Structural change refers to a long-term shift inthe fundamental structure of an economy, which is often linked to growthand economic development. For example, a subsistence economy maybe transformed into a manufacturing economy, or a regulated mixed economy isliberalized. Economic change http://www.retailgazette.
co.uk/blog/2011/09/00001-poundland-signs-new-technology-infrastructure-dealE.g. Pound land usesits core LAN infrastructure to oversee stock control, distribution, financialand staff management systems and to integrate sales and stock information, viaEPOS, with a 24-hour warehousing operation. Pound land are affected by technology because all theircompetitors have online websites such as Morrison’s, Tesco’s and home bargains.This means that to keep up with their competitors they have to create their ownwebsite which will cost them loads of money also to run the website will cost them loads of money as well. The purposeful application of information in the design,production, and creation of goods and services, and in the organization ofhuman activities.TechnologyPound land are effected by demographic because they cannotput one of their stores on to a top floor because the older generation who maybe using walking sticks or have trouble using stairs will not be able to accessit.
Also pound land need to make sure that their stores are unisex and thatthey sell both women’s and men’s items so that both genders can shop there.Another demographic factor that affects pound land is income, pound land needto make sure that their products are cheap so customers on low income canpurchase the products.The demographic factors of the market in which anorganization operates, and which are used to segment the target population foreffective marketing.Demographic Finally pound land are affected by other competitorslowering their prices which force pound land to lower there prices so they cancontinue to make more revenuePound land had to close down the old store of pound land inthe kingfisher shopping centre because they had to buy the pitch for the new poundland that opened in a different side of the kingfisher centre.Pound land close earlier on Sundays than normal due to thetrading hours policy.
Pound land do not have to open up and it is strictlyvoluntary however they do open up but shorten working time. Implementation of legislation – Competition Act 1998(Morrison’s and Safeway), Enterprise Act 2002 (Dell), Markets and policiesinitiatives (Tesco Local) Planning guidance – Retailers must follow strict guidelinesif they wish to build new premises or make significant changes to their currentpremises Trading hours – The Sunday Trading Act 1994 gives retailersthe right to trade on Sunday. However working on a Sunday is strictlyvoluntary! Government policies can impact on crucial areas such aseducation and health and safety in the workplace. Other relevant governmentpolicies include:Legislation Macro environment affects pound land because they can change the way they lay out the shop or whichproducts they buy and if they are the same or different. Another way macroenvironment affects pound land is bygiving the same products at a cheap ratethan their competitors such as 99p store .
Another way pound land can use macro environment is by changing markets and beginning to dodifferent products such as more expensive products but not as good quality andat a cheaper rate.The big uncontrollable factors that influence anorganization’s decision making, and affect its performance and strategies.These factors include the economic factors; demographics; legal, political, andsocial conditions; technological changes; and natural forces.
