Environmental analysis for Bamboo Bicycle - Expert Assignment Help
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Environmental analysis for Bamboo Bicycle - Expert Assignment Help

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Question

Situation analysis of the selected sustainable market offering

This section of the report elaborates on those parts of Section 1 that relate to the final chosen market offering positioned on sustainability. It comprises three parts and draws on various Study Guide topics:

Environmental analysis (draw on Topic 2)

An assessment of current external macro- and microenvironmental factors pertinent to the future of the sustainable offering:

  • Main issues and trends within political/legal, economic, socio-cultural, technological and ecological (PESTE) macroenvironment
  • Competition: main direct and indirect competitors (e.g. in terms of their size, goals, market share, product quality, marketing strategies and other characteristics that are needed to understand their intentions and behaviour). Focus on their key competitive advantages and weaknesses. How are they positioned?
  • Suppliers and intermediaries: main issues and trends
  • SWOT analysis:
  • Describe the sustainable offering's internal strengths (things it does well) and weaknesses (things it does not do well).
  • Describe the opportunities and threats in the external environment that would influence the prospects of the offering.
  • Assess how strengths might be matched to opportunities to produce leverage.
  • Assess the problems that result when environmental threats attack weaknesses in the offering.
  • Anticipate how internal weaknesses or limitations may prevent the offering from taking advantage of opportunities.
  • Anticipate how strengths might be used to used reduce the vulnerability to threats.
  • Information needs to be filled and an outline of the marketing research (secondary, primary) required to do so (draw on Topic 4).

Solution

Environmental analysis

Through the means of the present review, an analysis of the bamboo bicycle industry is conducted. This analysis is inclined to gain a comprehension of the macro and micro industry factors pertinent to this sustainability product offering. 

Macro-environment analysis (PESTEL) 

  • Political considerations: Bamboo has been often recognized as the poor man’s gold and is deemed as an environmentally sustainable product. However, the product extraction laws, as per the forestry department of the country of operations, become an important consideration. In most cases, bamboo is grown on the government-owned land and hence gaining access for harvesting amidst the standardizations become a concern (Myanmar Bamboo Sector, 2015)
  • Economic variables: It is a bio-based economy solution, and hence the cost in terms of sequestration is reduced (Lugt et al. 2015). 
  • Social considerations: The impact on rural development and wider economic development allows the business model to strengthen in terms of the CSR index (Panda, 2011). The environmental impact through this cultivation and reduced utilization of the alternate improve green social index (Lugt et al. 2015).
  • Technological aspects: There is a lack of standardization in the harvesting of the products because of which bamboo of different ages are collected, and the pulping mix becomes heterogeneous in nature (Panda, 2011).
  • Environmental variables: the main environmental benefit is on the resource side for the present business model, where bamboo can be grown even in the land that is not harvested, and there is a quicker scope of reforestation (Lugt et al. 2015).
  • Legal aspects: since there is no steady availability of the product, the maximization of the raw product can be ensured through a wide area of cultivation, which raises questions for the legal framework of the businesses, especially while partnering with the forestry departments and rural communities (Myanmar Bamboo Sector, 2015).

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Competition analysis

The primary competition for the business is the traditional bicycles. In addition, competition with other agriculture products becomes a point of consideration (Myanmar Bamboo Sector, 2015).

Suppliers and intermediary's challenges 

The products are supplied by the local producers who partner with the manufacturers and the rural community (Myanmar Bamboo Sector, 2015).

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