...13 1.0 Introduction According to AS/NZS ISO 31000:2009, risk management consists of 6 components which are establishing context, identifying risks, analyzing risks, evaluating risks, treating risks and monitoring and reviewing risks. It could help create and protect value, improve decision making and explicitly solve uncertainty. In this report, Woolworth Limited will be the business case to be discussed. The report will start with classifying, then analyzing and evaluating relevant risks, followed by a risk register, risk treatment plan as well as the treatment action plan. Recommendations and conclusion will also be given at the end. 2.0 Statement of case Woolworth Limited is an Australian corporation which was established in 1924 in Sydney. It is now one of the largest supermarket chains with more than 3,000 stores located in Australian and New Zealand. The services it provided include span food, general merchandise, petrol, liquor and home improvement. It has over 198,000 employees and thousands of business partners such as local farmers, producers and manufactures. The main competitor of Woolworth is Coles who also has relatively large market share in providing commodities and fresh food and liquor. In order to beat its main rival,...
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...Implementation Lecturer – Jessica Kennedy Due Date – 11:00pm Thursday 26th April 2012 Word Count – 2669 In order to analyse Woolworths’ strategy and its implementation, consideration will be given to the competitive environment that exists between Woolworths and Wesfarmers (Coles), the notion of competing duopolies and the role that management plays in the process. The purpose of this essay is to discuss competing duopolies and how they impact on the development of an organisation’s strategy and implementation. In a duopoly two firms compete for market share, so strategic thinking by management plays an important part in strategy development and the creation of a competitive advantage. Strategic thinking allows management ‘to more fully capture and analyse the relevant forces creating new market opportunities and business strategy requirements’ (Cravens, Piercy & Baldauf 2009, p.32). Woolworths has for many years been the dominant player in the Food and Staples Retailing Industry but since Wesfarmers’ takeover of Coles, Woolworths has had to be more on the defensive matching Coles in its low-cost pricing strategy on many product items (Sell on News 2011). Whilst Coles is trying to regain market share within its supermarket division, Woolworths is endeavouring to develop operational scope in the area of hardware, where Coles has held a monopoly situation (Sell on News 2011). In competing duopolies, the quality of the management team and their ability to provide future...
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...April ALDI offering the ‘same for less’ value proposition Andrian Saputra Njonoriswondo Billy Qian Claudya Vici Yvonne Huang 17 Table of contents Introduction Australian Retail Industry Market Segmentation Product Differentiation Consumer Perception Cost Effective Strategy Potential Future Problems Conclusion Appendix References pg. 2 pg. 2 pg. 2,3 pg. 3 pg. 4 pg. 4,5 pg. 5,6 pg. 6 pg. 7 pg. 8,9 M A R K 1 0 1 2 M a r k e t i n g F u n d a m e n t a l s Introduction In present, the number of retailers in the marketplace is uncountable. Hence, it is important for the organisations to understand and satisfy their consumers and customers in order to have a long-run survival in the marketplace. Every organisation is aiming to be efficient and effective in operation. Thus, they have to be sure that consumers and customers have a freedom to choose goods at the best price and perceive a service that match their preferences. To succeed, the company has to be certain about which part of consumers or customers they want to satisfy. In other words, they have to create a more focused target market. This idea is often called market segmentation. Market segmentation can be defined as a marketing strategy that involves dividing a broad target market into narrower target consumers who have common needs and wants (Goldstein 2007). ALDI has been regarded as a successful company that can meet the expectations of customers whereas the other existing firms are...
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...years of westfarmers which was primarily driven by the success of the coles turnaround, Westfarmers's major competitor woolworths successfully launching the "Masters" chain of retail hardware stores and planning to rolled the business bigger in next 3 years still is a concern for the board of directors in westfarmers. What makes it worse is the announcement of intention of leave of Mr. Mcleod, who has been credited with the very successful turnaround of Coles business. The purpose of this report is to investigate any potential key challenges presently facing by the group by analysis of the industry and core competence and value chain of westfarmers. 2. Westfarmers background Westfarmers was established in 1914 as Western Australia farmers' co-operative. It is now one of the largest retailers and diversified publicly listed company in Australia. In 1984, when it was firstly listed on ASX, its market value was only $30 million, but by the end of 2008, it had a market capitalization grown to $25 billion. In fact, it has engaged an aggressive acquisition and diversification strategy since its establishment. Of those diverse business one of the most important businesses is the retail business including Coles and Bunnings. This leads to the major competitor of Westfarmers's, woolworths. Currently woolworths entered the home improvement retail market and makes the competition between westfarmers and woolworths more aggressive. 3. Industry analysis The key retail market westfarmers...
