MNM3709
ASSIGNMENT 4 SEMESTER 2 2024
UNIQUE NO.
DUE DATE: 30 OCTOBER 2024
, QUESTION 1: Analysis of Theomei Apparel's External Environment
1. Economic Environment
Theomei Apparel operates in the South African manufacturing industry, which is
influenced by factors such as inflation, interest rates, and consumer spending
power. The country's economic challenges, including high unemployment rates
and fluctuating exchange rates, could impact production costs and consumer
demand for bespoke scrubs. For instance, if inflation rises, the cost of materials
might increase, leading to higher production costs, which could reduce profit
margins.
2. Technological Environment
Technological advancements have impacted Theomei's ability to manufacture
high-quality scrubs. The use of automated machinery and advanced design
software allows Theomei to improve productivity and product quality. Enrolling in
a skills-enhancement course has also equipped the team with the technical
expertise needed for manufacturing, enhancing their competitive edge in the
market.
3. Political and Legal Environment
South Africa's policies on labor, health, and safety regulations are crucial for
Theomei Apparel. Compliance with laws regarding worker safety, minimum
wages, and manufacturing standards is essential for the company's smooth
operation. Furthermore, government support for local businesses through
initiatives like incubation at The Innovation Hub provides growth opportunities for
Theomei.
4. Global or International Environment
Global competition from international manufacturers of medical scrubs presents a
challenge for Theomei. However, the company's ability to offer tailor-made,
locally produced scrubs gives it an advantage in South Africa’s market.
Additionally, global trends in healthcare and beauty industries, such as the
ASSIGNMENT 4 SEMESTER 2 2024
UNIQUE NO.
DUE DATE: 30 OCTOBER 2024
, QUESTION 1: Analysis of Theomei Apparel's External Environment
1. Economic Environment
Theomei Apparel operates in the South African manufacturing industry, which is
influenced by factors such as inflation, interest rates, and consumer spending
power. The country's economic challenges, including high unemployment rates
and fluctuating exchange rates, could impact production costs and consumer
demand for bespoke scrubs. For instance, if inflation rises, the cost of materials
might increase, leading to higher production costs, which could reduce profit
margins.
2. Technological Environment
Technological advancements have impacted Theomei's ability to manufacture
high-quality scrubs. The use of automated machinery and advanced design
software allows Theomei to improve productivity and product quality. Enrolling in
a skills-enhancement course has also equipped the team with the technical
expertise needed for manufacturing, enhancing their competitive edge in the
market.
3. Political and Legal Environment
South Africa's policies on labor, health, and safety regulations are crucial for
Theomei Apparel. Compliance with laws regarding worker safety, minimum
wages, and manufacturing standards is essential for the company's smooth
operation. Furthermore, government support for local businesses through
initiatives like incubation at The Innovation Hub provides growth opportunities for
Theomei.
4. Global or International Environment
Global competition from international manufacturers of medical scrubs presents a
challenge for Theomei. However, the company's ability to offer tailor-made,
locally produced scrubs gives it an advantage in South Africa’s market.
Additionally, global trends in healthcare and beauty industries, such as the
