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Primark, a clothing retailer, is influenced greatly by national and international economic environmental the Euro zone. The company is established in Ireland with its head office in Dublin. In order to increase its sales, the company has expended its markets to such countries as Holland, Spain, Germany, Portugal, Belgium, and the UK.  The main advantage of the international markets is their political stability and democratic freedoms. The liberation and democratization of the political system in many countries have proved to be a boon to dynamic retail companies Ireland. Most countries created adequate infrastructure support for modern retailing to take root in the new environment. There is little doubt that Western retailers have unlimited opportunities to expand in this region through joint ventures, licensing, and limited-term management contracts (Dobson and Starkey, 2004).

In general, the Western Europe is characterized by stable economic situation and low inflation rates.

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In spite of the economic crisis affected all countries around the world, buyers in the Western Europe have high income and high purchasing power in contrast to many other regions. The process of economic transformation in many countries, though holding great promise for the future, is currently proving to remain stable to the masses who have found material change in their economic well-being. The old public sector distribution system is functioning parallel to the newly introduced private distribution system in many countries. Except the UK, euro zone proposes great advantages to Primark and favorable taxation (Dobson and Starkey, 2004).

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Socio-demographic characteristics influence target audience of Primark, and its advertising messages. The company orients on diverse customers so demographic changes do not have a profound impact on its revenue. Notwithstanding cultural diversities, there is a slow yet obvious trend of social and cultural homogenization within certain regions of member states, leading to the rise of what has been termed the Euroconsumer

Social responsibility issues and ecological questions oblige retailers to be involved in the community and increase the involvements in social events The Single Europe, with the elimination of hundreds of cross-border regulations and restrictions, has turned out to be a highly fertile region for business expansion by European retailers.

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Technological changes in production and material handling increase demands and needs of customers, so Primark has to adopt new technologies in its production system. The Single Europe Act brought harmonization of legal and regulatory systems throughout the European Community. All these developments contributed to consumer convergence and the rise of the Euroconsumer. They encouraged business firms to expand their cross-border operations and adopt a region-centric approach to international business (Dobson and Starkey, 2004; Primark Home Page, 2010).

 

On the national level, Primark is influenced by industry competition and legal changes. Ireland's retail industry involves diverse companies and organizations sending end products to end consumers. Recent years, critics admit that monopolies in retail industry occupy an important position changing the nature of the market and structure. Monopolies possess strength that is sometimes insignificant, sometimes considerable. A broad definition of Primark as any entity that sells products or services to consumers' means that certain forms of business are included that would not be included under a more narrow definition. An obvious definitional consequence is that the dollar volume ascribed to retailing changes dramatically as a function of the definition Primark is one of the giant retailers occupied a monopolistic position on the market (Drejer, 2002.

). Monopoly in retail industry is bad for consumers because it manipulates their interests and prevents fair competition on the market.  There is a transfer of purchasing power from consumers to the producers of the monopolized goods. Thus society as a whole may be better off in the sense that these goods have required fewer resources to bring them into existence; it may at the same time be worse off to the extent that purchasing power has been transferred from one group to another group. The practical problems of monopoly are thus very largely concerned with the issue of the better or worse distribution of wealth.

 

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