Essay Sample on Indian Groceries: SWOT and PESTEL Analysis

Published: 2023-03-28
Essay Sample on Indian Groceries: SWOT and PESTEL Analysis
Type of paper:  Essay
Categories:  Management Business SWOT analysis
Pages: 5
Wordcount: 1105 words
10 min read

Businesses operate in environments that tend to influences their operations and impact on the organizations' operations and plans. These environments are grouped into two broad categories, those that are within the control of the organization (SWOT) and those beyond their control (PESTEL). SWOT involves the internal factors that are in close proximity to the organization's control and which the company can decide on the course of action. On the other hand, PESTEL entails those factors that are beyond the company's control, and they need to adjust to the situations. In my case, the focus will be on analyzing these factors and how they affect my business, Indian groceries (SammutBonnici & Galea, 2015).

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SWOT Analysis

This involves looking at the Strength, Weaknesses, Opportunities, and Threats that my business will face with the aim of coming up with the best strategy and plan to succeed in the ever-competing market. I believe a closer examination of these aspects within my control will be critical in giving direction to my business.


My business possesses pertinent strengths that are key in giving me a competitive edge over the other seller. I offer multiple categories of product lines, and this means that my customers can quickly get their groceries within a single visit or by placing orders at a go without moving from one shop to the other. I also ensure that the business has got enough supplies, and customer's needs are met at any given time as opposed to the out of stock scenario in most shops. Leveraging technology is my greatest weapon since it eases my order processing and linking with delivery persons more efficiently. I am strategically situated hence making it easy for customers to access the premise and receive of the supplies. Additionally, the environment is ever kept clean, thereby attracting more clients.


I believe I do not have the financial muscle to deal with the expanding Indian market. Indian continue to flow into the area hence the need for me to keep on expanding my business to enjoy the economies of scale. The financial challenge acts as a barrier since I cannot compete with the supermarkets in the area that are a multi-billion dollar. Another weakness is the inability to employ a more experienced manager to run the business, given the level of the company and financial strength.


Vast opportunities exist for me to operate my business. Among them is the ever-growing social media users that can quickly identify my shop and order through the app. The specific Indian grocery business has fewer participants compared to the normal grocers' markets. This offers a chance for me to enhance brand loyalty and grow my business. Additionally, the increase in Indians in Saint John means my business is likely to flourish if I positioned myself well in this growing niche. As Indians expands to other nearby cities, my business can also thrive with the growth.


Various small businesses in the region are a threat to my prosperity since other Indians may consider buying from them as the market is never guaranteed. It is likely of entry of the vast Indian supermarkets that enjoy financial muscles and can offer considerably lower prices hence locking out small businesses like mine. The investment by such business in technology cannot be outdone by the small sellers as they have finances to invest more in their service delivery. Some businesses are well known by the residents in the area, meaning it will take time and more effort to change their perception and see my business supplies like the best.

PESTEL Analysis

These external environment factors that influence my business, and they include Political environment, Economic conditions, Social, Technological, and the Legal Environment. These factors are beyond my control; hence I have to adapt to them continually.

Political and Legal Environment

This reflects how the government influences my business and the industry through the legislation made. Among the regulations includes GMO food and organic legislation, which is an opportunity in the market. The government also controls the free trade agreements that affect the industry I operate in. The decision by the government to tax or not to tax small sellers has an impact on my business as this reduces my profit or vice versa. Having political stability in the area means my business will flourish as the inhabitants have operated peacefully.

Economic Environment

The economic conditions have a massive impact on my business as the buying power of the customers is affected, and the cost of supplies varies. When the economy is stable, and the inflation rate is balanced, my business is likely to perform well as an equilibrium is reached between the demand and supply. This means the cost at which I acquire the supplies will be manageable and within a good range for me to put my mark-up. The cost of borrowing for expanding my business is also within reach; hence, I can expand comfortably to other areas and increase my stock level. The rise in labor costs can as well mean that it will be expensive for me to hire skilled personnel to help in running the business.

Social Factors

Various social conditions tend to influence my employees and consumers. There are demographic characteristics of the Indians, their norms, values, and customs that influence my business. The continued growth of the Indian population if pivotal for my business growth and expansion. Adequate distribution of income among them means that every household will be able to make purchases towards ensuring healthy living among their families. The cultural barrier tends to limit my scope to only Indians, as others will fill neglected.

Technological Factors

Being innovative in the business environment distinguishes between being smart and not. The world is changing, and by me, increasing the level of automation means that I am on the right path. Having mobile apps for ordering by clients makes it easy for my operation as I save more time. The government also comes up with laws that regulate GMOs. There is a need for my business to keep up with the ever-changing ways of operating and managing my business.

In conclusion, an in-depth analysis of the factors affecting the business from both internal and external is critical for my business success. Business needs to have clarity on these factors in order to plan their marketing and penetration strategy by ensuring they are well-positioned to handle the changes. The key to success is to be proactive and ensure the business operates with all the requisite licenses and keeps up with the changing world.


Sammut Bonnici, T., & Galea, D. (2015). SWOT analysis. Wiley Encyclopedia of Management, 1-8. Retrieved from

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