Strategic Analysis

The Strategic Analysis of J D Wetherspoon

Volume
3

556 pages

   

The STRATEGIC ANALYSIS is intended to give an extremely far reaching strategic analysis of J D Wetherspoon and thereby explore the medium and long term problems and opportunities for J D Wetherspoon. This provides a vital input to Corporate Planning and Development.

MEDIUM + LONG TERM STRATEGIC CONSIDERATIONS: Long Term Market & Product Forecast, Consumption Forecast, Long Range Forecast for Products, Product Growth, Factors for Profitability.

MARKET ENVIRONMENT: Growth, Structure, Service, Customers.

THE PRODUCT: Life Cycles, Market Share, Product Quality, Product range, Profitability, Pricing, Service Quality, New Products.

COMPETITION: Market Share, Profitability, Competition, Market.

THE INDUSTRY: Industry Growth, Costs, Capacity, Productivity, Labour, Unionization, Capital Structure, Investment, Margins, Integration, Marketing costs, Process, Distribution, Market Penetration.

MEDIUM + LONG TERM STRATEGIES: Build, Hold or Harvest

MEDIUM + LONG TERM CHECKLIST: Profitability, Productivity, Market Shares, Customers, Sales Promotion, Product Availability, Competence, Products, Quality, Pricing, Competitors, Performance, Service, Customer Base, Costs & Margins, Distribution Channels, Forecast of Financial + Operating Data.

MEDIUM + LONG TERM CHECKLIST recommends a working plan or document for the critical factors which influence J D Wetherspoon in strategic terms. The data is given as a matrix by Subsidiary, Division, Unit or Market sector.

CRITICAL LONG RANGE FORECASTS: Long Term Market & Product Forecast          - Overall Market Forecast for the Industry - Long Range Country / Trade Cell Forecasts     - Long Term Product Growth for J D Wetherspoon

THE LONG-TERM MARKETS:  The Market section consists of a LONG-TERM MARKET CONSUMPTION forecast giving data for each year from 2014-2028. Market Consumption & Market Trend figures are given:- by EACH COUNTRY / STATE / REGION by EACH PRODUCT Group and/or MARKET by YEAR 2014-2028

LONG-TERM PRODUCT PROFILES:  Figures are given by EACH Country / State or Region by EACH PRODUCT and by Year (2014-2028). This section provides Market data for each Product or Market Sector in a matrix for all the countries or states (covered by the report) in the Long-Term.

LONG-RANGE PRODUCT SUMMARY:  Figures are given by EACH Country / State or Region by EACH PRODUCT. The PRODUCT SUMMARY section is designed to provide a forecasted overview for each Product or Market Sector (covered in the report) in the Long-Term.

 

VOLUME 3.1 

STRATEGIC CONSIDERATIONS

 

This section provides a quantitative, narrative and graphic analysis of the many strategic considerations vital to the medium and long term future of J D Wetherspoon.

The data is given as a matrix by Subsidiary, Division, Unit or Market sector.

J D WETHERSPOON STRATEGIC PERFORMANCE

CRITICAL LONG RANGE FORECASTS

1. Long Term Market & Product Forecast
2. Overall Market Forecast for the Industry
3. A Long Range Forecast 
4. Long Term Product Growth for J D Wetherspoon

 

THE PRODUCTS

1. Life Cycles & Stages in the Life Cycle & Gompertz Analysis
Market Share & the product life cycle - Quality & the product life cycle - Product range & introduction or dynamic Stage life cycles - Product Range & Capital Intensiveness - Market Share & selling customized or specified products - Profitability, market share & Product uniqueness

2. Relative Pricing

3. Quality
Value Scale - Relative Product Quality - Profitability & Quality Products & Services - Relative Product Quality & Levels of Profitability - Quality Profits & Concentrated Markets - Product Quality & Relative Market Share - Product Quality, Profitability & Growth

4. New Products
Profitability, growth markets & new products - New product introductions, pricing & profitability - New product introductions, investment & profitability - Levels of new products, product quality & profitability.


COMPETITION

1.The Market Share
Market share & profitability - Profitability & relative market share - Company Market Shares

2. Relative Market Shares

3. Nature of the Competitive Situation
Entry & exit of competitors - Relative Strengths of competitors

4. Perfectness of the Market

 

THE INDUSTRY

1. Long Term Industry Growth

2. Physical Process Considerations
Costs & market shares - Capacity Utilization & market shares - Productivity & profitability in growth markets - Levels of labour Unionisation & market shares - Unionisation, profitability & growth - Unionisation, profitability & concentration - Unionisation, profitability & harvesting strategies - Profitability, processes & market shares.

3. Capital Structure & Investment Intensity
Profitability & investment intensity - Net margins & investment - Gross margins & investment - Profitability, market share & capital intensity - Productivity, profitability & investment intensity - Capacity Utilization, profitability & capital intensity - Inventories level, profitability & capital intensity.

