This 14 page paper examines the Australian supermarket chain looking at the background and the performing an external analysis using Porters Five Forces Model and a SWOT analysis to look at the internal influences. The paper then uses these analyses to propose a future strategy. It should be noted this Woolworths is only the Australian store, not the same names store in other parts of the world. The bibliography cites 25 sources.
Name of Research Paper File: TS14_TEwoolworth.rtf
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as Aldi are leaving the former competitive strategies of the company redundant. The company needs to change to build on the core competences which include large numbers of
store and a variety of choices and a reputation for quality at low prices. The paper suggests increased differentiation and more emphasis on partially or fully prepared foods as substitutes
from restaurants is increasing. Table of Contents 1. INTRODUCTION 3
2. WOOLWORTHS 3 2.1 Background 3 2.2 The External Environment. 4 2.2.1 Porters Five Forces 4 2.2.2 External Environment Conclusion 9 2.3 Internal Environment 10 2.3.1 SWOT Analysis 10 3.4 Woolworths Competitive Advantages 12 3.4.1 Cost Advantage 13 3.4.2 Differentiation. 15 4. RECOMMENDATIONS 16
1. Introduction In Australia the supermarket industry, that has been dominated by two players; Woolworths and Coles, is seeing change. There have been restrictions
placed on plans to expand and the changing markets as well as increased competition is placing the established leaders under pressure. This paper will look at the position of Woolworths
and use this information to consider the future of the company. 2. Woolworths To consider to position of Woolworth we need to look at te position of Woolworth in terms
of the background along with the external and internal environment. 2.1 Background Woolworths in Australia is not related to the Woolworths company in the rest of the world. The name
was used when the other Woolworths confirmed they had no plans to move into the Australian market. In 1924 when the company started the name was "Woolworths Stupendous Bergin
Basement". The first store was opened on December 5th in Sydney as a general store. The movement to supermarkets was in 1960 when the first supermarket opened in Warrawong.
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