Primark Stores Limited is an Irish vesture retail merchant. Its shops are located in assorted parts like United Kingdom, Ireland, and Spain. Within this country of duty, Primark shops outnumbered other vesture retail merchant concern, with one hundred 60 one shops overall distributed in three major parts: one hundred 25 in the United Kingdom, thirty-four in Ireland and eight in Spain. The company places itself as marketing stylish at cutthroat prices.The original vesture shop was established by Arthur Ryan and his confederate Micaela Mitchell in Dublin Ireland in 1969. After assorted success in vesture concern, great net incomes and gross income led them to open shops in local and regional countries. It acquired assorted premises in different concern centres within its local and regional countries which finally generate more net incomes and income.

Primark is known for selling apparels at the budget terminal of the market. Its success is based on sourcing supply, doing apparels with simple designs and cloths and marks immature, fashion-conscious persons ages 35 below, offering them simple yet high quality apparels and dresss.

Hence, these successes brought important alterations on Primark ‘s retail concern. The relevancy of planetary tendencies and consumers ‘ demands on life style made Primark Store Limited reinvent its concern strategy and direction construction.

2. Background

Primark is a retail group in the value sector and operates a sum of 187 shops in Ireland ( where it trades under the Penneys trade name ) , Holland, Spain and the UK. Primark employs in surplus of 27,500 people. In GB, in footings of market portion, TNS ranks Primark as GB ‘s 2nd largest vesture retail merchant by volume and Verdict Research now places Primark as the taking retail merchant in value vesture. Primark was voted ‘Best Value High Street Fashion ‘ by GMTV and ITV viewing audiences.

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Primark Stores Ltd. , is a subordinate of Associated British Foods. Associated British Foods is a diversified international nutrient, ingredients and retail group with planetary gross revenues of & A ; lb ; 8.2bn, and 96,000 employees in 44 states.

In the fiscal twelvemonth 07/8 ( September 2007 to September 2008 ) , twelve new shops were opened for trade. Seven of the new shops were in Spain.

Primark now operates from 5.4 million sq foot of selling infinite. Primark has 23 shops merchandising from over 50,000 sq foot of which five trade from over 70,000 sq foot.

Primark is successful because it offers:

  • Super-competitive monetary values ( the consequence of engineering, efficient distribution, supply and volume purchasing )
  • Mainstream market merchandise quality • High Street locations • Superior shop tantrum • Clear focal point on the mark market.
  • There are two distribution Centres – a 650, 000 sq. ft. unit at Magna Park in Leicestershire, and a 200, 000 sq. ft unit at Naas.

2.1 Key Aims of Primark

Primark is a member of the ethical trading enterprise. This is an confederation of companies, trade brotherhoods and non net income organisations that aims to advance regard for the rights of people in mills and farms worldwide. As a member of ETI, Primark has committed to monitoring and increasingly bettering working conditions in the mills that supply Primark ‘s ware.


3.1 Primark Operational Schemes

“ Primark set itself a end to go the universe ‘s most successful retails group. In order to accomplish this, primark has focused on sensible quality in other words a value for money scheme and in competitory footings, primark is prosecuting a authoritative focal point cost leading.

3.2. SWOT Analysis

Harmonizing to Robbins ( 2008:85 ) , “ SWOT is an analysis of an organisation ‘s strengths, failings, chances and menaces in order to place a strategic niche that the organisation can work ” . In a strategic degree, it normally combines an analysis of external environmental factors with an internal analysis of the administrations capablenesss and restrictions.

Real chances exist when there is a close tantrum between environment, values and resources. Similarly the resources and civilization will find the extent to which any possible menaces become a existent menace.


  • Primark is the 2nd biggest retail shop in UK.
  • Primark operates a sum of 187 shops in Ireland.
  • Primark has 23 shops merchandising from over 50,000 sq foot of which five trade from over 70,000 sq foot.
  • Affordable-competitive monetary values.
  • Mainstream market merchandise quality.
  • High Street location.
  • Clear focal point on the mark market.
  • A strong consumer proposition has been developed for the Primark trade name and embodied in the line “ Look Good, Pay Less ” .
  • 28 yearss refund policies.


  • Employees overwhelmed by the sum of work to be done.
  • Primark purports less value on ethical affairs.
  • Exploitation of the employees and maltreatment on labour force.
  • Poor working conditions.
  • The primacy of bossy and rigidness on standard constructions.
  • Child labor.
  • The primacy of bossy and rigidness on standard constructions.


  • Primark is a parent company for ABF.
  • Primark ‘s energy ingestion in Great Britain is sourced against the green power generated and sold into the grid by sister company, British Sugar.
  • Primark portions many of its providers with its rivals on the high street.
  • New super shops in the pipe line


  • Fiscal crisis- recognition crunch.
  • Cheap quality merchandise.
  • The primacy of bossy and rigidness on standard constructions.
  • Increasing competitory force per unit area: matalan, Inachis io, H & A ; M.


Primark defined its Ethical Trade Strategy in 2006. In 2008 we have entered the 2nd stage of its execution. Execution of stage 2 will guarantee that mills doing 80 % of all purchases are assessed. 135,120 workers employed in these units have had their on the job conditions assessed, and improved where necessary.

Audited accounts are conducted by Primark ‘s ain regional based Ethical Trade Managers and 3rd party specializer hearers. 38 % of our initial audits to day of the month hold been unheralded, and the remainder return topographic point within a pre agreed window.