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...Subject Code ECON90015 Subject Name Examining the Australian Supermarket Industry under Porter’s Five-Force Model comprising of: 1. 2. 3. 4. 5. Internal Rivalry Entry Substitutes and Complements Supplier Power Buyer Power And their impact on the profitability and welfare of different stakeholders in the market. In the big bad world of inflation, “Cheap Cheap” and “Everyday lower prices” have been the only words of solace. For the past 3 generations, Australians have relied on the consistent comfort of competitively low prices at supermarkets. It is no wonder then, that the supermarket industry has caught the eye of everyone in the spectrum – economists, global retailers (like ALDI, Lidl, Walmart, etc.) and (inspections by) the regulators alike. Even though the market life cycle is developed, the outlook for the market looks positive, propelled by external factors population growth (1.6% YoY in 2014) and rise in average weekly earnings1. But the long-run duopoly in the market is witnessing a change in landscape with international competitors (like Aldi) swelling their market share in the subcontinent. This makes the supermarket industry in Australia interesting to analyse under Porter’s 5 Force Model Analysis. Defining the Market This analysis set geographic boundaries for the supermarket or grocery retail industry over the Australian subcontinent. Given their large population size and concentrated pockets of inhabitancy, supermarkets...
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...1 One way ANOVA analysis 17 4.1.1 Price versus Packaging 17 4.1.2 Price versus Quality guarantee period 19 4.1.3 Unit price versus Type 21 4.1.4 Unit price versus Brand 23 4.2 Two way ANOVA analysis 26 4.2.1 Price versus Quality guarantee period and Type 26 4.2.2 Unit price versus Store and Brand 28 4.3 Regression 30 5.0 Conclusion 31 Reference 32 Appendix 33 Appendix A 33 Appendix B 34 List of Illustrations Figure 1. Planning for data collection 7 Figure 2. Grouped histogram of unit price 10 Figure 3. Stem-and-leaf of unit price 11 Figure 4. Stem-and-leaf of price…………………………………………………………………………………………………12 Figure 5. Descriptive Statistics of price and unit price 12 Figure 6. Scatterplot of unit price VS quality guarantee period 13 Figure 7. Dotplot of price 14 Figure 8. Boxplot of unit price by quality guarantee period 15 Figure 9. Bar chart of container size, packaging 16 Figure 10. Pie chart of brand 16 Figure 11. One-way ANOVA: Price...
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...Global E-Commerce Advanced Multichannel Expectations in Highly Developed Markets Joanne Bethlahmy, Paul Schottmiller Cisco Internet Business Solutions Group December 2011 Cisco IBSG © 2011 Cisco and/or its affiliates. All rights reserved. Cisco Public Internet Business Solutions Group 1 Executive Summary Many retailers are ―going global‖ to capture a larger share of the $1.4 trillion e-commerce market Leading-edge multichannel experiences are becoming the norm in highly developed markets around the globe To compete, retailers will need to understand customers’ needs and expectations in each market, and deliver highly advanced multichannel experiences Source: Cisco IBSG, 2011 Cisco IBSG © 2011 Cisco and/or its affiliates. All rights reserved. Cisco Public Internet Business Solutions Group 2 1 Global E-Commerce Background and Challenges Cisco IBSG © 2011 Cisco and/or its affiliates. All rights reserved. Cisco Public Internet Business Solutions Group 3 E-Commerce 2015: $1.4T, Still High Percentage in Developed, Non-U.S. Markets E-Commerce Spending (US$B) $1,600 Global e-commerce, including travel, will reach $1.36T by 2015—13.5% CAGR over six years This study focuses primarily on highly developed e-commerce and technology markets in Europe and Asia – Generally, high penetration of broadband and mobile, sophisticated delivery infrastructure – Example: U.K., Japan, France, and S. Korea will still represent almost...
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...| Marketing Strategy | Pantene- Colour Therapy | | | | | Contents 1.0 Situation Analysis/Current Marketing Mix 2 1.1 Current Product 2 1.2 Current Pricing 3 1.3 Current Distribution 4 1.4 Current Promotion 5 2.0 Segmentation Theory 5 2.1 Define and Explain Segmentation 6 2.2 Benefits of using Segmentation 6 3.0 Target market Segmentation 7 3.1 Geographic Segmentation 7 3.2 Demographic Segmentation 7 3.3 Physiographic Segmentation 8 3.4Behavioural Segmentation 8 4.0 Target Market Collage 9 5.0 Completion of Discussion/Rationale of the Target Market Collage 10 6.0 Reference List 10 1.0 Situation Analysis/Current Marketing Mix 1.1 Current Product The colour therapy product is enriched with Pro-V Complex and is designed with the objective of providing improved, protected and revived colour treated hair. The current product comes in three variants namely shampoo, conditioner and spray conditioner. It has been clearly mentioned in all the three products that they are inter related to each other and for best results the customer must make use of all the three in a series of steps to be followed by the user. The booklet found inside the package of the product explains how one should treat their colored hair i.e. first head wash using the shampoo and then conditioner followed up by the spray conditioner. Thus, three products are being targeted to be sold at once the potential customer decides to purchase the product (Pantene 2011)...
