Strategic Management: Analysis of Woolworths and Porter’s Five Forces Model

Running head: STRATEGIC MANAGEMENT
Strategic Management
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STRATEGIC MANAGEMENT1
Table of Contents
POST 1.......................................................................................................................................2
Overview of Woolworths.......................................................................................................2
PESTEL Analysis...................................................................................................................2
Conclusion..............................................................................................................................3
POST 2.......................................................................................................................................4
Introduction on Porter’s Five Forces Model..........................................................................4
Application of Five Forces Model.........................................................................................4
Conclusion..............................................................................................................................5
References..................................................................................................................................6

STRATEGIC MANAGEMENT2
POST 1
Overview of Woolworths
Woolworths Supermarkets is one of the Australian supermarket/grocery store chains
which is being owned by Woolworths Group. It was incorporated in the year 1924 and
headquartered at New South Wales, Australia. The various kinds of products as well as
services which are being sold by Woolworths include the health and beauty related products,
stationary items along with vegetables, meat along with packaged food items
(Woolworths.com.au, 2019). The company has been situated in more than 995 locations and
employees working at Woolworths is 115000. In addition, revenue which has been generated
by Woolworths Company is 5,672.6 crores AUD till the year 2018 which has helped them in
improving growth appropriately. The major markets of Woolworths include the different
working individuals and other housemakers which makes their lives easy.
PESTEL Analysis
Political Factors- The different revenues and profitability of Australian retail industry
are affected by the policies of the government. These regulations affect the retail companies
such as Woolworths along with buying habits of consumers (Zott & Amit, 2013). There are
different antitrust issues present in the sector along with breaches of data which are causing
government to look in how the data is stored and it affects the different retail companies such
as Woolworths.
Economic Factors- The different features such as recession and high rate of
unemployment are creating strong impact on Woolworths. The conditions of companies have
declined due to the global financial crisis and it is causing huge issues in financial aspects of
the business of retail companies (Vogel & Güttel, 2013).