Strategic Analysis of Countdown Retail: Business Strategy Report

This report provides a strategic analysis of Countdown, a major player in the New Zealand retail industry. It examines the company's strategic management, competitive dynamics, and international strategy. The analysis includes an assessment of Countdown's customer service, competitive rivalry, and the impact of mergers and acquisitions. The report utilizes frameworks like Porter's Five Forces to evaluate the competitive landscape and explores Countdown's corporate-level strategy, including its sustainability initiatives and focus on gender wage gap reduction. Furthermore, it analyzes Countdown's international strategy, considering market entry modes like exporting and investment, and the challenges associated with each. The report also discusses the challenges and opportunities within the NZ retail sector, highlighting Countdown's responses to these issues. This report uses information from sources like Countdown’s CSR reports and other publications to provide a comprehensive overview of the company's business strategies and performance.

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Strategic Management

Business Level
• Customer service expectations are high as retailer
offers self-service
• Issues can be found which is needed to be solved by
the retailer
• Retail decision making could address the questions
which comprehend retailing principles.
• Framework models of strategic management are
applied to make critical analysis

Porter’s Five Forces
• Helps organization in determining the structure of
respective industry
• Countdown has been able to stake out a position
• Increases level of profitability
• Rivalry among existing competitor, Bargaining power
of suppliers, Bargaining power of buyers, Threats of
new entrant and Threat of substitutes’ products and
services are the parts

Source - https://i2.wp.com

Corporate Level Strategy
• Countdown sustainability strategy mainly focused on
the reduction of its gender wage gap
• CSR report openly sheds light on business continual
• Grocery stores in New Zealand are reducing use of
plastic bags
• Increased number of shelves along with usage of
caged eggs

Source - https://www.google.com/

Continuation
• Increasing female representation across Countdown’s team
• Offering profound role models thus attracting exceptional
talents
• Roles at Countdown are occupied by women
• Countdown has been investing in the tools which are
required by their staffs to execute their roles.
• Countdown has been responsive regarding the need for
enriched communication

Analysis of Competitive Dynamics
• Competitive rivalry is considerable in the NZ retail industry
• Countdown to face intense level of competition from
current and new entrants
• Progressive Enterprises which operates the Countdown
and Food town supermarkets has extensively more
centralised .
• Progressive has expanded through numerous mergers and
acquisitions

Analysis of Merger and
Acquisition of Countdown
• The continuing challenges in the NZ retail sector have
compelled some retailers to go out of business.
• Challenges which retail organizations have been presently
encountering are owing to significant lack of innovation.
• Countdown has been highly effective and profitable for the
NZ retail market.
• End Progressive has been rolling out an enhanced consumer-
friendly Australian store.

Analysis of International Strategy
• Implementation of international retail strategy aids
Countdown New Zealand to evaluate the international
opportunity.
• Evaluation of target market is related to the consideration of
market entry mode.
• Decision has been profoundly based on specific motives.
• Each mode of entry comprises its exceptional set of
challenges and risks.

Continuation
• Exporting is the least risky mode a company can
choose.
• Often, in the first consideration, most companies
choose when planning to do business internationally.
• In case of Woolworth, exporting to the Portugal
market means that it will generate its own products.