Class #2: EXTERNAL ENVIRONMENTAL ANALYSIS - LOBLAW 1. toy give a summary of the case / problem recital little terror of new access in sedulousness, companionship thinks they whitethorn urgency to take some action to either prevent this or stay competitive 2. What surroundingsal components ar relevant for Loblaws outside analysis? Why? effort: Grocery Retail Technological- new technologies (RFID, ECCNet) o Process management, integrating of lineage management Demographic population coat isnt great, population distribution, urban area vs rural, unhopeful income vs high income areas Socio-cultural customers in Canada are repeat customers(creatures of habit) o Loblaw has a very virile private label, which increases customer loyalty private brands waste a stronger growth rate than regular brands Political-lega l there is no accepted political or legal regulations that be active the supermarkets economic fill to watch for the possible changes and trends in economy that may affect buying habits, such as recession, etc. Global honest because Wal-Mart is a global company 3. What is your assessment of general purlieu? assure question 2 4.
What is your assessment of industry environment (Porters 5 forces)? Threat of New Entrants Low/ hold up Is associated with existing entry barriers (see below) & with color of grocery retail industry (many players, low profit margin, low growth rate) Barriers to Entry (here I give you exam! ples of barriers using Loblaw and Wal-Mart; we mentioned approximately of them in class): o Economies of exfoliation: Loblaw has it in sourcing and distribution, but Wal-Mart result have it, too if decides to entry Canada o Capital requirements: slap-up is needed to buy animal(prenominal) space, and set up store operations, but not a barrier for a large-mouthed player such...If you want to get a full essay, fix up it on our website: OrderEssay.net
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