Marketing Management Analysis of Sainsbury: PESTEL, Micro and Competitive Analysis

Principal of marketing
Management

Contents
Contents...........................................................................................................................................2
INTRODUCTION...........................................................................................................................1
MAIN BODY..................................................................................................................................1
Company background: Analysis of current market.....................................................................1
PESTEL analysis:........................................................................................................................2
Micro analysis..............................................................................................................................5
Competitive analysis....................................................................................................................6
SWOT analysis............................................................................................................................8
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................12

INTRODUCTION
Marketing management can be described as ways which helps business in order to finding out
various opportunities occur in the market place which are profitability for business and also
satisfying customers. It is one of consumer-oriented approach that helps business in order to find
out various services that will satisfy needs of consumer and also helps to meet the needs and
expectations of consumers. This project report includes analysation of Sainsbury which is a UK
based organisation which is considered as second largest supermarket chain in the UK. it has
acquired around 14.9% share in the supermarkets share in the UK. It was founded in the year
1869 in the UK by John James. It is an organisation that has around 1428 shops at different
locations. It is a large organisation which has employed around 1800000 employees in their
organisation. This project report includes analysis of the current market of Sainsbury (Alonso-
Garcia, and et. al., 2022). It also includes a macro analysis of the company to identify factors that
create threats and opportunities. Micro analysis is also included in this project report which helps
to identify factors like company, suppliers, marketing intermediaries, customers and others. It
also conducts competitive analysis which help business to identify the strategies of competitors.
Moreover, it consists of a SWOT analysis which allows the business to identify threat and
opportunities in the marketplace.
MAIN BODY
Company background: Analysis of current market
Salisbury is one of the UK-based largest supermarkets which is offering different types of
products and services in the marketplace. It is getting growth and success on basis of its
competitive strategies. It has different stores under its name and provides different types of
products. It is operating in the market of UK. it is one of the developed countries which is
creating different opportunities and threats for businesses operating in this country. By operating
different types of services in the UK, Sainsbury is able to take advantage of political stability. It
can also adopt access to different types of valuable resources of the company, technologies and
other factors. It is essential for businesses in order to improve the quality of products and
services. It provides a competitive advantage to businesses and also helps them to get a
competitive advantage for them.
1

PESTEL analysis:
PESTEL analysis is one of the analysis which is used by businesses for purpose of identification
of different factors that create influence over the business. Sainsbury is also using these tools for
their business in order to identify various opportunities and threats in business. These factors
identified by businesses include political regulations, economic conditions, social factors,
environmental regulations, legal requirements and others. All these factors create both
opportunities and threats for purpose of business (Centobelli, Cerchione, and Ertz,2020). An
explanation of some of these factors in the context of Sainsbury is mentioned below:
Political Factor:
It is one of the important factors which consists of different political rules and regulations for
business. Sainsbury is one of the UK-based organisation which is operating at the international
level. In order to be successful, they need to follow all the rules and regulation of UK
government.
Opportunity: Operating business in the UK create different types of opportunities for business
of Sainsbury as the government of the UK is providing support to business operating in that
country (Chaney, 2019). International business creates different opportunities for a country and
in order to promote these businesses, the government of the UK offers support to these
businesses.
Threat: In the UK, there are different political factors that create problems for the business of
Sainsbury. Brexit is one of the political factors which creates impact over business of Sainsbury
and according to this, England will not a part of European Union. Due to this, there is increase in
Import rates which will also increase the pricing of the product. It makes it difficult for them
company to compete in the marketplace and customer also shift to other brands. Relationships
between England and Qatar also create a threat for the business of Sainsbury as the major largest
shareholders of this organisation are from Qatar. Political issues among these countries bring
down the market share of the company.
Economic Factor:
Economic factors are those which are linked with broader economic concepts and also express
financial nature of the person. Sainsbury is one of the organisation which contribute to economic
development in many ways. It is creating employment opportunity to people live in this country
2