Contemporary Developments in Business and Management Assignment Help

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Managing operations and supply chain

Executive Summary

The report is prepared to focus on the emphasized analysis regarding the case of the Hungry House. Therefore this analysis should contain the implications of the various external environmental factors of the Hungry House. Later the report is extended toward the evaluation of the position as well as the responses of the organization. Depending upon that the report is classified into two parts that illustrate two different kinds of factors based on the functions and operations of the company. For that reason, the first part of the report describes the external factors through a detailed explanation of the PESTLE analysis as well as Porter’s Five Forces. Similarly, the second part of the report contains the implications as well as the revelations of the demographic factors concerning the Hungry house in the UK. In addition, the report also includes various influences showing the factors of policy-making and decision-making of the Hungry House in taking different initiatives in the global market.


The traditional business approach somehow shows a clear view of various implications concerning the business environment of many organizations like Hungry House. In that context, the enhanced human resource is also one of the indicators of the radical progress of the growth of the business in the global market. This in return helps the organization to safely dive into the global market (Breen, et al., 2016). In that manner, the organization engrosses various approaches to managing its pace with different backgrounds of business. Thus the traditional attitude of business organizations like Hungry House provides various importance for the importance as well as the growth of the domestic market that chooses the foreign markets. Later this foreign market facilitates the organization with the required competitive advantage (Casanova, Cambal & Weidlichova Luptakova, 2015).

Further, it becomes essential to have a keen study of the market. The reason behind this is sometimes the sluggish performance of the market also affects the growth of the business because of its incompetence. This will eventually result in the downfall of the business. For that reason, organizations, as well as the market, should adapt themselves to globalization. As per Chang, the acceptance will provide the organization with various processes to evaluate the potential loss of the organization. In that manner, the organization can be able to enhance its competency and success by taking successful and effective initiatives. Thus the study of the external factors as well as the demographics will provide a deep understanding regarding the implications of the performances of the organization. Therefore the detailed analysis of the PESTLE and Porter Five Forces will help the organization in creating a positive impact on the organization (Chang, 2016).

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Task 1

As per Dobruszkes, the UK market is undergoing a continuous up and down along with facing the crisis mode after the news of the revelation of the nation break. The markets hate such a kind of uncertainty where global stocks are plunging. In that case, the company must go keenly through the interpretation of the primary as well as essential external influences that become the base of the operations of the Hungry House in the UK. For that reason, this part of the report will engross the part that provides a broad explanation of the market concerning the macro environment of the organization (Dobruszkes, 2013). For that reason, the report presents a comprehensive idea of the macro-environmental factors in the context of the Hungry House along with its operations within the UK market. Thereafter the external factors include the evaluation of the market competency by PESTLE and Porter’s five forces will provide an idea of the competitive environment confronted by the Hungry House in the UK market (Dumas, et al., 2013).

PESTLE Analysis

The PESTLE analysis provides a detailed description of the analysis of the six basic factors that affect the business and its decision in the market. Therefore the study of the political, economic, social, technological, legal, and environmental factors in the context of the Hungry House will help the company to take effective decisions as per the demand of the market.

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The UK is a place that has a strong democratic system but in between also, it has differences between the coalition partners when there is any kind of situation of facing challenges. Thus it is seen that the UK generally adherence to a democratic as well as parliamentary system of governance system. This system known as the Westminster system ensures the proper distribution of power between the higher officials. The higher officials that take participation in the distribution of power are the prime minister, the bicameral legislature, and the judiciary. In that context, the UK market faces some political hindrances due to the issues of the coalition in the current politics. George & Jones said that the issues of the coalition are the result of the growth of the ideological differences raised between the Conservatives and the Liberal Democrats in the ongoing government system which is quite vulnerable (George & Jones, 2015).

It raised tensions within the pro-Europe Liberal Democrats along with the euro-skeptic Conservatives that continue to plague British politics that can also affect the business of various organizations running in the UK market. Thereafter the rise in conflicting views on factors like the immigration economy and welfare reforms can affect the growth of the business. Therefore the UK market is one of the influential markets that engross various successful organizations on the international stage (Jeston & Nelis, 2014). As the UK was one of the most powerful and active members so it includes a conservative approach to the issue of European integration which can have a positive impact on the business of Hungry House in the UK market.


