Supermarket Industry: Meeting Future Stakeholder Requirements

This report discusses the need for the supermarket industry to adapt to meet the requirements of stakeholders in the future. It explores the challenges faced by the industry and the strategies that can be implemented to ensure long-term success. The report also includes a case study on Lidl and highlights the importance of satisfying the needs of stakeholders.

ASSIGNMENT 1

Table of Contents
Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Discuss how supermarket industry must change to meet with requirements of stakeholders in
future.......................................................................................................................................1
In your own experience in the last few weeks, discuss in your own words how the
supermarkets have risen to the challenge of “feeding the nation”.........................................4
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Global world provides various platforms to all business and at a similar level so it is easy for
management to complete all work in proper manner at a large level. Similarly, due to increase in
number of business operations and functions diverse and new stakeholders are engaged that
boost economic at global level (Ater, 2018). With changing behaviour of stakeholders at global
level management must design new strategy to manage operations according to future
requirements. This report is written from perspective of Lidl case study which is focused for
opening their new store and another case study supermarket fight back. Both case study
determine similar points which relates with formulate and imperative study of supermarket.
Along with this both aspects highlights on developing strategy which leads them to sustain for
longer period in organisation.
MAIN BODY
Discuss how supermarket industry must change to meet with requirements of stakeholders in
future
Supermarket industry is working as an economic backbone for a country that is increasing
its revenue through generating more tax from perspective of market share. This refers
supermarket sale more products which increases their revenue as customers purchase all of its
essential products from supermarket. In the present scenario, supermarket and retail industry of
UK is increasing with rapid speed which demonstrates scope for organisation is too wide. Lidl,
ASDA, Tesco and many more are performing their operations in super market industry (Behfar,
2018). But it also consider that competition among all companies is intense that directly reduces
sale of products offered by supermarket. Therefore, to overcome from competitive aspects
management implement different strategy that leads organisation for increasing their market
share and to retain potential customers for longer period. Global warfare generates various
challenges for organisation similarly it also enhances number of revenue opportunities for
management.
Stakeholders are the most important part for organisation that is increasing their number of
customers through supporting a business in an effective manner. Investor, customers, transporter
and many more are key stakeholder for organisation which are engage in supermarket industry
and perform their role for increasing its customer base. Suppliers and employees are most
1

important stakeholder because they directly support management of a supermarket to increase its
sale. But in present scenario, with impact of globalisation the requirement of stakeholders are
also modified (Chao, 2018). So it is essential for large as well as small organisation to fulfil
requirement of its stakeholders in future. This refers that there are various task and operations are
also included to ensure longer results in order to consider potential aspect for management that
shape future of organisation towards favour of stakeholders. Some future requirement of
stakeholder is as follow:
 Employees- With globalisation aspect it is identified that employees are most important
asset for organisation. Along with this perspective of long future it is also identified that
skilled employees hold power to bring or generate more productive results for
organisation in future. With aspect of this it is considered employees also required some
benefits for them which are to increase salary and other benefits based on their skill. Most
employees also required equal opportunities that motivate staff or workforce to utilise its
skill in proper manner such as non-discrimination on bases of religion (Ehlers, 2019).
 Management- In context of supermarket industry management analyse that its
(Directors/manager/investor) are also most important stakeholder of organisation. This all
enhances better results for organisation through defining better results that complete all
work as decided policy to provide right situation for all employees. So in upcoming
future authorities may demand rights in shareholders. Thus, it is a crucial decision for
supermarket owner because this directly reduces profits for organisation. With this it also
analyse instead of acting principle that generates better results for organisation.
 Suppliers- These are most important individuals who provide products, services and raw-
materials to organisation for manufacturing products and services to organisation. In
addition to these suppliers required positive relations to complete with management for
fulfilling requirements of organisation in proper manner. In context of supplier, future
expectation is that there bills must be clear before due date.
 Customers- Society individuals and customers are most important stakeholder for
organisation which leads management to accomplish top position in the market (Evans,
2018). This refers by satisfying needs and wants of customers properly it is easy for
management to gain top position in market. Supermarket industry is totally based on
2

