Analyzing Morrisons: Macro, Micro, and Competitive Marketing Insights

This report provides a comprehensive marketing analysis of Morrisons, a major UK supermarket chain. It begins with an introduction to marketing principles and Morrisons' company background. The report then delves into macro and micro environmental factors, including PESTEL analysis (political, economic, social, technological, environmental, and legal factors) and an examination of competitors, customers, employees, suppliers, and market intermediaries. A competitive analysis explores strategic groups and perceptual mapping to assess Morrisons' market position relative to competitors like Tesco, Sainsbury's, and Asda. Finally, a SWOT analysis (Strengths, Weaknesses, Opportunities, and Threats) is presented to evaluate the company's internal and external factors, culminating in a conclusion summarizing the current situation and offering insights into Morrisons' marketing strategies.

Principles of
Marketing
Management

Contents
INTRODUCTION...........................................................................................................................3
Company background......................................................................................................................3
Macro analysis.................................................................................................................................3
PESTEL analysis.........................................................................................................................4
Micro analysis..................................................................................................................................5
Competitive analysis........................................................................................................................7
SWOT and analysis of SWOT.........................................................................................................9
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................11

INTRODUCTION
Principles of marketing is described as the idea of marketing and concept that is being used
by organisation in developing their marketing strategies. Marketing managers of every
organisation identify the changing trends and demands of the customers in order to attain their
competitive advantage in the market (Asmoro, and Bachri, 2021). there are various principles
like principle of planning, direction, control and motivation that helps the organisation in
achieving their organisational goals and objectives and satisfy their customers. In this report the
organisation taken is Morrisons. It is the largest supermarket chain of UK and it is having
headquarters in England. Company was founded in the year 1899. This report includes
background of a company, micro and macro analysis then it consists of competitive analysis and
SWOT analysis of the company. At last, there is a conclusion made for the company of the
current situation.
Company background
Morrisons is the largest chain of supermarkets in UK which is having headquarters in
England. Company was founded in the year 1899 by William Morrisons. It is operating in about
495 stores in all over UK. There are about 110,000 employees working in the company currently.
The company is dealing in the products like food and drink, clothing and magazine, books and
DVDs. Morrisons is having various competitive like Tesco, Sainsbury and Aldi. They are using
marketing strategies in very effective manner and developing their product to satisfy customer
needs and demands.
Macro analysis
Macro analysis conducted by the organisation to analyse the external environment of the
company which can impact internal business operations and performance (Azadkhani, Imanfard,
and Soltani, 2020). This mainly focus on political, social, technological, legal and environmental
factors. It consists of all those factors which have no control over the company so they have to
develop according to these factors. Morrisons is conducting proper market research and planning
to overcome from these factors so that they could gain competitive advantage in the market. This
is conducted through Pestel analysis.

PESTEL analysis
Pestel analysis is a system of the factors that can affect internal environment of a company.
this stands for political, economic, social, technological, legal and environmental factors.
Morrisons is auditing in the market of UK and analysing all the factors accordingly here is the
discussion of pestle analysis below:
 Political factors : Political factors in the UK affect Morrisons presentation and success.
Because the debts of the British government and customers are very high in the British
political environment. Political issues comprise tax policies, job restrictions, and
government-adopted fiscal rules that touch the cheap and certain industries (Beckert,
2021). Morrisons is a largest food retail organization and has increased the requirements
to classify the political state in each country in direction to run commercial purposes
normally. Organizations closely analyse all issues in the UK market and formulate
effective strategies and plans. The Brexit uncertainty in the UK market affects Morrisons
imports from further nations.
 Economic factors : The economic environment includes several factors that affect
Morrisons performance, such as exchange rates, savings and interest rates, as well as the
business series that controls economic petition and asset. In the UK economy, rising fuel
prices will increase the value of product and service transfers and decrease profitability.
Also, rising salary expectations is a financial factor that affects Morrisons by raising
organizational costs. As there are several supermarket brands in the UK, such as Tesco,
Asda and Aldi, this improves Morrisons overall competitiveness. The organization
continues to bring innovations to gain a competitive advantage.
 Social factors : Because customers tend to buy from supermarkets like Morrisons rather
than homegrown retail stores, since these organizations offer all products and services
below one rooftop (Economics and West, 2021). Social factors include many factors,
such as cultural trends, demographic analysis, and demographics, that can have a positive
and negative impact on the business. As Morrisons offers healthier food to its customers,
this provides an excellent opportunity for organizations as customers in the UK have
switched to healthy eating habits. Morrisons provides training skills to its employees to
indulgence customers in a friendly manner in order to attract and retain them in the
organization for a long time.