In or out of the context of the Hungry House part it is well known that the economy of the UK market is quite well developed. Though the country has the rising concepts still it faces the issue of the rising of debts which is quite concerning for the government as well as the businesses. But in that case, also its main attraction is its membership in the EU (Kloppenborg, 2014). In addition, it is also known as one of the strongest countries in terms of standard of living as well as the social welfare that will help the country in reaching the highest per capita of GDP in the case of PPP.

The country comes in the first rank getting credited so most of the companies are getting much interested to have their expansion within the UK market. But the increase in the debt has created a threat or alarm between the organizations like the Hungry House. In that case, this alarm will be harmful to the UK government and they can face the backdrop of the contracting economy (Macfarlane & Ottewill, 2013). The condition of the ballooning fiscal deficit brought the situation of downgrade of the economy resulting in a negative outlook for the country that can also affect the business of the country.

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After going through the political and economic now the turn comes to the consideration of the social factors. In that context, it is seen that the UK is one of the countries that have a strong education sector as well as the health sector irrespective of the condition of income inequality. This part eventually attracts people as well as students from all across the globe. The nation also has a good tradition of education is evident from the sources and has a respectable throughout the world. As per Muryjas & Wawer, the ranking of the nation was done based on research, knowledge transfer, teaching, and international outlook.

In addition, the UK also has the most successful healthcare system as well as social ventures in the global market. The success of the infrastructure and healthcare also get enhanced with the involvement of the private sector (Muryjas & Wawer, 2014). In that context, the public expenditure on health also raised by which the UK can be able to maintain the quality of the services provided to the people of the nation. Later though there are various advancements in the social context still there has been an issue of rising inequality. The growth of inequality also somehow posed a threat to the Hungry House when people do not go to opt for order takeaways.


It is another renowned aspect that shows the details of the UK’s strength of capabilities in the field of scientific research and development. The concern is the rise of the declination of patent applications by the residents. This declination is a serious cause for concern.

The reason behind this is the patent is the matter that protects the owner regarding the invention of any patent for any subsequent period (Myers, 2013). In that context, it will hamper future technological factors along with its competency and competitiveness in the global market. The UK is continuing with the growth of its market in terms of the aerospace and defense market as well as mobile penetration. All of these are the symbol of technical advancements.

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By all previous factors of social, economic, and political it is evident that the UK has strong business legislation that always poses encouragement towards commercial activity. The reason behind this is it enhances the interest of the investors which results in the enhancement of the business negotiations as well as dealings. It also resulted in the enhancement of both domestic as well as foreign businesses. In that manner, various companies take their chance on the expansion in the UK market (Ogiela & Ogiela, 2014).

On the flip side though having strong business legislation still, the nation has more traditional liberties that have been a great hindrance for the government in carrying out various purposes. The government faces a challenge in its maintenance that can help deal with the issue of terrorism. In addition, the government has also taken specific steps to curb tax evasion that will be helpful for business proposals (Parton, 2014).


This is one of the vital factors that have been one of the importance in current times. For that reason, the evidence has shown that the country possesses a strong global influence concerning various environmental issues.

According to Phillips, the country has a position in the industrialized global. With this power, the company provides global efforts in building sustainable development as well as the protection of the environment. It also carries out various efforts to go with the flow and work more for environmental gain rather than economic growth. In that context, air pollution in the environment poses a threat and a matter of concern in the UK market (Phillips, 2015). The UK is, therefore, working to generate renewable energy to cope with the environment which had a total revenue of $6.7 billion by the year 2011. This figure has grown up too much by which the carbon emissions have been reduced from the previous conditions.

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Porter’s Five Forces Analysis for Hungry House

Porter’s Five Forces refer to the tool which takes into consideration aspects like suppliers, buyers, rivals, upcoming players, and substitutes that have an impact on the operations and performance of a business undertaking. It focuses on the forces which play a vital role in the microenvironment. Hence Porter’s five forces analysis model has been applied which is the framework to evaluate various levels of competitive elements within the industry (Rosemann & vom Brocke, 2015).