consumers so it is most important for management to develop strategy which satisfies
need of customers properly.
In the last, as per case study of Lidl it is analysed that management is performing different
task which is leading organisation to manage all work as per motive of completing its work to
complete all task and objectives as per future strategy. These complete practices as per ethical
value that is required for satisfying need of its stakeholders. Moreover, the major concern for this
management must open its stores at all places by satisfying needs of its stakeholder properly.
Moreover, Lidl is making an investment of amount is million so each possibility that develop
positive relation with stakeholders consider that its profits are adopted in easy manner. It also
reduces to do well and reduce cost for increasing surplus profits that is used for entering in
upcoming future (MacNaught, 2018). This all is also used to maximise interest of supplier and
retailers in the organisation. Along with increase in income of supplier and improve relations
with customers.
Strategy and supermarket
Strategy is a term that is used by organisation for completing all work in an effective
manner. This defines it is essential for management to perform all task according to desired
strategy that leads organisation to accomplish long term goals in an effective manner. Within
context strategy, it helps organisation and supermarket industry for developing situation that
leads to complete all task and combat with rivals to enhance market area in minimum time period
(Pangarkar, 2018). Global war generate many opportunities for business but on same side it also
develops aspects due to which it is not possible to complete work as per operations and
movements that satisfy needs of customers and gain proper results for accomplish of desired
results properly. These also consider master plan direct and control all departments that is used
for satisfying needs and wants of customer properly. So with right results it is easy for
management to gain right results that satisfy all needs and wants of customers through planning
better actions for organisation. Thus, the another case study that retail organisation are giving
intense competition to each other due to which its task and operations consider for accessing
longer results that movements longer results for hold top position in market. Merger, acquisition,
take-over and sale out are some option to stay in market that leads organisation for managing and
completing its task as per motive of planning and directing sustainability in market (Parsons,
2018). At recent time merger technique is adopted by ASDA and Sainsbury to identify challenge
3

which is to deal with discount customers but the market authority generate barrier and block the
deal because both companies are strong and capture high market share to manage their business
merger is not mandatory. Some strategy which is adopted by organisation for overcome from this
threat is as follow:
 Social and digital media strategy- More the organisation are presenting themselves
among market it is easy for them to complete all work properly that leads to gain top
position in market. This is identified by management that with social and digital media it
is easy for management to develop positive perception among mind of customers and
other stakeholder that ensure trust among mind of stakeholders (Pires, 2018).
 Employees engagement- Human resources or workforce are most important asset for
organisation which is leading management to ensure longer benefits in society through
completing their work in proper manner. It also defines management that to gain better
results employees are able to complete task that are imitable by other organisation.
In your own experience in the last few weeks, discuss in your own words how the supermarkets
have risen to the challenge of “feeding the nation”.
The supermarket are carried the largest business and provides the diverse range of
products and services in the market by manage as well as operate the different operation within
the business to satisfied the basic need and demand of the customers. They have provides the
versatile range by which it is more easy for the customer to get purchase all their needed
products from one store with more reliable and affordable prices and in that they have prefer
more to the supermarkets (Spoden, 2018). As in recent scenario that world is going from a very
tough face as all were getting suffered from the pandemic attack of COVID-19 or caronavirus. It
is a virus that gets affect a large number of population and it get spread while making the
interaction. The only precaution to get safe from that virus is to get quarantine and in that all the
people were getting follow the social distancing and didn’t go outside and keep at their home
safely. It is more important while suffering from this ill that the health must get stronger and for
that it is more important that individual get feed the food by which they have enlarges their
resistance power and get build more stamina (COVID-19 update, 2020). There are around a large
number of public who didn’t have adequate source of income and all the nation will get shut
down that create the crisis by which it is harder for the people to get survive. In this condition
those supermarkets have played the biggest role and a challenge as well while feeding the food to
4

the public. As they are the only source that provides the food and basic products to the people on
the other hand it is also necessary that people must get take more safety measures as well. Thus
they get provide the adequate amount of supply to the market by which it is easier for the people
to get stay at home and keep their family free from any virus and stay healthy as well. In that the
different supermarket of UK has came over and takes the responsibility while serving the country
people. In that Morrison’s, Tesco, Lidl and other supermarket also came across and have said
that they have feed the nation to get over from the crisis, underlying the sales to 5% as from the
last 6 weeks but the demand is still more and have face the “unprecedented challenges and
uncertainty”.
The farmers have the get going to spread more awareness by showing the campaign by
which they shows that farmers are the one that have worked tirelessly to produce more products
and with that they have continuously did their work with more efforts and produce the foods by
which people stay more healthy (Thivet, 2019). The supermarket has believed that it is the time
at which they have shows all their effort and in that the plantation of the vegetables and fruits,
provided by the farm. The health and safety of the customer and the staff is more priority of the
Lidl as they have been working with the Centers for Disease Control and Prevention (CDC) to by
which they have provide the different guidance to the public in term of emergency regarding the
health. There is some key measure that they have taken to provide more safety to the customer
and that are as defined below as:
 Temperature checks: The Lidl will ensure that adequate temperate will get maintain in
the store ad provides the prior shift to get more surety by which the employee get best
and suitable environment. They have give the off to the employee that has been gone
through with the 100.4 degrees and also provides salary as well. They get ensure that
employee must be free from fever and have done the medication at least 72 hours.
 Limiting customers to maximize safety: They have allowed the limited number of
customer within the store by which they must get followed the social distancing and in
that there are approximately 5 customers in 1,000 square feet.
 Masks and gloves for all Lidl store employees: They have provide the mask and gloves
to the employee by which employee get worked with more protection and in that they
have also work in shift by which there immune system get worked more.
5

