In England, Friend-Z’s faces many potential competitors. Because of the small number ofbarriers to entry, Friend-Z’s could be competing with local coffee shops and cafés as well as the leading domestic and international coffee house brands like Coffee Republic, Costa, Café Nero, Starbucks, and Coffee #1 (“Top Five UK Coffee Shop Chains”). If Friend-Z’s wants to be successful in England, it will need some kind of competitive advantage. Friend-Z’s must consider the economic forces in England. England boasts “one of the biggest economies in the world” (“England Economy”) and the services sector contributes 75% to the GDP (“England Economy”). In the United Kingdom as a whole, food services are one of the largest sectors of the United Kingdom’s economy, with 18.6% (“United Kingdom”). Again, this both lowers and creates risk for Friend-Z, because while the safe state of the economy is favorable for Friend-Z’s, it is likely to attract competitors. Although England is a relatively safe choice for Friend-Z’s to enter in terms of culture, there are still several sociocultural forces that management must consider. For example, the management of Friend-Z’s must recognize that Great Britain has a multilayered social structure, which differs from the United States, where there are not many distinctions among people (Jonesand George 181). Knowing that people in England pay attention to class and social structure is important when considering how Friend-Z’s in England will operate and how it will communicate with its management, employees, and customers there. Demographic forces in England are important for Friend-Z’s to take into consideration in order to keep up with changing demands due to changes in demographics. These factors are also important when marketing Friend-Z’s products. For example, knowing which age groups and gender drink the most coffee will help Friend-Z’s know which groups to target. Social classes area sociocultural factor when it comes to interactions, communications, and relationships, but the 7
outcomes and changing attitudes toward social classes are a demographic force. Mike Savage from the London School of Economics conducted a survey in 2011 that identified seven classes in Great Britain: Elite, Established Middle Class, Technical Middle Class, New Affluent Workers, Emergent Service Workers, Tradition Working Class, and Precariat (Savage, et al. 230).Knowing which social classes are most prominent could also help Friend-Z’s as far as marketing its goods and services. For instance, knowing that the United Kingdom’s most prominent social classes are the Established Middle class and Elite (Savage, et al. 230) can help Friend-Z’s marketthemselves as a place to work away from the office, as these people typically have jobs such as chief executive officers, directors, managers, etc. (Savage, et al. 231-232).