Understanding the Business and Economic Environment of Sainsburys

Understanding the
Business and Economic
Environment

Table of Contents
Introduction......................................................................................................................................3
Main Body.......................................................................................................................................3
Structure of retail industry......................................................................................................3
Overview of the company......................................................................................................3
Nature of Company................................................................................................................4
Steeple Analysis.....................................................................................................................4
Microeconomic factors affecting demand..............................................................................7
Determinants of Supply..........................................................................................................8
Problems and Challenges faced by Sainsburys......................................................................8
Conclusion.......................................................................................................................................8
References .......................................................................................................................................9

Introduction
Business environment could be determined as aggregate of factors and aspects that results
in impacting upon operations and activities carried out by a business organisation. For instance,
it is inclusive of customers, stakeholders, market trends, government regulations, etc. which
result in affecting and influencing business operations and activities carried out in market.
Sainsbury Plc is a leading business organisation engaged in serving groceries to customers in
their supermarkets established all around the United Kingdom. Products offered by Sainsburys
are of high quality which facilitates in maintaining strong market position among major
competitors in the market. This report assessment will be comprised of knowledge based upon
economic and business environment is context of respective business organisation (Mohamed,
and Lashine, 2020).
Main Body
Structure of retail industry
The respective business organisation is engaged in carrying out business operations and
activities in the retail industry. For instance, there are enormous number of supermarkets of
Sainsburys in United kingdom which facilitates in serving a large number of customer base.
With a large amount of competition brands in UK market, respective business organisation is
operating in Competition economic market structure. In order to hold a strong market position in
competition economic market structure, business organisations operating in the same are
required to maintain upright quality of products as well as meeting customer demands. The
skilled workforce and quality products offered by Sainsburys in their retail supermarket chain
results in being the primary reason behind strengthened market position among other competition
brand operating in grocery retail industry. Retail industry facilitates direct reach and interaction
of businesses with their customers in marketplace in order to provide them with desired products
and services with delightful shopping experience. Sainsburys is one of the largest business
organisation which contributes in making up the retail industry of United Kingdom (Wong, and
Aspinwall, 2021).
Overview of the company
Sainsbury Plc is a UK based Public Limited Company with large supermarket chain in
consumer market of United Kingdom engaged in serving groceries and other consumer products