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...1. Introduction Australian retail petrol stations are operating through a network of different major oil company such as BP, Shell, Caltex, Mobil etc. Some are privately owned and operated; some are agents operating the service stations under an agreement with the oil companies; many are owned by those companies. They all provide essentially the same products to customers; the difference lies in their locations, value added service and their marketing programmes. The fuel price levels vary between service station operators due to “the location, quality or the price policies of the operators. Australian’s oil industry has some unique characteristics and very competitive local environment. Therefore, in many cases petrol suppliers use the lens to focus the elements of marketing mix so that the consumers receives an overall message about quality, cost, performance and the product’s position compared with competing brand. 2. Elements of Marketing Mix Marketing mix is the term used to describe the combination of the four inputs: the product, the price structure, the promotional activities, and the distribution system that the firm uses to pursue the sought level of sales in the target market. 2.1 Product The product aspects of marketing deal with the specifications of the actual goods or services, and how it relates to the end-user's needs and wants. The scope of a product generally includes supporting elements such as warranties, guarantees,and support. The product mix includes...
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...Retail Sales – Australia Australian retail sales underwhelm again, as expected • Australian retailers continue to eke out small gains with sales up 0.2% in February after a 0.3% gain in January and a flat December. The February result was in line with consensus. That's a weak picture though with trend growth in nominal sales tracking at a 1% annual pace. • The detail was also patchy. Food retail rose 0.3%mth but was basically flat over Q1; clothing retailers saw a 1.4% fall; department stores had a better month but household good retailers registered a second monthly decline suggesting we may be seeing renewed caution/restraint from consumers big ticket discretionary spending. Small ticket categories continue to hold up comparatively well. • The wedge between mining and non-mining states is widening with retail sales down 0.6%mth in NSW and 0.4%mth in Vic – both states having recorded four monthly declines in the last six months. In contrast, Qld and WA continue to record solid 1%+ gains. • Notwithstanding areas of strength – the resource states and some small-ticket discretionary categories – the overall picture remains decidedly soft. Even allowing for the 'extenuating circumstances' affecting retail – online competition in particular - the message appears to be of subdued consumer demand that at the very least has extended the soft Q4 result into 2012 and may even be seeing a further weakening. Retail sales posted another disappointing month in February, albeit one that was...
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...ALDI IN AUSTRALIA: WHAT WILL BE THE IMPACT? May 2000 Aldi in Australia Aldi will become a small but significant player in the Australian market OVERVIEW I. Aldi is the world’s lowest cost grocery retailer II. The United Kingdom provides an excellent model for the development of Aldi in Australia III. The arrival of Aldi in Australia will have a focused impact, felt mostly on key line pricing and by Franklins Aldi 2 Aldi in Australia I. Aldi is the world’s lowest cost grocery retailer – Ia. Aldi acts as a category killer in core grocery lines – Ib. Aldi has a low-cost logistics and operational system that works on a 12% gross margin – Ic. Privately owned Aldi has a long investment horizon and plenty of patient capital – Id. There are few threats to Aldi or the limited assortment store. Aldi is immune to competition, even from WalMart Aldi 3 Aldi in Australia Ia. Aldi acts as a category killer in core grocery lines – Aldi is a limited assortment discount grocery store, a format characterized by a high turnover on a narrow range of grocery items in a small space – The main appeal of limited assortment stores is low prices – Packaged grocery accounts for almost 50% of a German Aldi store’s turnover and 50% of an American store’s SKU mix – In Germany, over 70% of German households shop at Aldi, mostly for basic staples Aldi 4 Aldi in Australia Aldi is a limited assortment discount grocery store… TYPES OF DISCOUNT...
