Food Wholesalers and Sustainability

This assignment delves into the realm of sustainability within the food wholesaling industry, focusing specifically on leading food and drink wholesalers in the United Kingdom. It presents an exploratory case study analysis, examining various aspects related to sustainability. The document also incorporates insights from academic journals and research papers, providing a comprehensive understanding of the topic.

Food wholesale sector
in booker wholesale

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Introduction of Booker group, competitive players, market size, structure and porter's five
model...........................................................................................................................................1
TASK 2............................................................................................................................................4
Some of major competitors in food wholesaler sectors and types of aspects that helps in
competitive position....................................................................................................................4
Recommendation ........................................................................................................................6
CONCLUSION................................................................................................................................6
REFERENCES ...............................................................................................................................7

INTRODUCTION
Food sector is the most prominent organisation on which government keeps their eyes.
Booker group is a largest food wholesale operator which offers private and branded label goods.
It involves individual convenience store, grocers. They have started their business as they offers
cash and carry outlet. the firm is having headquarter in Wellingborough, Northamptonshire and
they are the largest food wholesale operator by the revenue and offering around 69 million
buyers and have nearly 36,900 outlets. The report is based on booker group industry as selected
firm is Booker group (Knupfer,2013). This assignment is divided in two elements that shows
porter's five, competitors and market size one is poster and other one is individual report that
shows major competitors for the same sector.
TASK 1
Introduction of Booker group, competitive players, market size, structure and porter's five model.
Introduction: Booker group is a Grocery chain which offers booker group stuff and
founded in around 1835 by Richard rose Booker group in Wellingborough, Northamptonshire.
They are having strong revenue that makes them largest chain in entire the globe. Hence the
firm is having two major competitors as WALMART and TESCO and porter's five analysis is
also showing in it with market structure and size.
Competitors of booker group: The firm Booker group is very famous in the market
place as they have larger number of buyers who loved to be in the grocery store and also liked
their offered food items. Hence company is having more competition in the market and there are
more numbers of competitors for then. The two major competitors are known as WALMART
and TESCO (Weber, 2013).
WALMART: it is an American multinational retail corporation which operate outlets of
discounted department stores, hypermarket and grocery store. They are having headquarter in the
Bentonville, Arkansas, this firm has been founded in 1962 by Sam Walton. WALMART has
around 11 million buyers and also serves on 11,718 places in around 28 nations and acting in 59
different names. This is major competitor for Booker group as they are also providing same kind
of products and food but they have bit higher prices then sited firm.
TESCO: they are the British multinational grocery and general merchandise retailer and
having headquarter in the Welwyn Garden City, Hertfordshire, England, UK. They are
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considered as the ninth largest retailer in the world by their earn profit. TESCO has been
founded in 1919 by Jack Cohen as they are serving around 4600 places in approx. 12 nations all
of them are owned by franchisees that are more then 2100. Booker group seems it as major
competitor as TESCO is providing strong ambience or best quality food which makes
competition between them and Booker group
porter's five force model analysis of Booker group
Michael porter's five force analysis helps in determining the most relevant external
elements which make influences on the firm. In the evaluation of sited company, it concentrated
on food wholesalers industry. It helps in knowing issues and assist them in resolving all of them.
Competitive rivalry: Booker group is having harder competition because larger number
of booker group outlet is already exits in the market (Magure, 2015). This point reviles, all of
booker group chains are coming with different sizes and background like some of them are
domestic or some are not but offering same item. It is important to defeat those firms are which
are already located. Hence Booker group needs to keep their pricing low and maintain best stuff
as compare to other so that it will be harder for customers to make switch.
Bargaining power of buyers: Booker group required to access the signifying power of
customers. This point reviles how firm deals with influences and wishes of their buyers.
Customers have tendency to make switch to one to another firm cause of they are having some of
lower cost for the same product as Booker group itself has many substitutes that are able to make
attractive policies in order to capture more buyers in their firm hence it is required for Booker
group to frame strong strategy in order to boost their buyer's loyalty. It retain their customers.
Bargaining power of suppliers: Booker group is also get influenced by suppliers. As
there are larger numbers of suppliers which minimise the effects of single or individual suppliers
on booker group. It is majorly cause of the minimum local or global connection in among
suppliers. The suppliers of Booker group are no have vertical intergeneration that means they
are not having control over distribution chain which link to Booker group facilities. Hence this
force of porter's model showcase that the power of suppliers is a minimal hurdle for booker
group.
