Analysis of Metro Plc

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Analysis of Metro international SA Introduction This report is aimed at critically analysing the macro, meso and micro business environment of Metro International, one of the largest newspaper companies in the world. Strategic evaluation tools such as PESTEL, Porter’s Five Forces, SWOT and Value Chain analysis have been used by researchers in order to achieve this aim. These are presented in detail in the discussion below and they are intended to help understand how the company is fairing in the market. It is important for companies to use these analysis tools in order to analyse their competitive advantages since this will help them develop strategies that will help them compete favourably in the market. Overview of Metro International S.A Metro International is a Swedish media company based in Luxembourg that publishes the Metro newspapers. Metro International's advertising sales have grown at a compound annual growth rate of 41% since launch of the first newspaper edition in 1995. It is a free sheet, meaning that distribution is free, with revenues thus generated entirely through advertising. This newspaper is primarily intended for commuters who move daily in and out of big cities' business areas, mainly during rush hours. The company was founded by Per Andersson and started as a subsidiary of the Modern Times Group along with Viasat Broadcasting. It is now controlled through investment company Kinnevik. The first edition of the newspaper was published as Metro Stockholm and distributed in the Stockholm Metro. As of 2012, all European editions (except for the Hungarian one) have been sold, reportedly so that Metro International can focus on Latin-America, considered the last growth market for free newspapers PESTEL Analysis The PESTEL framework below analyses the dynamic and unpredictable environment in which Tesco operates by identifying the forces
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