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Table of Contents

Section1
Organisational Outline.....................................................................................................................1
Introduction......................................................................................................................................1
Market size and growth of JD Sports Fashion Plc...........................................................................1
Factsheet of JD sports fashion plc including organizational background, product and services,
size and scope, vision, mission and business objectives and legal structure and information
about the stakeholders..................................................................................................................4
An analysis of JD Sports Fashion Plc to show how internal department work together to meet
business objectives.......................................................................................................................6
Introduction..................................................................................................................................7
.........................................................................................................................................................7
References....................................................................................................................................8
Section 2........................................................................................................................................10
Introduction....................................................................................................................................10
PESTLE analysis of JD Sports Fashion Plc and the impacts of external and internal factors . 10
SWOT Analysis of JD Sports Fashion Plc................................................................................12
Recommendations......................................................................................................................13
Conclusion.....................................................................................................................................14
References..................................................................................................................................15
Organization Outline
JD Sports is a UK based sports-fashion retail company which has reached many countries across
the world in different continents with its tremendous production of sports and fashion wear. It
was founded by John Wardle and David Makin in 1983 and by 1996, it expanded its operations
while opening 56 stores. About 34,885 employees are currently working in JD sports (Flynn,
2020). It produces enormous sportswear which are unique and also casual outfits for men and
women. Peter Cowgill is the CEO of JD sports. It opened its subsidiaries in different region. The
net income of JD sports is 250.7 million euro in 2020 (JDSports, 2021).

Introduction
Sport industry is divided into many parts and they are categorized by structure, income and also
other polices. JD sports plc has been established worldwide and it’s operating enormously. It is a
public limited company which is large in the market. The organizations are typically formed by
income, legal, structure and also partnership management. To define the sectors of business
organizations, it requires the criteria and type (Baumann-Pauly, 2016).
In the income segment, there are three types of organizations and those are profit, non-profit,
non-government organizations. For profit organizations, they have stockholders and also earn
profit which is reinvested into the business but in non-profit organizations, the services are
provided to the society if they ask for any. Organizational structure is elucidated of which design
they use for managing board of directors, employees and all level workers. In the term of
partnership, there are Sole Proprietorship, Partnership, Corporation, Limited Liability Company
and Cooperative.
There are 3 sub sectors in sport industry.

Non-profit
Commercial
Public

Figure: Sub-sectors of sport industry


Public sector industries are run by federal government and maintain several policies. JD sports is
public limited company and in the type of organization, it’s profitable organization which makes
huge revenue annually. JD sports also acts a commercial sport industry which manufactures
sportswear, shoes. It produces the sportswear, goods and other fashion outfits and accessories.
JD sports plc uses pyramid structure in the organizational structure which manifests the business
as largely established and traditionally organized. The structure of this company shows that it has
different functional structure which adverse with matrix structure.

Market Size and Growth of JD Sports PLC of the International Business


Environment
JD sports has been a leading sport brand which is popular and it remarkably made high sales of
3.9 billion up from 2.5 billion euro for the same period in 2020. The potential buyers of JD
sports
Market size demonstrates about the prospective buyers and valued customers and sales of an
organization. The buyers have been increased and the market has been large exceeding UK and
Europe. JD sports has 853 outlets across the world. The market size of JD sports has increased
in U.S by 29% and market capital is 11.224bn GBP and they have collaborative strategy in
market (Stock, 2021).
Growth of international business environment relies on how much sales it makes annually. The
earnings of JD sports have been raised up to 11.2%.

Figure: Graph of Sales and market capital


(Source: Stock, 2021)
Factsheet of JD sports fashion plc including organizational background,
product and services, size and scope, vision, mission and business objectives
and legal structure and information about the stakeholders

The history of JD sports has brought a tremendous change in the market. They are operating as a
multichannel retailer brand across the world which is UK based organization and the number of
employees have been increased. The stakeholders of JD sports are pleased with the outcome and
they also try to please all the shareholders as well.

Figure: JD Sports Store


JD Sports Products
They produce fashion apparel for men and women, sportswear such as shoes and other
accessories as well.

Size and scope of JD Sports


It has a good market share and larger capital market with high revenue. It has established good
networks in USA which is encouraging for its employees. The purpose of this company is to
provide smart products.

Vision, Mission and Objectives


Vision of JD Sports is very clear. ‘Global yet local’ should be the norm, nothing else. Mission is
fulfilling customer demands with topmost priority, maintaining the top-notch quality of service.
A good relationship with all the clients results in providing good and attractive designs for the
customers. Objective of JD Sports is to enhance the total shareholder return with delivering the
long period sustainable earnings growth. They want to invest in the further growth and the
propositions are the sustainability (Nir, M., 2018)
Stakeholders of JD sports
Stakeholders are holding the significant role in the organization. There are non-executive
directors and other profile as well including Andrew Leslie, Siobhan Mawdsley. Delivery
partners are DPD, DHL, Sky-net or DPEX.
An analysis of JD Sports Fashion Plc to show how internal department work
together to meet business objectives
A business organization relies on its each department and endeavor to attain its ultimate goal
working together. In any organization, the objectives are defined and divided among
departments. The business model is made up with maintaining the departmental missions and
which is internally structured. Internal department basically in any organization implies about the
strategy by which company can perceive its work and forecast the future plan. Internal
departments work individually in distinct purpose to achieve eventual goal. Strategic
management in JD Sports Fashion Plc has an influence to produce the products and reach its
potential buyers. JD Sports ensures a proper strategic management method which drive the sports
brand in a right direction. In the sports brand industry, it’s must to follow up strategy and applied
by each department internally.