Threat of substitutes: All the substitutes are very essential thing for booker group. Five
force examination evaluated the possible effects of substitute on the growth of firm. Company is
having many substitute for their product as buyers are also make their desired food item at home
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hence it is easy move to switch on lower cost stuff. Some of other grocery outlet are also a
competition of Booker group therefore, all these substitute are major roadblock that the firm
have concentrated with the help of goods quality improvement.
Threat of new entrance: this will impact on the market share of Booker group as it
refers to the effects of new firms on current operated companies. Because of lower rated goods
are available in the market makes easy to switch form Booker group to other firm. Hence it is
expensive to retain their buyers for Booker group therefore they needs to frame effective policies
which made them stronger them new entrance and build effective relation with consumers so that
they will remain loyal to them.
Market size: Booker group is having wider market size as booker group is becomes a
trend in UK. The number of using expenditure has been enhanced by around 9% which are
ranked in third position in the context of expenditure, all of them are used by their consumers
(Cheung and Gomez, 2012). The market size of booker group industry is enhancing form year to
year and it reaches to nearly 2,058.8 in recent year. UK firm is shares also boosted in the recent
year by 400 plus.
Booker group is having around 1249 Grocery s in the entire UK. And they are suppose to
begin their more new outlets of each business year. Therefore, it is a wealthy indicator for
Booker group to enhance their share of market in UK.
Market structure: Booker group is having wider market structure in the UK. Hence they
are using monopoly in the market cause it helps in making them different form other firms. It's
monopoly makes them most prominent firm in the demand market.
Key issues: Booker group is having some hurdles which are detailed in two manner such
as Nutritional problems and advertising issues.
Range of demanded product problems:
 They needs to available all the goods which are high in demand to their
customers .
 Comparison of regular consumption and goods of Booker Group.
Advertising issues:
 Higher expanses on advertising of the firm annually.
 Sound involvement in the activities, events and learning programme.
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Conclusion: It depicts that Booker group is the largest food wholesaler chain in the
world as they are having monopoly policies in their outlet for capture higher numbers of buyers.
Firm is having sound relevance and also have wider market structure.
Porter's five force modal help them to determine external factors which make impact on
the firm.
TASK 2
Some of major competitors in food wholesaler sectors and types of aspects that helps in
competitive position
Due to increase in the processed consumable items there are a hike in the food
organisation and numbers of revelries are arises. Food industry is the major sector which are
generally faced more hurdles in their operations. The firm is having larger competition among
food provider. In the UK itself, sound number of food chain, Grocery and outlet is present hence
they have major competition with each other as some of strong competitors are:
ALDI and ASDA:
ALDI: This is largest discount supermarket chain. ALDI has operation in around 10,000
outlet in 18 different nation, it is based in Germany. They are basically providing different types
of food, beverage, article, household goods and various items.
ASDA: After ALDI, it is the British supermarket retailer, which has headquarter in the
Leeds, West Yorkshire. As the firm has been founded in around 1949 and it expand their
business to approx. 3000 stores in around 30 nations (Jones and et. Al., 2017). ASDA has
operation in 2000 Grocery . This is firm is the only company who gives major competition to
ASDA as they both are majorly dealing in grocery and promotes them.
Budgens and Waitrose:
Budgens: This firm is the largest chain of food store in the UK which a subsidiary firm
of booker group in the United Kingdom. Booker group or this firm basically offers different
types consumable item but exclusively deals in food and grocery. They have strong numbers of
customers they are facing major competition with burger king.
Waitrose: This firm is started in the year of 1904. they are basically dealing with
different types of grocery product. It is a powerful brand which has ability to gives competition
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to Booker group as they both are serving same product but Booker group is yet having higher
number of buyers in compare of burger king.
In order to gain and maintain competitive position in the market company will get some
help in operational place through some aspect which are detailed as:
Supply chain: This is about flow of product or goods and services other side involves the
movement and storage of inventory and raw material and final goods from one point to other one
it is called as supply chain management. Booker group is using their supply chain in very
efficient manner cause it helps in reducing cost and minimise deliver time which build buyer's
loyalty. The firm has sound numbers of suppliers therefore it provide helps in having sound
position in competitive market.
Brand value: This is used generally in marketing industry that explains the value of
capturing a well known brand name that are based upon idea of generating sound revenue.
Booker group is a famous brand name as they are having strong image in the mind of customers.
