Innovation in Business - Woolworths Supermarkets

Running head: INNOVATION IN BUSINESS
Innovation in business
[Woolworths Supermarkets]
Name of the student:
Name of the university:
Author note:

1INNOVATION IN BUSINESS
Table of Contents
Introduction:....................................................................................................................................2
Business Idea:..................................................................................................................................2
1. Problem Identification.............................................................................................................2
2. Proposed Business Model........................................................................................................3
3. Benefits Generated...................................................................................................................3
4. Critical Success Factors...........................................................................................................4
5. Evaluation of Feasibility..........................................................................................................5
Conclusion:......................................................................................................................................5
Quality of contribution and collaboration:......................................................................................6
1. Contribution to the team..........................................................................................................6
2. Achieving group consensus.....................................................................................................6
3. Portfolio of materials...............................................................................................................7
References........................................................................................................................................8
Appendix........................................................................................................................................10

2INNOVATION IN BUSINESS
Introduction
Innovation is of absolute significance to react to the rising trends and have the capacity to
achieve a maintained business execution. The level of danger increases with the level of rivalry
in the particular industry. This specific examination is kept to the retail market business in
Australia. The supermarket store industry in Australia is exceedingly aggressive because of a
reality that there are giant market brands, for example, Coles. Furthermore, that the competition
policy is very favorable to new business. The study is in reference to the rising threats for
Woolworths in the form of Aldi and the upcoming entry of Amazon. There is a need for a model
which could help to compete against Aldi and Amazon and also help to increase the profitability
margin for Woolworths.
Business Idea
1. Problem Identification
Woolworths has two problems, the one is its declining sales and the other being the
changing pattern of shopping. The company has also struggled with its investment on online
platforms. Hence, there is a need for a model that could repair the damages being done. The
model must be capable to enhance the convenience level in stores and also the experience of
shopping. This is needed because the setting of shopping formats is now getting changed
(Thomsen, 2018). The 'Brick and Mortar' format of stores are currently observed as an obsolete
alternative by numerous customers, in particular, the youths. This is because of the shopping
interface and the simplicity of shopping which is second to 'Shopping Online' format. Youths
used to have the packed schedules in their colleges, working environments and others. They
scarcely have times to visit physical stores and buy the needful goods. A considerable number of

3INNOVATION IN BUSINESS
them oversee it during their week offs while others wish to spend their week offs on other
important works. What's more, the youths are anticipated as to be the customers of future as they
will do the maximum of shopping in the coming days (Omar, 2018).
The stated facts help to outline a few issues like Woolworths must find ways to cope with
the ongoing completion of the market and also the upcoming competition from Amazon.
2. Proposed Business Model
There is a need for a business model which could help to enhance the attracting capability
of Woolworths, so that, it better manages its declining sales and also gives a firm competition to
the upcoming Amazon service in Australia. Hence, it is recommended that Woolworths should
consider the “Bricks and Clicks Business Model”. It means having a presence over both the
offline and online. Woolworths has had offered to customers the online services; however,
completely failed to make the significant investment to the service (Knox, 2015). Hence, the
suggested model may not be a new concept but the ways of operation will be a lot different.
The model gives the chance to work both as physical stores and through the online format
as well. It can be effectively beneficial for customers and for business also. Curiously, it doesn't
likewise hamper the conventional values of physical stores. It just requires incorporating the one
or few of the stores with the online presence and offering the customers both methods of
alternatives. For example, they can possibly visit stores as usual or they can also book it online.
They can likewise collect their products after they have booked from the devoted physical store
or can also get it conveyed to them at their postal address (Kim & Min, 2015).
3. Benefits Generated