In JD Sports, they have few departments for operating, producing, planning, controlling and
making decision about the products and all. Internal departments have contribution with
individual performance to the organization while improving the products quality, ensuring the
time management, creating the products line, optimizing internal progresses. In terms of
attaining ultimate goal, the relationship among every departments are very much vital to grow
with unity and it helps in sales growth which will be the reason to raise in revenue of JD sports.
Functions of JD Sports give a clear idea to understand how they’re working with a pace and it
has functional areas including marketing, finance, human resources, technology and equipment,
strategy, customer/client service, creative art department. These departments have their own
value which integrate the contribution of each of them to work promptly. In JD sports, they put
efforts from each department and the relationship among them help to communicate for any
issues and the matter gets solved easily. This is how the activities are done to satisfy the
customer needs and secure the position in international market. Industry analysis relies on
activities of departments and it ensures about what is going inside of organization. Growth
prospects and effectiveness of products are the result of organizational structure and
interrelationship among them. In JD sports, finance department operates the transaction and
revenue forecasting where marketing department will assure the sales and promotion of business
and this will lead to capitalize the market of JD sports. (Gong, M., Simpson, 2018).
Figure: Organizational Structure of JD Sports
Reference
Baumann-Pauly, D., 2016. Managing Institutional Complexity: A Longitudinal Study of
Legitimacy Strategies at a Sportswear Brand Company, JSTOR
Flynn, A., 2020. How many staff do JD Sports have? Google Scholar
Stock, 2021. JD Sports market capital and net income.
Gong, M., Simpson, A., Koh, L., & Tan, K. H. (2018). Inside out: The interrelationships of
sustainable performance metrics and its effect on business decision making: Theory and practice.
Nir, M., 2018. Define and Communicate the Mission and Vision. In The Pragmatist's Guide to
Corporate Lean Strategy (pp. 21-31). Apress, Berkeley, CA.
Walker, C.M. and Hayton, J.W., 2018. An analysis of third sector sport organisations in an era of
‘super-austerity’. International Journal of Sport Policy and Politics, 10(1), pp.43-61.
Introduction
This is the extended part of first segment. Analysis of PESTLE and SWOT will help to draw a
frame of the company and make the vision more specific. Maintaining high quality during
product delivery, also an excellent customer service involving the ones who have got advanced
level knowledge on sports lifestyle and team wear. Thus, it will ensure the delivery of the best
possible products from our end to the customer’s premises. Expanding the business in
international market, the strengths and opportunities should be precise and substantial. The
market capital has been increased of JD Sports and also the market share is improving which is a
good sign for the company. (Clement, C., 2021)
PESTLE analysis of JD Sports Fashion Plc and the impacts of external and
internal factors
PESTLE analysis expounds about the factors which affect the sports retail market in business
environment. A PESTLE analysis will help the managers of JD Sports to have the company’s
clear vision for the future and to know how to deal while competing with earning profits and get
the competitive advantage. This analysis will become an aid for entering into markets and
analyze what things will be obstacles for the organization (Perera, 2017)

Figure: PESTLE Analysis Model


Source: enterslice.com
Political Factor that Impact JD Sports Fashion Plc
JD Sports has global reputation and brand image being a UK brand. It’s a leading retailer sport
company which is earning huge profit. The support from UK Govt. is much needed for the
business and it has substantial impact on the organization and also international trade laws might
affect. Tax policy, trade barriers and restrictions, political stability are crucial influences for JD
Sports. After BREXIT, JD Sports has faced some issues and they had run in low profit. There are
anti-trust laws and interference in retail industry by govt. which are immense concerns for JD
Sports. (Alsaffar, H., 2020)

Economic Factors that Impact JD Sports Fashion Plc


JD Sports can forecast their growth while measuring the impact of economic factors which will
be generator for growth rate, inflation. Economic factor in PESTLE analysis will direct the
company in retail market to understand the cycle of economy also foreign exchange rate and
other interest rate as well. Economic factor can work stabilizing the exchange rate, enhance the
infrastructure quality, reducing unemployment rate, making the free market policy. If JD Sports
can’t cooperate with economic policy and it has negative impact on the company then it will be
very strenuous to operate the whole organization in the long-term process. (Alsaffar, H., 2020)

