In order to remain competitive in the market, the retailers have to adapt some strategies in order to differentiate their business from others. In this report, the strategies adapted by two retailers; Boots and Superdrug based in the same market sector and segment have been compared. The report also evaluates the retail strategy as well as the implementation of those strategies in the light of its competitive environment. Both the retailers are present in the United Kingdom. In the end, both the retail businesses are compared using the SWOT analysis with the intention to provide a clear view of the business. The aim of this comparison is to analyze which retail business is more effective in today’s competitive environment and the strategies adapted by which of the two retailers are better than the other. BOOTS Boots is the one of the most recognizable businesses in United Kingdom. Being established in the 1849, the company has a strong heritage and wide range of products offered to customers. This is the main reason why the company is very well regarded by the customers. Boots is a very reputable brand in UK as well as in other parts of the world. It could be said that Boots in itself is a very strong brand and it owns several strong sub-brands as well which includes No.7, Soltan and Botanics. Boots is the member of Alliance Boots which was formed in the year 2005 to face the rising competition in the market. The alliance has helped the business to become the UK’s leading pharmacy and beauty retailer. With the merger, the company has remained focused on its philosophy of treating the customers fairly and equally. Moreover, the company has been expanding its offerings to further improve its profits. (Taylor, 2012a). MARKET SECTOR AND SEGMENT The market sector in which the company operates is the retail business and provides the customers with variety of products. The products being offered by the company includes; Health and beauty Personal care Cosmetics and toiletries Baby care Dental care Bathroom toiletries Hair care Men’s toiletries Pharmacy services Skincare Perfumes Paper products OTC medicines (Bized, 2009) The company’s market segment is based on demographics; age. The company aims to provide the mature women; that are more health and beauty conscious, and would pay higher price than normal to look young and beautiful again. The company also provides the male customers with products to enhance their looks and to remain smart and handsome even at the maturity age. EVALUATION OF RETAIL STRATEGY IN LIGHT OF COMPETITIVE ENVIRONMENT Boots strategies to deal with the environment External environment or factors influence the businesses of retailers as well (Lusch, Dunne, & Gable, 1990).. Therefore it is important for retailers to formulate strategies to manage their external environment (Oldfield, Ian, & Malcolm, 2000). The strategies to deal with the environment adapted by Boots are as follows Strategies to deal with the Political factors To deal with the political environment, the company always looks for flaws in the business and creates contingency plans for their vulnerability. The company also employs rigorous planning for the identification and assessment of political environment in order to remain ahead of schedule. Boots aims to operate in countries that are politically stable therefore the company does not actually face many problems from the
Retailing could be defined as an activity that involves selling goods and services to the final customers for their personal use (Zentes, Morschett, & Schramm-Klein, 2011). …
The paper focuses on product and marketing strategies of a cosmetic and beauty products retailer, Superdrug based in United Kingdom in its bid to make a foray into emerging markets like India. Superdrug is an established retailer in United Kingdom through conducting its operation via 900 stores.
The context of retailing industry is set in the introductory part. The main body of the paper analyses four aspects of IT use, that is: infrastructure, strategy, global operations, and outsourcing. General presumptions for the essay is that large companies have vast resources and complex structure, while SMEs make the use of limited resources and more transparent internal system.
Consumers have not only become affluent, but judicious and mobile. As a result, retailers have responded to the needs and requirements by offering an array of formats in the city centres as well as out of town locales.
However, it was the internet's unparalleled potential for global connectivity, through its ability to "open up new avenues for business" (Pyle, 1996), that was the primary catalyst for the explosion of interest and activity in electronic business. At the forefront of this revolution have been the retailers, who have viewed e-commerce as a new front on which to compete and gain advantage over their rivals (Amit and Zott, 2001).
This analysis has been done with the help of various financial ratios that are known to be specifically helpful for different stakeholders and users of the company’s financial information i.e., company’s management, investors and lenders. All the data for ratio calculation has been obtained from the companies’ annual reports and financial statement for the year 2004-2005.
Profitability is the condition for survival in the long run. The profitability ratios are return on capital employed, gross profit margin, net profit margin, return on assets, and return on owners' equity. Return on capital employed shows how much profit was earned out of every dollar of long-term financing.
The retail industry employed over 2.8 million people as at the end of September 2008. This equates to 11% of the total UK workforce.”
In this global market every component of business from manufacturing, marketing, distribution and others each got specialized.
Company: Boots UK is one of the leading pharmacy chains in United Kingdom (UK) and is a subsidiary of Alliance Boots. The primary products of the company comprise health and beauty commodities. The company has
10 pages (2500 words)Essay
Hire a pro to write a paper under your requirements!
Win a special DISCOUNT!
Put in your e-mail and click the button with your lucky finger
Apply my DISCOUNT
Got a tricky question? Receive an answer from students like you!Try us!
Let us find you an essay for FREE
Contact us via Live Chat, call us at +16312120006or send an email to email@example.com