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...Strategic Marketing Plan Q2 2004 – Q4 2007 Page 1 of 89 DECLARATION We hereby certify that this assignment contains no material which has been accepted for the award of any other degree or diploma in any university or equivalent institution, and that to the best of our knowledge and belief, contains no material previously published or written by another person except where due reference is made in the text of this assignment. Viraj Perera Sara Russell Ingrid Szikla ID: 18877095 ID: 18481183 ID: 13034715 Page 2 of 89 EXECUTIVE SUMMARY This strategic marketing plan specifically addresses Uncle Tobys Ready to Eat (RTE) Breakfast Cereal products in Australia over the time period starting from the second quarter of 2004 and ending fiscal year 2007 (1/10/2004 – 30/6/2008). This plan takes into account and builds on new marketing strategies for Uncle Tobys resulting from the take-over by Burns Philp in the USA. Uncle Tobys is a leading brand of Goodman Fielder, which is a division of Burns Philp Company Ltd. Until 2002, Uncle Tobys had the second greatest share of the RTE market by value with 20.3% in 2001, but has since slipped to third place at 15.9% in 2003 and is now behind Sanitarium (17.2%) and Kellogg’s (55.4%). Contributing factors were issues such as high debt and lack of effective IMC strategy. However, it is anticipated that efficiency gains from the new organisational structure will come into fruition during 2004-05, and Burns Philp’s...
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...Business Environment | An analysis of Tesco Company | Name;ID; | Institutions | Contents 1.0 Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2.0 The Organizational purpose of business . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2.1 Organizational objectives Vs Stakeholders objectives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 3.0 The nature of national environment in which businesses operates . . . . . . . . . . . . . . . . . . . . . . . . . . 6 3.1 Distinctions between Planned, Free market and mixed economic models with examples . . . . . . 6 3.2 Use of Monetary and fiscal policy in management of economy . . . . . . . . . . . . . . . . . . . . . . . . . 7 4.0 The behavior of organizations in their market environment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 4.1 Market structure Tesco operates and its effects on pricing and output decisions . . . . . . . . . . . . . 9 4.2 Use of PESTEL analysis to judge how the market forces affect the behavior of Tesco 11 5.0 The significant of global factors in shaping national business activities . . . . . . . . . . . . . . . . . . . . 12 5.1 Significance of international trade to Business organization located in UK . . . . . . . . . . . . . . . 12 5.2 Benefits and drawbacks for UK business Of EU policies . . . ...
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...Are Online and Offline Prices Similar? Evidence from Large Multi-Channel Retailers Alberto Cavallo∗† MIT & NBER This version: April 18, 2016 Abstract Online prices are increasingly being used for a variety of inflation measurement and research applications, yet little is know about their relation to prices collected offline, where most retail transactions take place. This paper presents the results of the first large-scale comparison of online and offline prices simultaneously collected from the websites and physical stores of 56 large multi-channel retailers in 10 countries. I find that price levels are identical about 72% of the time for the products sold in both locations, with significant heterogeneity across countries, sectors, and retailers. The similarity is highest in electronics and clothing and lowest for drugstores and office-supply retailers. There is no evidence of prices varying with the location of the ip address or persistent browsing habits. Price changes are un-synchronized but have similar frequencies and average sizes. These results have implications for National Statistical Offices and researchers using online data, as well as those interested in the effect of the internet on retail prices in different countries and sectors. ∗ Email: acavallo@mit.edu Financial support for this research was provided by the JFRAP at MIT Sloan and the NBER’s Economics of Digitization and Copyright Initiative. I thank Maria Fazzolari for her outstanding work implementing...
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...S T R A T E G Y – II S T R A T E G Y – II S T R A T E G Y – II S T R A T E G Y – II S T R A T E G Y – II www.ibscdc.org 1 Transformation Corporate Transformation Korean Air: Chairman/CEO Yang-Ho Cho’s Radical Transformation A series of fatal accidents, coupled with operational inefficiencies snowballed Korean Air into troubled times. Then, at the beginning of the 21st century, its CEO/ Chairman, Yang-Ho Cho undertook various transformation initiatives - for instance, improving service quality and safety standards, technology integration, upgrading pilot training, better business focus; putting in place a professional management team, improving corporate image through sponsorship marketing, etc. He gave a new corporate direction in the form of '10,10,10' goal. However, Korean Air is held up by a slew of challenges. Among which are inefficiencies of - Chaebol system of management, possible clash of its cargo business with its own shipping company, limited focus on the domestic market and growing competition from LCCs. How would Korean Air manage growth as a family-owned conglomerate? The case offers enriching scope for analysing a family business’s turnaround strategies, with all the legacy costs involved. Pedagogical Objectives • To discuss the (operational) dynamics of Korean Chaebols - their influence/ effects on the country’s industrial sector and the economy as a whole • To analyse how family-owned businesses manage the transition phase - from a supplier-driven...
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