Report---Morrisons Supermarkets Essay Example | Topics and Well Written Essays - 2250 words

Report---Morrisons Supermarkets - Essay Example It also has a long standing management team to support such expansion. The level of service it gives to the customers is also high. The internal weakness of the company is that it is dependent on the market of UK. It is also uncertain over the long term acquisitions it has undertaken. It has a lower quality of Safeway estate. Their business model is very labour intensive. The external opportunities which the company now faces are the diversification of its business into new market. It has generated synergies through Safeway merger. Another opportunity facing the company is their expansion through online medium. It has decided to increase operations online. The Morrison faces many threats from its surrounding environments like Price wars. It is quite possible for its main competitors to engage in price wars. The UK grocery industry is undergoing a change and the company also need to adapt to the change. Hence if the company can’t take advantage of this position it will lose out in the market. Next the macroeconomic forces affect the company. Political forces which affect the company are changes in government policies like taxation polices. Any change of it will minimise the profit margins for the company in such competitive environment. The economic forces which affect them are their local suppliers of the products like meat etc. which keeps control over the quality of the food. Another advantage which the company have is that it helps to keep the prices in check. Morrison has launched a way of recognising a colleague’s job profile by giving National Qualified Certificate. This is their way of changing the lifestyle of the employees. They have also launched a campaign aimed â€Å"Let’s Grow† which provides free gardening equipment to the local schools so that a healthy social balance in the society can be maintained. The IT infrastructure of Safeway was down-graded and hence it needs to improve on it. Morrison faces legal risk with re spect to the government policies regarding pollution control. It is a limited liability company and hence has to follow the legal way of doing business according to the companies Act. The company also has to take care of the environmental aspects like using long-life reusable bags instead of the free non –degradable plastic bags. As far as the financial performance of the company is concerned the revenues has increased by over 7 percent in 2011 while the gross profit has increased by around 6% in 2011. The operating profits have increased by around 7.60% in 2011 which is more than the increase in is gross profit. Hence the company has been able to decrease the operating costs. CW2 Executive Summary In United Kingdom the supermarket chain store is on rise. In this report we will take a look at one such supermarket store named Morrison Supermarket. We will take a look at the marketing strategies of the company which it used employed in their normal course of business. Being a g rocery store it has to continuously change its marketing strategy to keep in line with the other competitors. We will also look at the different models like BCG and Ansoff and analyse the ways used to employ their marketing strategies. Lastly we will take a look at the other strategies the company can employ to further increase their business growth. Contents Executive Summary 4 Contents 5 Introduction 6 Analysis and Critical evaluation of Morrison’s Supermarkets 6 Analysis of Strategic Direction of Morrison’