 Technological factors: In today's competitive business environment, a number of
innovations are taking place in terms of performance-impacting technology and
Morrisons ability to operate its business to advantage and disadvantage in the UK market.
Elements included in automation innovation technology awareness, research and
development, technology element. Morrisons employs a range of technologies, including
inventory management and checkout systems, to enable organizations to perform all
functions efficiently. Online shopping is now being adopted by Morrisons, providing a
variety of strengthening its customer base.
 Legal factors : It include many rules and laws approved by the administration, such as
consumer law, labour law, safety regulations, and work-related legislation that move the
organization. As Morrisons is subject to various laws and regulations, such as
discrimination and fair action of employees and least wage rules and regulations, these
regulations increase the brand equity of the organization in the marketplace (Fackrell, and
et.al., 2021). In the UK market, if an organization is found to be failing to comply with
these laws in commercial activities, the government will charge the organization a fine.
Morrisons complies with all the rules to ensure that commercial activities run smoothly in
a competitive environment.
 Environmental factors: Factors like weather and climatic conditions, and environmental
compensation. Morrisons has taken numerous measures or enacted various rules to
decrease its carbon footprint. The organization emphasizes product recycling, and here
are some moral issues related to retail organizations such as Morrisons starting to sell
organic nutrition and adopting green processes to maintain the environment. The
respective organizations provide customers with high-quality products at fair values and
fulfil their business social responsibilities. Because British customers have a special
interest in the environment, all these hard works have effectively improved the
organization's brand image.
Micro analysis
Micro environment refers to the environment that is directly connected with the internal
activities or functions of the company it can be controlled by the business organisation.
Morrisons is analysing as microeconomic factors which can affect its business organisation.

There are various factors which are included in micro economic environment these are suppliers,
customers, employees and competitors. These factors are discussed below:
 Competitors: Competitors are the most real factor affecting Morrisons organizational
strategy. The respective organizations analyse all competitors and their marketing plans
to obtain dissimilar competitive advantages (Jjuuko, Tukundane, and Zeelen, 2021). Due
to several foremost British supermarkets, such as Tesco, marks and spencer and Asda and
so on. they outperformed Morrisons competitors. Each organization analyses the
marketing mix of competing organizations, ways swot and pestle analysis, and formulates
rules and policies to deliver clients with better products than their competitors.
 Customers: Customers are a significant share of the organization because Morrisons
undertakes numerous actions to provide customers with better goods and services to meet
their wants and requirements. Various organizations offer customers various discounts to
appeal and recollect customers and generate advanced profitability and income.
Morrisons has developed numerous advertising strategies to attract clients and retain
current clients for a long time by satisfying all needs and requirements. In the UK market,
client’s emphasis on superiority and service, which is why Morrisons offers its customers
a variety of after-sales also value-added facilities.
 Employees: Employees are connected to the internal commercial environment that
affects Morrisons functions and performance (Jobson, and et.al., 2021). Does the
organization have well-trained and talented workers to help the organization effectively
achieve the goals and objectives of the organization? As Morrisons provides employees
with various training and development sessions to improve their skills, thereby improving
their job presentation and ensuring corporate success. The organization upholds better
relationships with employees and a better working environment to inspire staffs to
perform their commercial purposes effectively.
 Market intermediaries and public: The existence of numerous marketing
intermediaries and the public is a major issue affecting Morrisons business act. The
public helps the good reply of the organization to effectively achieve all the goals and
objectives. Morrisons is responsible for meeting all the needs of the public. The
customers have the right to aid the organization efficiently achieve its stated objectives.

