Strategic Management of Wesfarmers: Coles Supermarket Analysis

Running head: STRATEGIC MANAGEMENT
Strategic Management
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1STRATEGIC MANAGEMENT
Executive Summary
The report has assisted in examination of the service and product selection of Wesfarmers
Organization. The separate department that has been undertaken in the report is Coles
Supermarket that is based in Australia. The external and internal examination has been
showed as this assisted in analysing issues confronted by Wesfarmers as an organization.
Proper identification of strategic business unit along with sources of bearable competitive
advantage has been gained to understand the differences effectually.

2STRATEGIC MANAGEMENT
Table of Contents
Introduction................................................................................................................................3
Identification of Corporation......................................................................................................3
Summary of Wesfarmers and link with Wesfarmers.............................................................3
Product and Service Portfolio................................................................................................4
Business Unit Research..............................................................................................................4
a. Business Unit Identification...............................................................................................4
b. Identification of product and service lines.........................................................................5
Business Unit Revenue..............................................................................................................5
a. Identification of revenue....................................................................................................5
Internal Environment Analysis..................................................................................................8
a. SWOT analysis in Wesfarmers Retail Outlet.....................................................................8
External Environment Analysis.................................................................................................8
a. PESTLE in Wesfarmers Retail Outlet................................................................................8
Source of sustainable competitive advantage..........................................................................11
a. Source of sustainable competitive advantage for Wesfarmers Retail..............................11
Strategic Direction...................................................................................................................12
Recommendations for future strategic direction..................................................................12
References................................................................................................................................13

3STRATEGIC MANAGEMENT
Introduction
The report throws light on examination of the respective corporation that has multiple
business units. The appropriate analysis of corporate element is required to be completed as
to identify the different products along with various services that are sold by them in the
market. The analysis of the corporate unit revenue has to be done as to identify the largest
revenue in the respective organization effectively.
Furthermore, the external environmental analysis is required to be conducted as to
identify the political, economic, social, technological, legal and environmental factors of the
selected business unit. The source of the justifiable competitive benefit has to be identified
and described with the specific business unit. Proper recommendations have to be done for
the future strategic direction of the company.
Identification of Corporation
Corporation is defined as the legal entity that is separate and distinct from the owners
and it enjoys the different rights along with the responsibilities that is possessed by the
individual in an appropriate way.
Summary of Wesfarmers and link with Wesfarmers
Wesfarmers is one of the Australian conglomerate companies that is based in Perth,
Western Australia. It was founded in the year 1914 and there are 220,000 employees who are
working under the respective company. The respective company serves United Kingdom,
Australia, Ireland along with New Zealand (Wesfarmers.com.au, 2018). The revenue earned
by the organization is A$65.98 billion and the conglomerate company has different divisions
such as Coles retail store, chemicals, coal mining along with safety products. In this
assessment, the Coles Supermarket has been taken into consideration to analyse the different
issues along with other analysis of the external environment effectively.