4. Physical Process & Vertical Integration
Profitability, market share & vertical integration - Profitability, diversification & vertical integration - Profitability, vertical integration & numbers of customers - Profitability, vertical integration & product quality - Profitability, vertical integration & inventory value - Profitability, vertical integration & employee productivity.

5. Marketing & Sales Costs
Profitability, market share & marketing costs - Profitability, capital intensity & marketing costs - Profitability, numbers of customers & marketing costs - Profitability, product quality & marketing costs - Profitability, new products & marketing costs.

6. R&D + Process Development Costs
Profitability, R&D expenditure & market cycle - Profitability, R&D expenditure & product quality - Profitability, R&D spend & marketing costs - Profits, R&D spend & market share - Profitability, R&D spend & Unionisation.

7. Distribution of the Company's Products

8. Market Penetration & The Right Tools for the Job

9. Market Share & J D Wetherspoon
The relationship between market share & profitability
a) Market share, profit/sales & investment. The relationship between market share & added value / Vertical integration & investment/sales - Conclusions for J D Wetherspoon
b) The relationship of market share & sales ratios / investment/sales ratio & integration - Conclusions for J D Wetherspoon
c) Marketing costs/sales ratio & market penetration
d) Market leadership, pricing & product quality
e) Market leadership, customers & product advances
f) Purchase frequency & Market Share
g) Customer base fragmentation & Market Share

 

MEDIUM + LONG TERM STRATEGIES

Building, Holding and Harvesting Strategies:-
1. When to Build Market Share - Building strategies for J D Wetherspoon
2. When to Hold Market Share - Holding strategies for J D Wetherspoon
3. When to Harvest Market Share - Harvesting Strategies for J D Wetherspoon


MEDIUM + LONG TERM CHECKLIST

This section recommends a working plan or document for the critical factors which influence J D Wetherspoon in strategic terms. The data is given as a matrix by Subsidiary, Division, Unit or Market sector.

Medium & Long Term Checklist for J D Wetherspoon:
Forecast of Profitability ~ Forecast of Productivity ~ Forecast of Market Shares ~ Recommendations on Customer Awareness ~ Recommendations on Customer Perceptions ~ Recommendations on Sales Promotion Activity ~ Recommendations on Advertising Posture ~ Recommendations on Product Availability ~ Recommendations on Technical Competence ~ Recommendations on Awareness of Products ~ Recommendations on Awareness of Product Quality ~ Recommendations on Awareness of Product Pricing ~ Recommendations on Pricing Relative to Competitors ~ Recommendations on Quality Relative to Competitors ~ Recommendations on Relative Product Performance ~ Recommendations on Relative Technical Superiority ~ Recommendations on Relative Service Factors ~ Forecast of Current Customer Base ~ Forecast of Annual Sales of Products & Services ~ Forecast of Current Sales ~ Recommended Costs & Margins ~ Recommended Distribution Channels & Networks ~ Forecast of Pre-Tax Profit / Total Assets ~ Forecast of Pre-Tax Profit / Sales ~ Forecast of Pre-Tax Profit / Capital Employed ~ Forecast of Pre-Tax Profit Per Employee ~ Forecast of Investment / Sales ~ Forecast of Receivables / Sales ~ Forecast of Inventory / Sales ~ Forecast of Physical Process Costs / Sales ~ Forecast of Total Marketing Costs / Sales ~ Forecast of R&D Expenditure / Sales ~ Forecast of Added Value ~ Forecast of Capacity Utilization ~ Forecast of Relative Product Quality ~ Forecast of Relative Product Pricing ~ Forecast of Competitors ~ Forecast of Competitors' Strength ~ Forecast of New Products ~ Forecast of Product Life Cycles ~ Forecast of New Product Horizons ~ Forecast of Relative Competitive Sales-Force Expenditure ~ Forecast of Relative Competitive Advertising Expenditure ~ Forecast of Relative Competitive Promotional Expenditure.

 

NEW PRODUCT DEVELOPMENT + PRODUCT SCREENING

The report will provide a fully developed product screening procedure for the future use of readers when evaluating existing products and new product opportunities for J D Wetherspoon.

 

COMMERCIAL DECISION SCENARIOS : BALANCE SHEET + COSTS FORECASTS

  1.     BASE FINANCIAL + OPERATIONAL FORECAST SCENARIO
  2.     MEDIAN MARKET SCENARIO
  3.     MARKET SEGMENTATION FORECASTS
  4.     PRICE INCREASE EFFECT ON FINANCIAL + OPERATIONAL FORECASTS
  5.     QUALITY IMPROVEMENT FORECASTS
  6.     NEW PRODUCT DEVELOPMENT FORECASTS
  7.     NEW PLANT + EQUIPMENT INVESTMENT FORECASTS
  8.     NEW TECHNOLOGY INVESTMENT FORECASTS
  9.     MARKETING EXPENDITURE FORECASTS
10.     DISTRIBUTION CHANNEL IMPROVEMENT FORECASTS
11.     PERSONNEL + STAFF IMPROVEMENT FORECASTS
12.     COST STRUCTURE IMPROVEMENT FORECASTS
13.     EXPORT SALES IMPROVEMENT FORECASTS


