M INISTRY OF S OUND Sabena Ahmad Iveta Smincakova Dawn Bradbury

M INISTRY OF S OUND  Political  Economic  Social  Technological  Legal  Environmental  Strengths  Weaknesses  Opportunities  Threats PESTLE analysis SWOT analysis

P ESTLE ANALYSIS Political :  Rule of Conservative Government  International relationships enabled UK businesses to spread worldwide Economic:  Growing market for dance music beginning 20 th century (34% in 1991)  Downfall of UK singles markets to 15.4% in 2002 Technological:  Rapidly changing music environment requires investment in new up to date equipment. Social:  Expansion of the business worldwide/increase in number of clubs and visitors  Festival weekends  By 2001 the Ministry’s touring hosting 300 events worldwide e.g. China and India  Security dealing drugs to clients in the clubs Environmental:  Campaigns against drug use  Noise barriers  Under age drinking law Legal:  No strict legal restrictions for drug use  Local laws restricting late night attractions in overseas venues

S WOT A NALYSIS Strengths:  Innovative idea of CEO (Dance Club)  Convenient location  Good educational background/experiences of the founder  Investment in sound equipment  Internationalization  Expansion into broadcasting and traditional advertising Weaknesses:  Drug dealing part of the dance culture  Inability to keep up with the competition (same music style)  Closure of parts of the business as a result of losses Opportunities:  Growth of business into different niche market  Change of marketing strategy (Logo)  Joint venture with 3i  Change of corporate strategy after downfall of the company (branding)  Three separate division (international brand and marketing) Threats:  Competition (Live music, festivals e.g. commercialisation of Glastonbury)  New entrants to the market  Change in music style  Political and economic issues in different countries  Loss of credibility – become too mainstream

C RITICAL SUCCESS FACTORS  Innovative ideas  Long term corporate strategy  Clearly defined strategy objectives  Globalisation  Business environment and resources  Management at all organisational levels  Market positioning  Shared vision and goals (top-down hierarchy)

M AJOR I SSUES Short-term strategic planning Brand positioning Inability to maintain change Narrow market and target audience