G8 Education Strategic Analysis
Background Information of G8 Education
G8 Education Limited is the leading ASX listed child care center, founded in 2006. G8 Educations undertakes its trade activities on the Australian Securities Exchange under the GEM code (https://g8education.edu.au/). Towards the end of 2007, GE Education floated under the name Early Learning Services Limited. Early 2010, GE formed a merger with Payce Child Care Pty Limited. The company is based in Australia and has maintained its focus towards providing high quality, educational child care and developmental services.
The company has diversified its child care and education services to Singapore. In Singapore, G8 Education has 21 centers, 66 centers in Western Australia, 28 centers in South Australia, 72 in Queensland, 132 in Victoria, 187 in NSW, and 10 centers in ACT all totaling to 516 market centers ((https://g8education.edu.au/). G8 Educations provides a wide range of well-respected quality brands of products and services such as penguin childcare, kinder haven, casa bambini, bright juniors, jellybeans childcare, sandcastles childcare, bambinos childcare, pelican childcare, Cherie hearts, nurture one, great beginnings and many more.
Financially, G8 Education Limited is focused in investing in the future of childcare. The company is financially stable, its operations revenue increased by 12.8 percent ($88.2) in 2016 from 2015, contributed by acquisitions and increase in LFL parent fee revenue of $27.9 (https://g8education.edu.au/investor-information/annual-reports/). In the 2017 FY, G8 Educations reported a total revenue amounting $796.8 million. A financial summary of G8 since 2012 to 2017 is presented below.
| FY | 2017 | 2016 | 2015 | 2014 | 2013 | 2012 |
| Revenue($) | 796.6 M | 778.5 M | 706.2 M | 497.3 M | 275.2 M | 179.9 M |
G8 has been growing financially from one financial year to the next, and this is why the company has diversified its operations to more markets with more product and services brands.
Macro- Environment Analysis of the Industry
GE Education Limited operates in the Australian educational child care industry. Child care industry PEST analysis is a strategic tool for G8 education to analyze, interpret, and understand the external forces surrounding its operations in the Australian market. PEST abbreviates the political, economic, social, technological factors that affect the external environment in which G8 Education Limited operates within the Australian market (Gupta, 2013).