Social Factors
To run an organization maintaining a culture and the social belief is must. The messages they
convey to the customer and how they are taking the social factors, these are mandatory for the
business. The culture has a great impact on the organization and also JD sports should have
health consciousness about society. If JD Sports develop the social campaign to attract the
consumers then it would be beneficial. Some social factors will be the barriers for the company
to operate a firm. (Alsaffar, H., 2020)

Technological Factor
The modern technologies for JD Sports are being great assistance with organizing the
framework. They have e-commerce site which totally relies on internet and this has positive
impact. Thus, it will improve the research and development. JD Sports has devised the internal
technology for its manufacturing unit and also made its marketing technology more effective. If
the network would affect the current work and performance, then they wouldn’t be able to serve
and produce. (Alsaffar, H., 2020)

Legal Factor
JD Sports should ensure whether they are maintaining the regulations or not. Legal factors have
positive and negative impact on sports retail brands. It interprets about safety rules, guidelines on
copyright and limitations of the company. JD Sports should ensure about consumer protection,
data protection, and intellectual property law. (Alsaffar, H., 2020)
Environmental Factor
Environment can bring the negative impact for the organization. JD Sports should not use the
raw materials which are clearly restricted. They should check the pollution emission.
External and internal factor are affecting the retail sports industry in emerging the market. The
company’s revenue depends on many factors and it must be very precise in the global market.
The main idea behind this thinking was to produce the best possible clothing, sportswear, and
other accessories for the customer, which will fulfill the local needs of course, and then will
never hesitate to match with the global standards.
SWOT Analysis of JD Sports Fashion Plc
SWOT analysis of JD Sports analyses its strength, weaknesses, opportunities, and threats. In JD
Sports, the internal factors are strengths and weaknesses whereas the external factors are
opportunities and threats. It’s stated as developing the business strategy strong considering the
strengths and weaknesses, as well as the opportunities and threats it deals while operating the
business. This analysis is strongly proved for management paradigm that allows JD Sports to
compare its business and performance to its competitors.

Figure: SWOT Analysis


Source: roanenet.org
Strengths:
Since JD Sports is a leading retail Company and it does have strengths including faithful
suppliers, strong supply chain, vast market exploration, and brand value. JD Sports gets the
materials promptly and supplies for manufacturing goods are on-time. Strong supply chain has
kept the brand image for long-term as it obtained much expertise for setting up strong supply
chain in different regions. And it helped them to gain the customer loyalty. JD Sports has is
operations across the world and whenever they entered into new market they have been
successful and this has been the great strength to expand the business. For building brand value
and image, they have worked hard and still retaining it in a same way.
Weaknesses:
There are few areas where they need to work on and fix the issues. While enriching the quality of
products and selling them, they had confronted an issue about product suite and they had lacking
in the use of capital. Improper financing for any company is a bigger issue. It follows the
pyramid traditional structure which is not updated and obsolete. Putting up much struggle for the
company won’t bring success if they don’t integrate the culture. They have problems with re-
engineering process which should be rectified.
Opportunities:
JD Sports has lots of opportunities in growing further and going beyond. JD sports can enhance
the fashion trend and encourage the youth by capitalizing on youth trend. They have huge
opportunities in emerging markets in different countries.
Threats:
To operate the business meeting the needs while pacing with trends, there are many functions
which JD sports may face. Spurious products often become the issues in developing economy
and it affects the brand. Doing business in local market won’t be similar in other regions. JD
Sports always has to be ready to embrace the different claims from different markets.
Recommendation
After PESTLE and SWOT analysis, the roadmap of JD Sports has been drawn to enhance the
performance quality, net revenue and update the system. It helps to identify about the alternatives
of one situation and to make it consistent (Ponomban, 2021.)
JD Sports can implement their plans to expand with proceeding where these factor will result of
contribution to the success. They should keep proceeding with dedication, collaboration and
flexibility which will make the team strong and can achieve the goal.

Conclusion
To earn the expected position in the market and meeting the needs of local consumers, it’s
mandatory to retain the relationship internally within organization. Interrelationship between
internal departments will rectify the paths and drive to the success. It will ensure if the company
is going to fail or not.
Reference
Perera, R., 2017. The PESTLE analysis. Nerdynaut.
Nandonde, F.A., 2019. A PESTLE analysis of international retailing in the East African
Community. Global Business and Organizational Excellence, 38(4), pp.54-61.
Clement, C., 2021. The impact between variables perceived quality, brand experience, and brand
personality to perceived value (Adidas sport shoe) (Doctoral dissertation, Universitas Pelita
Harapan).
Ponomban, N.A., Worang, F.G. and Pandowo, M.H.C., 2021. IMPORTANCE
PERFORMANCE ANALYSIS OF SPORT SHOES PRODUCT ATTRIBUTES IN MANADO
(CASE STUDY: ADIDAS SPORT SHOES USER IN MANADO). Jurnal EMBA: Jurnal Riset
Ekonomi, Manajemen, Bisnis dan Akuntansi, 9(3).
Alsaffar, H., 2020. Nike’s Marketing Mix and PESTEL analysis in China.

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