A Benchmark Analysis of Morrisons Key Performance Indicators - Case Study Example

The paper "A Benchmark Analysis of Morrisons’ Key Performance Indicators" is a great example of a case study on business. A benchmark analysis of Morrisons’ key performance indicators in comparison to Tesco and Sainsbury Executive summary A detailed strategic marketing analysis of Morrisons reveals that the UK supermarket retailing industry has become highly competitive. However, unlike other developed regions in the world, it still shows the potential for growth opportunities. Therefore it is also vital to acknowledge that opportunities are available for only industrial players who are willing to provide high value for customers at competitive prices.

It has been observed that Morrisons is not a niche player in the market because of the fact that the resources and capabilities combine together to give it an arena much broader than this. The company is of the belief of providing quality to its customer with the use of efficient supply chain integration and differentiated products. Morrisons, an FTSE 100 Index company is the fourth largest chain of supermarkets in the UK with over 455 stores across the UK, headquartered in Bradford, England (Morrisons 2011)i.

Figure 1 displays Morrisons’ geographical reach. Unlike its major competitors, Morrisons does not offer an online grocery home delivery service, neither does it offer a loyalty scheme – except in its petrol stations (Tottman). Attracted by the growth in convenience stores, in 2011 Morrisons announced that it was to trial with stores named M Local with the first opened in July 2011 in Ilkley and two further trial stores in Wilmslow, Manchester, and Widnes in late 2011. In 2004 Morrisons acquired Safeway supermarkets and has since been able to challenge the major national and global competitors (British Journal of Management, 2003)ii.

 The company prepares more food every day in its stores than any of our competitors and it is also one of the top five food producers in Britain. The biggest market share is in Yorkshire of 21.9 % with North East comin next at 20 %. Figure 2 demonstrates the detailed market share.  Market analysis Morrisons’ UK market share (see appendix figure 1) as of January 2011 was 12.8% making it the smallest of the “Big Four” supermarkets, behind Tesco (30.9%), Asda (16.8%), and Sainsbury’s (16%) (Morrisons, 2010).

(See appendix) The total UK food industry provides more than 3.1m jobs – 14% of UK employment (IDG 2011). In 2011 the UK grocery market grew by 3.4% and was worth £150.8bn (ref).