Corporate Stratergy - Case Study Example

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Corporate Stratergy

Over the last few decades the UK grocery market has become a supermarket-dominated business (Ritz 2005, p 22-23). The dominance of the groups in terms of supply chain efficiency, ubiquitous stores and huge product range make entry of new players in the market difficult.
Asda's positioning strategy is to be UK's cheapest supermarket grocer. The economic slow down has suddenly made a cheaper supermarket a more attractive proposition to the consumers. Morrison began as a butter and egg merchant, and went on to be a leading supermarket chain. It was by taking over the Safeway chain that Morrison began to make its large-scale presence. In fact, Morrison was forced to sell more than 50 stores it took over to avoid local monopolies. Some of the stores were also sold off because it did not fit in with the group's large format identity. Sainsbury group has a history of more than 150 years. Good quality at reasonable prices was the hallmark of the group from its first store. During the course of years, Sainsbury found itself sandwiched on one side by the cheap stores and on the other side by the up market stores like Waitrose. Tesco cornered the status of being termed the first superstore. ...
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Summary

The retail scene is United Kingdom has always been a hotly contested arena, most of the players have long legacies, and have grown along with the changes in the society. The food and drink retail industry represents one of the largest industries in UK. Many of the players who began operations as small food dealers and grocers have emerged to control the retail scene.
Author : camilareichert

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