Contemporary Analysis and strategic Management Report 2022

RUNNING HEAD: Contemporary Analysis and strategic Management
Contemporary Analysis and
Strategic Management

Contemporary Analysis and strategic Management
Executive Summary
This report is a detailed discussion about the core competencies and challenges faced by the
Woolworths in the present scenario to apply and operate different needed strategies. This
report will discuss the challenges prevailing in the current market segment for Woolworths
and tis report identify the different strategies applied by the management of Woolworths
supermarket. This report includes detailed external and internal analysis for the better
understanding about the effects of the internal and external factors at the production and
functions of the management and customer services. This report provides the suitable strategy
for the management of the better customer services with the management of strong level of
competition for its competitors. The main motive of Woolworth is to deliver fresh food for
people needs to follow the right pricing so it can reach the customers effectively.
1

Contemporary Analysis and strategic Management
Table of Contents
Introduction...........................................................................................................................................3
Aim........................................................................................................................................................3
Contemporary challenges at Woolworths..............................................................................................3
Direct competitors challenges............................................................................................................3
Technological challenges...................................................................................................................4
Bargaining power of suppliers and customers...................................................................................4
Fear of new entering competitors......................................................................................................4
Strategies at Woolworths.......................................................................................................................5
The pricing strategy (Business strategy)............................................................................................5
Mobile money app strategy (Operational strategy)............................................................................5
Innovations and diversification strategy (Transformational strategy)................................................6
Strategic implication analysis................................................................................................................6
PESTLE analysis...............................................................................................................................6
VRIO framework analysis.................................................................................................................7
Suitable strategy for the Woolworth......................................................................................................9
Recommendations...............................................................................................................................10
Conclusion...........................................................................................................................................10
References...........................................................................................................................................12
2

Contemporary Analysis and strategic Management
Introduction
This report is based on the research on the core competencies and chosen strategies to
maintain the competition and management in Supermarket industries in Australia.
Woolworth’s supermarket that is a well-known supplier and retailing chain holds
approximately 70% to 80% of Australian market and also enjoys duopoly in the Australian
market suppliers (Woolworths.com.au, 2018). Woolworth is busy in the selling of the groceries,
daily households ‘items, fruits, veggies, meat, items of stationaries and DVDs including
books and magazines as well. Woolworth is selling these items from the 1924 with the
famous slogan “The Fresh Food People” and it aim to deliver natural, healthy and fresh food
to its customer (Woolworthslimited.com.au, 2016). This report is analysis of the challenges
faced by the Woolworth and the strategies for their management.
Aim
The aim of this report is to identify the major issues faced by the Woolworths supermarket
externally as contemporary issues with the help of PESTEL analysis and internally with
VRIO framework analysis. Aim of this report is to give suitable suggestions and
recommendations to the Woolworths supermarket to develop its strategic management in the
competitive market. Important feature of this report is to identify the strong strategy for the
effective development of Woolworths with the management of service quality with the
competitor’s management (Woolworthsgroup.com.au., 2018).
3