Hence it helps in making effective position in the competitive market. Brand value is a signifying
element for every firm cause it assists in attaining the advantages in operational place.
Pricing: Every firm has different type of pricing strategy in order to sell the product or
services. All costs are determine to boost up the profitability for each unit that are sold in the
market. Hence Booker group is having very unique strategy of pricing that falls down on their
various product line (Jones, Hillier and Comfort, 2015). The firm is using certain vale prising
like they offers combo packs, happy price menu, family meal and happy meal which offers
customise rage of product in it customers will pay a bit less then actual rate.
Marketing: Strategy of marketing is a certain set of action or ideas that provide guideline
for creating, promoting, distribution of the product. Booker group is having different kinds of
marketing strategy as they frame their costing in accordance to the demand and level of
customers. As they generally keeps their price low then other which helps in capturing the eyes
of customers. Other side they have framed value pricing through happy meal or combo meal.
HR: human resource is the essential part of the company hence Booker group is take
cares their employees and offers then sound or needed training and development to enhance their
productivity. Firm is having friendly environment for customers and their employees so they feel
familiar and confident while performing their work. Booker group is using all the legislation and
laws that ensures concern for their employees.
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Recommendation
Form the above report is shows that Booker group is a well known industry in food
wholesaler sectors as they are also having stronger revenue in entire world but in order to get
success in the up coming year I suggests that Booker group needs to frame their menu in
accordance with demanded healthy ingredient which are socially acceptable cause now society is
more aware for their health. They should use domestic source for their raw material it helps in
generating more employment and built trust in society. They required to have more combo packs
which offers their buyers to make their own combo as they have chance to select product and pay
accordingly.
CONCLUSION
Form the above report it has been concluded that Booker group is largest largest food
wholesaler group chain that has sound revenue and serves their services across the world. The
assignment is segmented into two sections in which one is poster that involves brief introduction
of chosen sector with competitive players and detailed explanation of porter's five model or
market size. Other part depicts main competitors in the stream and some of aspects such as
supply chain, HR, marketing, pricing brand value and so on through which firm will be able to
get competitive advantages.
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REFERENCES
Books and Journals
Jones, P., Hillier, D. and Comfort, D., 2015. Wholesaling and sustainabilty: An exploratory case
study of the UK’s leading food and drink wholesalers.International Journal of Sales,
Retailing and Marketing. 4(6). pp.52-63.
Jones, P., and et. Al., 2017. European Food and Drink Wholesalers and Sustainability. European
Journal of Sustainability. 1(1). pp.1-12.
Cheung, G.C. and Gomez, E.T., 2012. Hong Kong's Diaspora, Networks, and Family Business in
the United Kingdom: A History of the Chinese" Food Chain" and the Case of W. Wing
Yip Group. China Review. pp.45-71.
Magure, B., 2015. Interpreting urban informality in Chegutu, Zimbabwe. Journal of Asian and
African Studies. 50(6). pp.650-666.
Zeuli, K. and Nijhuis, A., 2016. 11 Creating a resilience assessment framework for urban food
systems. Feeding Cities: Improving Local Food Access, Security, and Resilience.
pp.167.
Weber, N., 2013. How online tech is becoming loved in an offline industry: Case study of 3663.
Journal of Digital & Social Media Marketing. 1(3). pp.236-242.
Jones, P., Comfort, D. and Hillier, D., 2016. Tumačenja koncepta održivosti među vodećim
veleprodavačima hrane i pića u Ujedinjenom Kraljevstvu.Market-Tržište. 28(2). pp.213-
229.
Cockrall-King, J., 2012. Food and the city: urban agriculture and the new food revolution.
Prometheus Books.
Knupfer, A.M., 2013. Food co-ops in America: communities, consumption, and economic
democracy. Cornell University Press.
Krampner, J., 2014. Creamy and crunchy: An informal history of peanut butter, the all-American
food. Columbia University Press.
Kijakazi, K., 2014. African American Economic Development and Small Business Ownership.
Routledge.
Booker, C., 2016. 12 Europe and Regulation—. The Eurosceptical Reader. p.186.
Richardson, B. and Ngwenya, P.R., 2013. Cut loose in the Caribbean: Neoliberalism and the
demise of the commonwealth sugar trade. Bulletin of Latin American Research. 32(3).
pp.263-278.
Ken, I., 2014. A healthy bottom line: Obese children, a pacified public, and corporate legitimacy.
Social Current. 1(2). pp.130-148.
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