It studies five forces namely the bargaining power of suppliers, the bargaining power of buyers, the threat of new entrants, the threat of substitutes, and lastly rivalry. This analysis is necessary for all markets since it helps in determining the level of competition prevailing in a market. This analysis helps business firms to formulate relevant strategies so that they can create a competitive advantage in the market against all these elements.

In the case of a Hungry House which is a platform to order takeaway food online, it is essential to understand various factors which might affect the profitability of the business undertaking. Since the necessity of online food ordering platforms has increased significantly the five force model is an effective tool to analyze various elements which might impact the business and firm in particular.

Bargaining power of suppliers

The bargaining power of suppliers is said to be high when a specific supplier is strong enough in terms of the supply of necessary items and can thus manipulate the profitability of the concern. Since Hungry House is an online platform for ordering takeaway food it mainly depends on its restaurant’s partners to provide the ordered food as per the customer’s preference.

As of mid-2016, the business undertaking claims to have over ten thousand restaurant partners available on its food ordering platform and it mainly operates in major cities across the United Kingdom. The availability of a huge number of restaurants as suppliers show that the bargaining power of these suppliers of the Hungry House is low (Schweigert, 2016).

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Bargaining power of buyers

The bargaining power of buyers refers to the power in the hands of purchasers so that they can exert pressure on the specific business to improve the quality of products or services, enhance customer service and charge lower prices.

In the case of the Hungry House, the bargaining power of buyers is moderate to high since if they are not happy with the food quality and overall experience of using the online platform to order takeaway food, they can simply change the company and switch to a company providing the similar kind of services and products. Since this move by customers has a significant impact on the profitability of the firm Hungry House, it can be rightly said that the buyers have a pretty decent bargaining power (Shaw, et al., 2013).

The threat of new entrants

It means whether the profitability of the industry is high or not so that it can attract several participants to enter the scenario. In the case of an online platform for the ordering of takeaway food, the industry type is pretty new and profitable for existing players thus Hungry House faces the threat of new firms which might give stiff competition to its business operations and overall productivity.

Threat of substitutes

The threat of substitutes occurs when there are other companies or businesses which offer substitute products or services. In the case of Hungry House, it faces the threat from different business undertakings which offer similar online platforms to consumers for ordering takeaway foods. All the restaurants prevailing in the market also act as a threat to Hungry House since their service also affects its business revenue and gives a choice to the consumers to experience a proper meal in their choice of eatery.

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Rivalry refers to the level of competition existing in an industry. Thus the rivals of Hungry House are all similar business concerns that provide an online platform to consumers for ordering takeaway food. The main competitors of Hungry House are Deliveroo, Just Eat, GrubHub, etc. All these businesses offer similar services to Hungry House and thus act as its strong competitors. Such firms need to provide a high-quality offering to consumers so that they can have a competitive advantage over their rivals.

Task 2

The theme selected for the analysis of the business Hungry House and its various policies and decision-making strategies is “Demographic forces”. As per Song & Panayides, demographic factors refer to the socioeconomic attributes of a population of age, gender, earning or income level, occupation, family size, religion, lifestyle, etc. These factors play a vital role in the operations of any business undertaking (Song & Panayides, 2015). Firms that plan to start a new business need to study such factors to segment the market and according to target the specific category as their target audience.

In all businesses, this activity is integral irrespective of the size of the business. In the process of segmentation, the relevance of demographic attributes is very important since it determines the attitude, needs, and tastes of the consumers (vom Brocke, et al., 2014). Business undertakings with better and clear knowledge of the demography of their business location use this knowledge to their advantage and introduce the product or service which meets the needs and demands of the consumers. It creates a win-win situation for the consumer as well as for the business undertaking.

Since Hungry House operates in the UK the demographic factors about that country are vital for it since they will influence its various policies and decision-making strategies. If these elements are neglected by any business then it might not understand the needs and expectations of the consumers and thus it might very soon disappear from the market (Xiao, 2014).

One of the vital demographic issues of Hungry House is the income level of the people who are willing to order takeaway food using the online platform. The firm needs to understand their range of income and how much they can afford to spend on their eating habits. Based on this finding the firm can select its restaurant partners and strategize on their fees and commission. This attribute of the UK demography is significant since it impacts the policies and decisions of Hungry House about its restaurant partners.