 Daily enhanced cleanings for all Lidl stores: They have introduces the hand cleaning
sanitizer that is the prior solution while the people get in the market or didn’t follow the
socialism.
The supermarkets have performed some other factors as well and in that they have always
give priority to the easiness of the employee and thus they have worked more with applicable
balance (Supermarkets to join forces to feed the nation, 2020). The government also provides
more relaxation to gain the competition and the UK leading supermarket food industry has
following the representatives and has worked with more relaxation to the public by providing the
different and collaborative services to the customers. It has followed the augment the powerful
leading and in that they have follow the different contingency plan to work collectively to get
over from the unprecedented consequences. The government also provides the flexibility to the
different supermarket as they have supply the most needed services and thus it is in that
Environment Secretary George Eustice must get worked with more effectiveness. It is more
predictable while contributing the services that the staff must get managed the different
department with more perfection and by following the different safety measures and widens the
plan with more security. While the demand is in peak and economic crisis has been raised and
thus they have performed more well by which they have worked for the people and they have
more stable and get sufficient amount of basic needs in satisfactory manner.
6

CONCLUSION
It has been concluded from the above report that the supermarket must have played the
vital role whenever this is the term that gets related to the easiness for the customers. In that the
customer must provide more easiness and in that they have feel more comfort as they get their
services from a single store with more affordable prices. In this the supermarket induce some
changes by following the strategy to get fulfil all the requirement of the stakeholders. In addition
to this the supermarket has rise the challenged of “feeding the nation” by which they have make
huge contribution in the pandemic impact of COVID-19.
7

REFERENCES
Books and Journals
Ater, I. and Rigbi, O., 2018. The effects of mandatory disclosure of supermarket prices.
Behfar, A. and et. al., 2018. Supermarket system characteristics and operating faults (RP-1615).
Science and Technology for the Built Environment, 24(10), pp.1104-1113.
Chao, Y., 2018. Multi-Category Competition and Supermarket Pricing. Available at SSRN
3219467.
Ehlers, N. and Krupar, S., 2019. Deadly Biocultures: The Ethics of Life-making. U of Minnesota
Press.
Evans, A.I. and Nagele, R.M., 2018. A Lot to Digest: Advancing Food Waste Policy in the
United States. Natural Resources Journal, 58(1), pp.177-214.
MacNaught, P., 2018. Brand Bias and Customer Based Brand Equity in the Supermarket
Industry.
Pangarkar, N., 2018. Location preemption by oligopolists: evidence from the Singapore
supermarket industry. Journal of Strategy and Management.
Parsons, K. and et. al., 2018. UK Policymaking Institutions and Their Implications for Integrated
Food Policy. In Advances in Food Security and Sustainability (Vol. 3, pp. 211-251).
Elsevier.
Pires, T. and Trindade, A., 2018. Ex-post Evaluation of Mergers in the Supermarket Industry.
Review of Industrial Organization, 52(3), pp.473-496.
Spoden, A.L. and et. al., 2018. Seattle’s minimum wage ordinance did not affect supermarket
food prices by food processing category. Public health nutrition, 21(9), pp.1762-1770.
Thivet, D., 2019. “Small Farms, Better Food”: Valuing Local Agri-Food Systems in Europe from
the European Peasants Coordination to the Nyéléni European Forum for Food
Sovereignty. Food Values in Europe, p.95.
ONLINE
COVID-19 update, 2020, [Online] Available through: <https://www.lidl.com/coronavirus-
update>.
Supermarkets to join forces to feed the nation, 2020, [Online] Available through:
<https://www.gov.uk/government/news/supermarkets-to-join-forces-to-feed-the-
nation>.
8