Even though the U.S. economy has been suffering greatly since mid 2000, Sara Lee has maintained market share in the core products that included foodservice, beverages, bakery items, body care, and household items. A current split of the company has been noticed and that may indicate a possible sale of its international business, leaving open rivals to finance an acquisition. The brand mix of similar products – unique brands – gives Sara Lee a strong competitive advantage over the competition with product effectiveness that reduces over all costs and drives up margins. Using a cross-mix strategy would remove the potential selling of one division or other, which would reassure investors that the company has a long-term strategy to maintain both the North America and International operations. The company is in a great cash position to develop long term strategies by using innovation, private labeling and marketing to generate new growth among other retail locations – reducing the overall dependency on Wal-Mart.
General Mills made 4 basic changes to position themselves better and increase their market cap. First they increased there productivity in all aspects of the business e.g. finance, logistics, operations management etc. secondly it started aggressive promotional strategies to win the hearts of its customers and encourage sales. This was done to combat Kellogg’s new Special K (Healthy products line).
It enjoys a strong position in the market and is viewed to grow more rapidly in the future. The case study brings out the unique propositions, which have worked in the favor of Morrison’s relative to its competition. Company Strategy: A visit to the company’s website brings out the “no frills” approach of the organization, its strategy is simple, the website quotes, “Keeping things simple: Our vision to be the ‘Food Specialist for Everyone’ is now well advanced. Our constant focus on freshness, great value and outstanding service is appealing to more and more people.” This focus on fresh offerings to the consumers at the most competitive price, along with exceptional customer service has differentiated Morrison’s from its competitors. Business model of Morrisons’s: The Company has grown steadily over the years and apart from the recent Safeway takeover, it had only acquired Whelan discount stores.
Firstly, most of its supercenters are about 185,000 square feet and offer a plethora of groceries, electronics and other consumer goods at prices that are rarely matched. Its wholesale brand, Sam’s club, offers customers conveniences such as parking and large “warehouse-like” shopping spaces with high ceilings. Besides, an efficient logistics’ system, Walmart, because of its size, has the ability to eke out the lowest prices from its suppliers, while simultaneously encouraging its suppliers to innovate new products and produce those products in large volumes. So, on a macro level, Walmart seems to have the correct strategy in the United States as far as promotion, price, product and place are concerned (4P’s of marketing). One of the main reasons for Walmart’s lack of success in other countries is in trying to impose American values, cultures and shopping habits in other countries.
Tesco have also set up their own mobile service which is growing in popularity. Ethnic Factors With the increase in Immigration of Eastern Europeans and young professionals, Tesco have broadened their range of products so there is something for everyone. They have a lot off different ethnic foods and also have a polish section with all there different types of foods. Also there has been an increase in meals for one or quick microwavable meals for people on the go. Swot Analysis
The book and television program began a movement toward the exotic and flavorful spices in American cooking. The Second trend was regarding the growing concern about obesity and diet. Health-conscious consumers, who wished to reduce the amount of fat in their diets while maintaining flavor, could use spices and seasonings to improve the taste of low-fat meals. Although the spice industry was dominated by large multinational firms like McCormick & Company and Associated British Foods plc, many small firms were competing successfully for a share of chefs’ purchases and spice-rack space. The current problem for PGS is that the company must meet the bank’s requirements of reducing interest-bearing debt to less than 55% of total assets and the equity multiplier to less than 2.7 times by June 30, 2012.
Over the years Tesco has expanded vastly and have become one of the best supermarkets today. Tesco sells a variety of different products and services such as; House hold accessories, televisions, clothes, jewellery, loans, car insurance and mobile phones. Tesco operate in the tertiary sector as they sell goods to the public, however Tesco do make their own bread. Tesco is a large public limited company (PLC), which has gained a reputation of being of the leading supermarkets in the U.K. Tesco, is owned by shareholders. Shareholders provide finance by buying new shares and they expect to benefit by sharing in the profits.
A commitment to nutrition without compromising taste or quality remains at the core of its business philosophy. The largest market for the company is North America, accounting for 68% of total sales with the European market coming in second at close to 19% of total sales. Kellogg’s expands and adjusts its portfolio to meet the changing needs of its customers worldwide, introducing new products on a routine basis. Market research indicates that consumers demand more convenience as lives become more hectic. This market plan will focus on the introduction of a new cereal product that is easier to take and eat on the go, but just as nutritious and appetizing as one enjoyed at the breakfast table.
Franchises allow individual owners to leverage a well-known brand name and benefit from the purchasing efficiencies and operational expertise of the franchiser. Franchise agreements generally cover a specific geographical market and outline restaurant operating requirements, such as hours of operation, menu offerings, and pricing. Annual sales average is $694,000 for a QSR franchise, according to the National Restaurant Association (NRA). In QSRs, customers generally order and pay before eating. While most QSRs are fast food restaurants, QSRs also include fast casual restaurants, which offer higher
I think Supermarkets have a minimal competitive impact because they try to reach a different target market, even though Supermarkets and the wholesale club industry both carry similar products. As customers, we are always looking for the best deal and price, and the demand in this industry is very high. The ability to provide better prices hinges on the company’s relationship with its suppliers. 2. Do all three warehouse club rivals—Costco, Sam’s, and BJ’s Wholesale—have highly similar strategies?