Strategic Management Activities of Woolworths

Running head: MANAGEMENT 1
Management
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MANAGEMENT 2
Executive Summary
Woolworths started it first store in Sydney in 1924 as a make a deal basement outlet.
Nonetheless, through acquisition and expansion Woolworths has come to be among the
leading supermarket chain across the entire Australia with more than 30% of the market
share. Woolworths is currently among the largest Australian leading retailers in terms of
geographic area coverage, sales revenue and number of stores and supermarkets. The
business has approximately 3,200 stores across Australia and New Zealand with over 800
supermarkets in Australia and over 150 supermarkets in New Zealand. The goal of this paper
is to discuss the significant competencies done by Woolworths in adding value to its strategic
management activities in maintaining its sustainable growth.

MANAGEMENT 3
Introduction
The retail industry in Australia consists of nearly 150,000 retail businesses which has
very few key players in the supermarket sector with the major players being Woolworths, and
Coles Group Limited among others. In this light this paper focus on Woolworths.
Woolworths started it first store in Sydney in 1924 as a make a deal basement outlet.
Nonetheless, through acquisition and expansion Woolworths has come to be among the
leading supermarket chain across the entire Australia with more than 30% of the market
share. Woolworths is currently among the largest Australian leading retailers in terms of
geographic area coverage, sales revenue and number of stores and supermarkets. The main
brands which operates under Woolworths Company include: BWS, Woolworths/Safeway
Supermarkets, Big W, Dick Smith Electronics and Dan Murphy’s. According to Woolworths
EBIT recent financial reports it shows that Woolworths has exemplified a constant robust
financial performance. For instance, Woolworths sales shows strong development within the
last five years. In this sense, this paper seeks to discuss Woolworths’ external analysis and
internal analysis and provide recommendation regarding its strategic alternatives that it
should pursue to improve on its effectiveness.
External environment analysis
The external environment analysis is crucial since a business cannot develop its
strategies in a vacuum. These strategies have to be responsive to the external business setting;
otherwise the company could be the leading producers of obsolete products which do not
have value in the market. So as to shun such flaws a company’s ought to be knowledgeable
regarding their business setting (Pulker, Trapp, Foulkes-Taylor, Scott, & Pollard, 2018).
Therefore, this part provides a brief analysis of the external surrounding under which