Post Covid-19 Business Plan for X Grocery Store: Home Delivery of Groceries

BUSINESS PLAN
BUSINESS DESCRIPTION / MARKET OPPORTUNITY
Home delivery is now widely used after covid-19 pandemic, with respect to this the post covid-19 business plan is selected in this report is
home delivery of groceries and company name is X grocery store, UK. According to research, there is an increasing trend in grocery industry
and innovation such as speedy checkouts, book groceries online with speedy application and others. After covid-19, people are more
concerned about price, quality and their purchasing situation, so, the company has targeted the audience who likes to purchase online or want
home delivery of food items.
Mission statement- The company’s main purpose is to provide wide range of products and focusing on health and fitness of people in order to
save planet from illness.
Vision statement- To Be the destination for audience to purchase healthy food and make the world a better place by offering discounts and
quality services.
Values- The company sells good quality and fresh products in order to satisfy customers, promoting team work within the company’s culture
and create prosperity. The major focus is to care about people’s health and make eco-friendly environment which is beneficial for planet.

INDUSTRY ANALYSIS- It is a business tool through which company can understand the market position of its business by comparing other
companies position that produce same goods or services. An effective strategic planning is necessary to understand the market force and
customer trends in retail and groceries industry.
Threat of new entry- According to porters’ theory, if it is easy for competitive business or company to enter the similar market, this also
includes brand equity, access to distribution channel, price advantages and funds requirements, policies made by government (Verbeke and
Yuan, 2021). Here, the existing players in grocery industry might impose barriers to entry for new start-ups business. For example- due to
pandemic, there has been an increasing trend in online servicing and home delivery of groceries. Therefore, people are more focused on social
distancing and differentiation strategy.
Threat of substitutes- Due to heavy competition and existence of substitutes, customers are having more options to purchase things from
different companies. This factor has definitely affect the attractiveness of the company and impact the profitability. This is just because
options for product and services influence the cost of goods and demand for the goods and services from the audience as well. Therefore, after
coronavirus the threat from the substitutes in retail and grocery industry is very high as compared to other industry. The buying behaviour and
willingness is totally dependent upon factors like cost of goods, quality, facilities, discounts, offers and substitute products performance.

Bargaining power of customers- Buyers can be company, people, customers, retailers and industrial buyers who are the ultimate purchaser
of company’s goods and services. A buyer’s purchasing and bargaining power is high when the scope for switching from one vendor to
another is more. When the customer feels there is another available option for product and services they are going to buy without any further
thinking (Quenum and et.al., 2021). Because of available goods with better and reasonable price or discount, cost sensitivity and poor loyalty
towards brand will influence the bargaining power and tend to be very high in this competitive market. For example- if customer will get
options of food items availability at reasonable price with better quality, then this sensitivity towards the cost will influence the bargaining and
buying behaviour of customers.
Bargaining power of suppliers- suppliers basic role is to supply the required goods or service to the industry, so, this can be in the form of
raw material, technology, financial support and others. There are many factors which influence the bargaining power of the suppliers such as
quality of raw material, cost, uniqueness of products. This factor will increase the capacity and interest of suppliers to bargain. For example- if
supplier will get availability of groceries items at reasonable price and requires quality as per the trend and demand of audience, then their
bargaining power will increase.
Competitive Rivalry:
Name of competitor Differentiation
Walmart The company is utilizing marketing strategy where people will get everyday low prices and providing facility of
one-stop shopping in order to attract customer. X grocery stores utilizes discount pricing strategy where the
customer will get discount if they make purchase in bulk rather than purchasing a single item.
The fresh
supermarket
The fresh market focus on quality service and providing fresh items to its audience. The main goal of this company
is to motivate people to make everyday eating fresh. The firm have good distribution channel with 130+ physical