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Safeway

Assignment Title: Safeway plc



1. ... 1     SCENARIO
I work as a junior business analyst for The Economist and I have been asked to provide information and comment in a number of areas for the ‘Editorial Comment’ column that will be analysing ‘Safeway plc’ and the possible scenarios for its future. ... As well as providing information on ‘Safeway plc’, I will also be examining ‘Tesco plc’ which is one of the organisations that have put a bid in for the company. ... 1 SAFEWAY PLC
Here is the mission statement of ‘Safeway plc’:

Safeway’s commercial strategy centres on the delivery of the customer promise namely that we will create the best retail shopping experience for all our customers in local catchment areas by delivering:-

Focus on product and price
Best in fresh
Best customer service
Best availability
Stakeholders are interested in the way that Safeway behaves as a business in order to deliver that strategy and how, over time, we will balance social, environmental and economic (SEE) priorities with our commercial aspirations. ...
For Safeway CSR is about understanding the inter-relationships between our business aspirations and operations and the economy, communities and environment within which we operate. Safeway recognises that its CSR strategy can help to create value by helping us to manage costs, minimise risk and identify new opportunities. ... ”
Safeway’s mission statement centres on providing premium products at a competitive price. ... 1 OBJECTIVES OF SAFEWAY

Primary – To increase profitability, to increase the share price, to gain market leadership and to produce a good return for the investors of Safeway. ...

Long-term – To increase profitability, to increase the share price, to gain market leadership and to produce a good return for the investors of Safeway. ...

Financial – To increase profitability, growth, dividends, market value, to increase the share price, to gain market leadership and to produce a good return for the investors of Safeway. ... 1 STRATEGY OF SAFEWAY PLC
Safeway’s strategy concentrates on the delivery of their promise to customers, namely that they will strive to create the best possible shopping experience for their customers by producing these deliverables:
‘Focus on product and price
Best in fresh
Best customer service
Best availability.’
How does Safeway plan to produce these results? ... I believe that Safeway’s strategy is an ‘incremental’ approach to strategy because they seem to have developed a strategy then they are slowly making small changes within that strategy rather than changing its direction completely. ... 1 PESTLE ANALYSIS OF SAFEWAY PLC
Please see fig 1. ... 3      PORTERS 5 FORCES OF SAFEWAY PLC
Please see fig 3. ...

The threat of new competitors

A new entrant to the supermarket industry could pose a threat to the market share and profitability of Safeway. ... The main threat for Safeway is if one of the current supermarket chains buys out one of its competitors.

The bargaining power of buyers

As Safeway operates in a market where there are millions of customers, the customers have very little bargaining power.


Approximate Word count = 2397
Approximate Pages = 9.6
(250 words per page double spaced)
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