Woolworths Analysis: External and Internal Environment Evaluation

WOOLWORTHS ANALYSIS
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Table of Contents
Introduction................................................................................................................................3
PART 1.......................................................................................................................................3
Business background:.................................................................................................................3
What industry is it?....................................................................................................................3
General environment analysis:...................................................................................................4
Industry environment.................................................................................................................5
Competitive environment:..........................................................................................................5
Opportunities and threats:..........................................................................................................6
Part 2:.........................................................................................................................................7
(Internal analysis and proposal).............................................................................................7
The firm’s resources, tangible and intangible:.......................................................................7
Capabilities identification:.....................................................................................................7
Core competency analysis:.....................................................................................................8
Propose a suitable information system solution that meets the chosen company needs........9
Evaluate the proposed system and provide your recommendations:.....................................9
Evaluate the proposed system and provide your recommendations......................................9
Conclusion:................................................................................................................................9
Reference:................................................................................................................................10
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Introduction
The environment of a business needs to consider the internal and external factors affecting
the functions of the organisation that includes managing the business, staffs, demand, supply,
and criteria to satisfy the potential consumer target. The organisation in focus is under
struggles constantly since they need to stabilize the market in this threatened business
environment along with the consideration of different strategic lines that will reflect both
productive and profit section. Woolworths is the organisation in focus in this project. It will
evaluate the position of the organisation dwelling in the Australian industry. Various internal
operations support and outline the success of this organisation. This project has evaluated
these operations in order to realize the operational gap and present the competition that
reflects the evidence to micro and macro environment of Woolworths. Several measures like
the networks or distribution channels, inbound logistics, and product control have been
highlighted at the organisation in order to enhance the manufacture process to produce
improved quality products. It has led the organisation to an improved inventory management
and distribution channel.
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Part 1
Analysis of the external environment
Surroundings of the business
In order to operate the business and bargain, Woolworths works in Sydney through basement
outlets. It started out in 1924, since then the market of this organisation has taken over 31%
of the retail market of the supermarket chain in Australia. The company has been able to
develop a strong hold over the market and success through efficiency in work and product
delivery. The business expansion and acquisition of this organisation has displayed smart
approaches that led to the success of the organisation. It has shared operations with big
organisations like Dick Smith Powerhouse and some others. According to the present
financial report, Woolworths displays 21 effective and active stores that produces sales
volumes worth AU$ 104 million (Woolworthsgroup.com.au, 2018).
Overview of the industry
The industry in focus is that of a supermarket retail market that provides the consumers with
basic requirements for daily life and extraordinary requirements, which is concluded by
customer-driven businesses attributes and activities. These large organisations in the
supermarket retail industry are fostering the complete sales growth of the business through an
intermediary position. The enhanced growth and revenue through the intermediary
production have shown invariable earning in the last four years. The revenue has displayed an
increase of 4.1% during the estimation of the outcomes. The consistency in growth in Gross
Domestic Product (GDP) has displayed a stronghold the organisation has in reference to a
standard pattern. The organisation has shown a limit of AU$ 78,502 million but with a
revenue increase up to 4.4%. Food Works and Franklins have been considered by the
organisation concerning business expansion. The present reports display the effective
approach Woolworths has taken in order to be the industry leader in the retail industry of
Australia. Coles holds 23% of the overall share of the market, which identifies as one of the
competitors in the concerned industry.
Analysis of the general environment:
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