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Currently, there lies the presence of 295 shops of the company in the world and the majority of them are located in the United Kingdom. The annual turnover of the company is approximately 380 million Pounds (Pret A Manger, 2012). The company formed 22 new stores or shops in the year 2011 and is likely to open more 20 to 30 stores in the year 2012. It does not possess any franchisee while performing its business operations. Moreover, the company bears a strong custom in order to develop its working personnel. In this context, it desires to invest profoundly towards the advancement of its employees by a considerable level (Pret A Manger, 2012). In the paper, a complete analysis about the various major difficulties faced by Pret A Manger that include particularly the supply as well as the demand issues will be taken into concern. Furthermore, few business strategies have been provided in order to assist the company to overcome the major problems related to supply and demand issues while performing its business operations. Impact of Demand and Supply Factor in Business Organisations The factors of supply along with demand are observed to be one of the most influential factors, which affect the business working as well as performance of any organisation. The aspect of demand is described as the willpower and the capability of the customers to buy a specific product and the notion of supply is defined as the capability of the business to deliver the various products to the customers according to their demand. In relation to the restaurant industry, the commencement of Great Recession imposed a severe as well as a sudden impact upon the business performances along with sales of the restaurants. In this regard, it has been observed that before the start of the Great Recession, the major factors that include easy financing and presence of market participants ultimately fuelled towards raising the number of new restaurants, which resulted in maximum supply which exceeded the demand (Petev & et. al., 2011). Problems for Pret A Manger One of the major problems, which had been faced by Pret A Manger in recent times, is about the investigation made over its frozen chicken, which the company used in its food labelling. It has been observed that the frozen chicken which was utilised by the company was actually shipped from Brazil. However, this aspect was not properly communicated through the labelling of the product. In response, the co-founder of the company, Pret A Manger named Julian Metcalfe stated that the sandwiches of his company are made with fresh products and the company always concentrates upon making the products with preservative free ingredients. He also added that unlike his business market competitors, his company makes sandwiches daily and they are never kept overnight. Thus, it can be stated that the company faced a major problem in relation to sustainability issue that has been recognised in its frozen chicken labelled fresh products (Telegraph Media Group Limited, 2012). The other significant issue that had been faced by Pret A Manager is about the complaint against one of its products i.e. tomato soup which contained huge quantity of salt that might lead towards the diseases of high blood pressure and hypertension. This particular issue has ultimately affected the commitment that has been made by the company in order to deliver fresh as well as natural food to its valued customers (Mail Online, 2012). Furthermore, the company might face ...Show more
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Pret Table of Contents Introduction 3 Impact of Demand and Supply Factor in Business Organisations 4 Problems for Pret A Manger 4 Strategies for Pret A Manger to Overcome the Problems 6 Conclusion 8 References 9 Introduction Pret A Manger began its business journey in the year 1986 in London…
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