Each of the above scenarios contains Forecast Data (to 2028) for J D Wetherspoon which cover the following items:-

     Total Sales; Domestic Sales; Exports; Pre-tax Profit; Interest Paid; Non-trading Income; Operating Profit; Depreciation; Trading Profit; Fixed Assets; Intangible Assets; Intermediate Assets; Total Fixed Assets; Stocks; Debtors; Other Current Assets; Total Current Assets; Total Assets; Creditors; Short Term Loans; Current Liabilities; Total Current Liabilities; Net Assets; Shareholders' Funds; Long Term Loans; Long Term Liabilities; Capital Employed; Directors' Remunerations; Employees' Remunerations; Total Employees

     New Technology Expenditure; New Physical Process Technology Expenditure; Total Research & Development Expenditure; Plant & Equipment in Use: 0-3 years; Plant & Equipment in Use: 3-6 years; Plant & Equipment in Use: 6-9 years; Plant & Equipment in Use over 9 years old; Plant & Equipment Investment greater than Depreciation; Plant & Equipment Investment Less than Depreciation; Capital Expenditure on Plant & Equipment; Capital Expenditure on Structures; Capital Expenditure on Miscellaneous Items

     Return on Capital; Return on Assets; Return on Shareholders' Funds; Pre-tax Profit Margins; Operating Profit Margin; Trading Profit Margin; Assets Utilization; Sales as a ratio of Fixed Assets; Stock Turnover; Credit Period; Creditors' Ratio; Working Capital / Sales; Current Ratio; Quick Ratio; Borrowing Ratio; Equity Ratio; Income Gearing; Total Debt as a ratio of Working Capital; Debt Gearing Ratio; Average Remuneration; Profit per Employee; Sales per Employee; Remunerations / Sales; Fixed Assets per Employee; Capital Employed per Employee; Total Assets per Employee; Exports as a % of Sales Materials & Energy Costs; Payroll Costs; Total Process Costs; Sales Costs; Distribution & Handling Costs; Advertising Costs; After-Sales Costs; Total Marketing Costs; Added Value

     Capacity Utilization as a measure of Standard Capacity; Relative output of Products of a Superior Quality as a % of the Total; Product Pricing as a % of the Market Average; New Products as a % of the Total Output; Index of Comparative Salesforce & Selling Expenditure; Index of Comparative Advertising Expenditure; Index of Comparative General Promotional Expenditure; Wholesale Customers; End User Customers; OEM & Manufacturing Customers; Consumer & End User Customers; Governmental Customers; Non-Specific Customers.

 

VOLUME 3.2

MARKET DATA

The Market section consists of a long term forecast breakdown giving data for each year to 2028.

PRODUCT MARKET CONSUMPTION

Market Consumption & Market Trend figures are given:-
                 by EACH COUNTRY / STATE / REGION
                 by EACH PRODUCT Group
                 and/or MARKET Sector
                 by YEAR to 2028

 

VOLUME 3.3

PRODUCT PROFILES

Product Profiles consists of a breakdown giving data for each Product covered in the report.

PRODUCT PROFILES    Product figures are given:-
                                               by EACH COUNTRY / STATE
                                               by EACH PRODUCT Group
                                               by YEAR to 2028 + PRODUCT data & forecasts

 

VOLUME 3.4

PRODUCT SUMMARY

The PRODUCT SUMMARY section is designed to provide an overview for each Product or Market Sector in the Long-Term.

MARKET GROWTH RATES:   Average Annual Growth Rate

MARKETING COSTS: % of Turnover: ~ Sales & selling ~ Handling ~ Advertising ~ After-sales ~ Marketing

INVESTMENT: INVESTMENT % of Turnover ~ New technology investment ~ Process technology investment; PLANT & EQUIPMENT % of Total P&E by Age groups; P&E INVESTMENT % of Companies by Depreciation levels

INDUSTRY FINANCIAL DATA:  Profit/ total asset ~ Profit/ sales ~ Sales/ total assets ~ Profit/ capital employed ~ Sales/ employee remunerations ~ Capital employed/ remunerations ~ Sales/ stocks ~ Current ratio ~ Credit taken

INDUSTRY PROFILE:  INDUSTRY CONCENTRATION % OF TOTAL REVENUE by Company size ranges

CUSTOMER BASE PROFILE: % OF TOTAL REVENUE Wholesale ~ End User ~ OEM + trade buyers ~ Government ~ Other customers;

COST STRUCTURE:  % OF TOTAL REVENUE ~ Payroll ~ Materials ~ Value added;

INVENTORY STRUCTURE:  % OF TOTAL REVENUE Total inventory ~ Finished products ~ Work in progress ~ Materials;

CAPITAL EXPENDITURE:  % OF TOTAL REVENUE Total capital expenditure ~ Plant & equipment ~ Structures ~ Other expenditure.

 


The Strategic Analysis    TABLE OF CONTENTS : VOLUME 3