Sainsbury's Price War

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Sainsbury’s Price war Q-Make a list of facts you learned from the article? Answer: Sales have fallen by 2.8% for 3 months by the end of September. The latest industry figures showed Sainsbury's market share slipped from 16.6% to 16.2%, with growth across the entire grocer sector down to a record low of 0.3%. Asda is the only one of the so-called "Big Four" supermarkets to have held onto its market share in the past year. On Monday, discount grocer Aldi reported a 36% surge in sales for 2013 and a 65% rise in pre-tax profits to £260.9m. Q: List five new words you learned in the article. Write down their meaning? Consultancy- a professional practice that gives expert advice within a particular field Discretionary- giving someone freedom to make decision Q: Briefly explain the problem in the article, and how was it solved? Sainsbury’s sales are falling due cheaper competitors. With everyone reducing prices and food inflation low, Sainsbury's has got its work cut out. Cash-strapped consumers are reigning in on discretionary spending and increasingly deserting the big boys for the low cost discounters, or treating themselves to a premium upmarket experience in Waitrose. Sainsbury's has already lowered prices on essential food items in an effort to compete with rivals including Asda as well as discounters Lidl and Aldi. Q: What kind of article is this i.e. persuasive / informative? List three sources of evidences of this? It’s informative. There are lots of facts and stats. It tell us the problems that Sainsbury’s are having Which part of the syllabus does this article cover? List the evidence to support your view They have cheaper and more competitive competition. The company has made a loss as they are constantly losing money Could there have been a better solution for this business. Justify your answer. Not really. The best they could have done was to try

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