 Suppliers: Supplies were essential to Morrisons achievement as they provided the raw
materials for the manufacturing organization. Suppliers influence commercial strategy
both positively and negatively. If the supplier does not deliver quality raw materials on
time, it will affect the production process and the quality and source delays (Korres,
2021). Various activities carried out by suppliers, such as their sourcing of raw materials
for superior processes, influence Morrisons marketing strategies, eventually increasing
the price of the finished product. The own organization upholds effective and improved
relationships with its suppliers to gain a competitive advantage finished other
competitors.
Competitive analysis
Competitive analysis is definite as marketing and planned management process to classify
the strengths and weaknesses of present and possible competitors. This analysis helps the
organization identify offensive and defensive planned approaches to assess dissimilar
opportunities and threats.
Strategic group: A strategic group is clear as an idea used in the planned management
process, in which all organizations are gathered into sole units with parallel ideas, strategies and
business models. The Strategic Group analyses and determines the aligning of competitors in a
highly competitive business environment, assesses the issues that disturb Morrisons act and
profitability, and determines various competitive changing aspects (Olatunde, Jegede, and
Ameen, 2021). It helps Morrisons to analyse the strategies of the competitors in different
competitive dimensions. Various factors are used in the strategy group, such as project structure,
profitability, and issues. In addition to specialization, brand recognition, practical positioning and
valuing rules aid Morrisons to identify groups effectively.
Perpetual mapping: Perpetual mapping is clear as the graphic picture of a specific
organization, brand, or idea by different potential and potential employees. Sustainability
mapping products and extra issues are signified on the axis. This map signifies the customer's
view of rival products in a particular marketplace section. Morrisons has developed effective
mappings to classify customer views of contestants and brands. It helps organizations in finding
marketplace breaks in potential markets and analyse their products to control their success in
possible markets. Morrisons permanent mapping is clear as follows:
Organisation Strength Weaknesses

Morrisons  Company is well known for its
offering its food products at low
prices.
 Having well integrated supply
chain for delivery its goods and
services to the customers
(Pintassilgo, and et.al., 2021).
 Having more skilled specialists
to prepare fresh food items in
the store.
 There is a lack of effective
online presence of the food
products of the company.
 Also, there is a lack of
consistency in customer
satisfaction.
Sainsbury  Company is having strong
financial position in the market.
 Having skilled and trained
employees to performed their
task effectively in the
organisation.
 Diversifying business with
strong market share.
 Company is dealing in single
operating marketing that can
limit the market share.
 Also, company is offering low
margins food goods and
services to the customers.
Asda  Having wide range of products
and services.
 Having acquisition and merger
with various other brands to
enhance its strength.
 Conducting effective
communication with the
customers and making of
various campaigns to engage
with customers.
 The major weakness is that it
is having less global presence
in the market (Sperling, 2021).
 Also, it is having ineffective
marketing advertisements to
attract customers.

SWOT and analysis of SWOT
 Strength: The major strength of Morrisons is that it is the fourth largest company in all
UK. It is dealing in selling fresh food items and having 10.4% of market share in grocery
industry of UK. It is good known for providing its products and services in low prices.
Company is having specialist who are preparing food products in well fresh manner and
this results in providing better products to customers. they are having highly competitive
advantage in the market. Sit is about 500 stores which are all serving customer across UK
(Urbiola, and et.al., 2021). Morrisons is mainly buying it products from farmers and
fisherman to enhance their business. and this makes largest British farmers for customers.
 Weakness : weakness of company is that it is having lack of effective online presence of
selling their products and services to the customers. Because their website has recently
crashed and asking customers to try again later. Then another weakness is that it is having
lack of consistency in gaining customer satisfaction. Further, company is having limited
geographical presence in the market as compared to other brands like Aldi, Tesco and
Waitrose.
 Opportunities : Morrison can gain various opportunities in the market. According to the
UK grocery retail market, they have forecast that it can be grow by 14.8% till 2023
(SWOT analysis of Morrisons , 2020). So, it becomes opportunity for the company to
expand its business in UK and enhance their sales. Also, company is having less global
presence so this becomes opportunity for them to expand into various other countries and
satisfy their customers demands.
 Threats : The major threats for the company are that UK grocery industry has selected
three brands who are expanding. These are Tesco, Asda and Sainsbury (Vashu, and et.al.,
2021). In this Morrison has fallen down. It can be challenged by Lidl and Aldi. So,
Morrison main challengers are these companies who are capable to overtake its sales in
the market and also attract its customers. so, for competing them company has make their
marketing strategies more powerful and strong.
CONCLUSION
From the former report it can be decided that marketing organisation principles play an
important role in organizational growth and expansion. The organization focuses on the target
market segments to expand the business into other areas of the market. Organizations use various

tools to analyse internal and external markets. The organization uses PESTLE analysis to analyse
the exterior environment. Here are many micro issues for companies to make commercial
decisions and strategies. Competitive analysis improves the understanding of organizations
connected to the competitive commercial environment and helps to obtain numerous competitive
advantages.

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