable with many complaints on the internet regarding online