After the initial audit our Ethical Trade specializers work with the providers to back up them through redress. Training is offered to providers and their shapers on peculiar issues and best pattern, at regular intervals. Follow-up audits are conducted after 3mths from the initial audit.

Primark recognises that shared acquisition and coaction is one of the most successful ways to accomplish sustained positive patterned advance with its provider ‘s mills. Primark take part in the ETI- supported National Home worker Group in India and are one of the laminitis members of the Wages Group.

3.4 COMPETITIVE Advantage

  • Super-competitive monetary values ( the consequence of engineering, efficient distribution, supply and volume purchasing )
  • Mainstream market merchandise quality • High Street locations • Superior shop tantrum • Clear focal point on the mark market.

There are two distribution Centres – a 650, 000 sq. ft. unit at Magna Park in Leicestershire, and a 200, 000 sq. ft unit at Naas.



There is no denying the fact that Primark is the 2nd largest retail merchant in UK. The fact that Primark has made success in gross revenues is apparent in the fact that assorted theories and attacks have been applied in their twenty-four hours to twenty-four hours concern. One of the theories evident in their concern is merely in clip attack. Primark ‘s attack reduces and minimizes waste, this has led to them inventing systems to place jobs. They emphasize keeping small stock, this leads to decrease in storage infinite and saves rent and insurance cost. As a consequence of this, less on the job capital is tied up in stock since stock is obtained when it is needed.

Primark has been able to endeavor for simpleness, that is, simpler systems are used. This makes workers, supervisors and directors understand and manage easy and really less likely to travel incorrect. They ( Primark ) make usage of simple tools to ‘pull ‘ merchandises and constituents. Primark has been able to utilize Just In Time ( JIT ) attack efficaciously. There is good house maintaining, therefore there is ethic of work cleanliness and administration.


Primark makes good usage of entire quality direction in the procedure of their concern. They have encouraged a strategic attack to direction at the operational degree through affecting multiple sections in cross-functional betterments and systemic invention procedure. Therefore, this has provided high returns on investing by bettering efficiency. They have been able to supply better quality merchandises at lower cost and present them faster. This has provided client satisfaction and resultantly, this has increased gross revenues and net income.

6.0 Decision

Primark Schemes have helped in the concern development. Fabrication in hapless states has contributed in the development in vulnerable states and accomplish a competitory monetary value for clients. Primark has built assorted plans to invariably better the quality criterions of the vesture this let them to quickly react to the market alterations.

Primark broad scope of designs and low-cost monetary values provide the company a sustainable profitableness and a good market topographic point over others retail merchants.

The cost of keeping leading is really low as they do non hold to pass in advertisement runs, publicities and selling. The chief shops are in high streets where the trade name sells for itself.

Primark is doing a important offer to its clients and is turning success is proof of that accomplishment. Primark ‘s client are enthusiastic about the trade name and are more happy than non with goods and services. However, while budget goods may be really popular at the minute, primark may desire to see widening the quality of some goods to fulfill clients that want that small spot excess.


  • There were allegations of slave labor about primark, the company could raise rewards, felicity of staff is foremost in virgin ‘s scheme that ‘s why primark should alter scheme.
  • Primark should set people before net income ; it is the 2nd biggest marketer of apparels in UK after Marks and Spencer.
  • Primark should pay good rewards of staff to actuate them because it protects the company name and public presentation.
  • Keeping good relation with regard to political scientists and analysts will upgrade the altering signifiers of the statute law in different states by which Primark can be advantageous with regard to its development globally.
  • Business solutions can be relatively effectual for the development and reappraisal of Primark with the advanced updates of pest analysis.
  • Advanced enlargement and growing of the industry depends on the qualitative supply.
  • Demand additions by supplying the cost effectual merchandises to the provider which in bend gives high market value within the organisation and every bit good as external environment.

9. Reference

  • Armstrong, M. ( 2006 ) A Handbook of Management Techniques, 3rd Edition Revised Edition. London: Kogan Page.
  • Boddy, D. ( 2008 ) Management an Introduction, 4th Edition. Spain: Prentice Hall, Financial Times
  • Feist, W.R. and Heely, J.A. ( 1999 ) Pull offing a Global Enterprise: a Concise Guide to International Operations, 1st edition, Quorum Books
  • Grant, R. ( 1991 ) The Resource-Based Theory of Competitive Advantage. Deductions for Strategy Formulation. California Management Review, 33 ( 3 ) .
  • Hill, C.W.L. ( 2008 ) Global Business Today, 5th edition, Prentices Hall
  • Jenifer, M & A ; Gareth, R ( 2008 ) Organizational Behavior, 5th Edition. New Jersey, Prentice Hall
  • Mullins, L & A ; Carter, L. ( 2008 ) Necessities of Organisational Behaviour, 2nd Edition.England: Prentice Hall, Financial Times
  • Robbins, S & A ; DeCenzo, D. ( 2008 ) Fundamentalss of Management, Essential Concepts and Applications, 6th Edition. New Jersey, Pearson Prentice Hall
  • Pettinger, R. ( 2007 ) Introduction to Management, 4th Edition.
  • London, Palgrave Macmillan
  • Thompson. J. L ( 1997 ) Strategic Management, Awareness and alteration, 3rd Edition, Internatinal Thomson Business Pres, Boston.

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