The lifestyle segment of the demography also affects the policies of various businesses and affects the overall performance of a business. Since today most people especially the population residing in urban locations prefer to maintain a healthy lifestyle, their needs and preferences in food should be carefully evaluated. Based on the findings, Hungry House must focus on the restaurants or modify the policies relating to the healthy food segment. It must also decide upon the top-most healthy food restaurants which specifically focus on diet food (vom Brocke, et al., 2014).

Other aspects like religion play a significant role in the performance of a business in a specific location. Many religious people prefer to have food from particular outlets only. This aspect must be given due importance since it influences the policies and decisions of the Hungry House. The online platform must be very careful not to hurt the sentiments of this section of the population since any negative feedback from them will affect the business of the Hungry House.

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Critical Evaluation

To face several challenges arising in the prevailing market set-up, the Hungry House has adopted several plans and strategies so that it can use the market forces to its advantage and face challenging situations. On external forces, it does not have any control but the firm has control over its internal functioning, policies, and strategy.

The hungry house has done a fair bit of research before starting its business. It has focused on the preference trend of the demography of the UK and offers Indian, Chinese, Italian, Thai, and Japanese cuisines. This broad array of food choices has been decided after considering the major eating pattern of the people (hungry house, 2017). Hungry House has partnered with various reputed restaurants which specialize in these cuisines. The primary object behind such an approach is to provide the best quality of food to the consumers. Since people from various Asian nations have migrated to the UK, Hungry House mainly focuses on Asian cuisines like Indian, Chinese, Thai, and Japanese which are very popular in the country.

As per Schweigert, the cultural diversity of the region is also taken into consideration by Hungry House while offering various categories of food. They try to cover different cultures and provide offers that satisfy the eating pattern of people from various communities (Schweigert, 2016).

These strategies have helped Hungry House to establish itself in the UK market. The business was established in 2006. In just ten years it has partnered with over 10000 restaurants which helps the business to provide high-quality food to the end consumers. The business is considered to be one of the most loved takeaways in the United Kingdom.

The firm follows the current food trend and accordingly makes changes in its variety of offerings. It has also moved the street food style to restaurants. All these moves by Hungry House show that the firm is aware of its external environment and it evaluates various aspects before making any significant change in its business operations and business strategies.

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Areas of Improvement

For most of the business undertakings there always lies and are where they can improve and enhance the customer experience. This gives them the scope to evaluate their current strategy and operations and modify it so that they can improve their business performance, and productivity and at the same time provide delight to the consumers (Ogiela & Ogiela, 2014).

The Hungry House which provides an online platform for consumers to order takeaway food in the UK is no different. It has numerous aspects that it should focus on so that it can improve its quality of service and be the market leader in the particular industry. Hungry House could increase the technological aspect of its business activities which would positively impact its business processes (Muryjas & Wawer, 2014). The use of updated technology would further shorten their processing time and thus enhance the experience of the consumers.

The policy followed by Hungry House and its partner restaurants should be made more stringent since there have been a few cases when consumers come back and complain about specific restaurants on social media. The complaints relate to delays in food delivery or some technical glitch that prevents a consumer from placing his or her order (Muryjas & Wawer, 2014). It is also important for Hungry House to focus on the approach of its employees in dealing with such situations since the wrong attitude or casual attitude of its employees will affect the reputation of Hungry House.


After analyzing the various aspects which impact the business of Hungry House like external elements like political changes, technological improvements, social changes, etc, and various components like supplier’s power, buyer’s power, the strength of competing business firms, etc the reader gets a clear picture of various elements which might impact the performance of a firm like Hungry house. Since the type of industry is growing and gaining popularity among consumers and rivals, Hungry needsHouse to use its ten years of experience to its advantage and establish a strong brand name that will help it to earn brand loyalty.

The different analyses help us to understand how Hungry House must focus on various internal as well as external factors while devising a strategy that concerns its day-to-day operations. It also needs to consider these elements since they strongly influence its different policies and decisions. Since the kind of service and products it offers to the end consumers are typically new as compared to other industries which have been operating for ages, many aspects are yet to be evolved which will improve the efficiency and work process of the organization.

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