Global Marketing Report: Woolworth's UK Market Analysis (MKT00150)

This report provides a comprehensive analysis of Woolworth's global marketing strategies, focusing on its potential expansion into the UK market. It begins with a background of the company, outlining its international structure, product range, and competitive position. The core of the report is a detailed PESTLE analysis of the UK market, examining political, economic, social, technological, environmental, and legal factors and their implications for Woolworth. It then assesses the target market segments, discussing opportunities and threats, and outlines the target market strategy. Finally, the report proposes a new venture for Woolworth in the UK market, specifically focusing on the coffee beans market, and concludes by emphasizing the importance of marketing strategy for the company's success. The analysis draws upon various academic sources to support its findings.

Running Head: GLOBAL MARKETING 0
Global Marketing
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Table of Contents
Background of company..................................................................................................................2
PESTLE Analysis............................................................................................................................2
Target Market Segment...................................................................................................................3
Target Market Strategy....................................................................................................................3
New Venture Proposal.....................................................................................................................4
Conclusion.......................................................................................................................................4
References........................................................................................................................................5

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Background of company
Woolworth is one of the international leading companies. The company manages biggest
supermarket chain in Australia and it is owned and controlled by the Woolworth Limited.
Woolworth was introduced in the year 1924 with the initial store that has opened in the city
Sydney (Morrison, 2016). Woolworth ha covered around more than 70% of market share in
Australia as well as comprise of more than 14000 retail trades. It has been observed that the
company manages more than 1.2 million people that are employed by the organization. It
manages more than 3000 stores in the New Zealand as well as Australia with around 850
supermarkets in Australia alone. The company is design to enlarge its corporate in the
marketplace of UK (Handorf, 2016).
In the subsequent part there will be comprehensive examination of the macro environment in
which the company is planning to operate in the new market as well as target market strategy
that is required for the company to adopt in an effective manner.
PESTLE Analysis
External environment play a vital role for overall performance of the company. There are certain
factors that will be focused to analyze the external environment of UM as they are explained in
the below points:
 Political Factor: there are wide range of political factor that affect the company at
present but also factors that may gave an impact upon the company in the future. The rate
of interest in the UK is low which is 0.5% low as comparison to the other country that
seem as the positive factors for the company who can able to borrow fund from the
market for expansion of business in an operative way. The political situation of UK is
considered as the low risk political environment due to the reason the political system of
the country is based on parliamentary democracy that represent stable political
environment in the country. It will provide an opportunity to the business to enlarge its
corporate in an operative way (Acker, Orujov and Simpson, 2018)
 Economic Factor: the economic factors that influence the supermarket industry in UKS
are majorly resulting from the current economic state of the UK. The economy condition

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of the country is gradually recovering as well as therefore furthering the regular revenue
as there has been perceptible food-price rise through the year 2013. The rate of
employment of the country is signing as 72.1% till the year 2013 that enhance the
purchasing power of the consumers in an effective manner (Chen, Hammond and
Norman, 2016).
 Social Factor: Such factors distressing the retail industry of UK in the sagacity that the
company operated in the UK that have to attain the complex collective as well as
municipal growth due to the aim reason of the modern communal tendencies with the
consumers. It represent that it majorly prefer highly social responsible companies and
also they undertake the collective enterprises. Therefore, it will provide an opportunity to
the company to enhance its services in an effective manner (Owen, Fox and Bird, 2016).
 Technological Factor: UK is one of the well developed countries that are highly
technologized. The people of UK majorly uses internet for its personal and professional
use. The key technological development such as internet have allowed the companies
such as Woolworth to develop the online business models that complement the traditional
bricks as well as mortal the retail establishment. Therefore, it provides an prospect to the
business to goal its customers more efficiently with the help of highly technologized
methods (Gutierrez, Boukrami and Lumsden, 2015).
 Environmental Factors: the environmental factor influences the market f UK
supermarket industry that is largely stem from the weather of the country. with an
increase pressure o the companies to address the issues related to environment as well as
to adopt way of operation’s that would benefit the society, the performance of the
company will be affected to the certain extent. I need to adopt carbon footprint that may
affect the overall cost of the company.
 Legal Factor: the policies of government as well as legislation also directly affected the
performance of Woolworth to the certain extent. the government has introduced Food
Retailing Commission (FRC) in the year 2004 that suggest the code of rehearsal must be
familiarized that would ban most of the existing performs such as change in the price
deprived of notice or severe payment from the dealers (Holland et al., 2019).

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Target Market Segment
The target market segment for the company will be demographic as well as psychographic. The
company delivers basic and regular products to its consumers therefore; it will cover all age
group for its product. The infant with the age group underneath 5 year are provided with the
larger groups of the baby food goods, that is lowered by the customers with between the age of
6-17 years as well as is finally decided with the cookery to the requirement of the customers who
are overhead 55 years of age. The company will target domestic section of the trade marketplace
that is reproduced by the high significant of deals that has taken the place interim of sales of
foodstuffs that is trailed by home goods.
The main opportunity that is involved with the target market is that the company can target wider
range of consumers in an effective manner by covering all range of consumers for its products. It
can able to enhance its revenue in more effective and efficient manner.
The threat that is included with such market segment is competition. Other companies are also
involved in the market that enhances the risk level for the company to compete its competitor in
the new market (Sultan, Wong and Sigala, 2018).
Target Market Strategy
The target market strategy is explained in the below point:
Product: the company offer wider range of products to its consumers. It provides larger variety
of choice related to brand, international cuisine as well as local produce. The range of product is
tested as well as provided by the company.
Price: the company maintain high price in the market. Having learnt that it offers variety of
premium brands in food chain, the price are kept competitive in the market.
Place: the company has more than 3000 stores. It also operates its business through the platform
of online that made them possible to target wide range of consumers to the certain extent.

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Promotion: the company has adopted online as well as offline platform to target its consumers.
It majorly adopted traditional method of marketing which include magazine, newspaper as well
as TV (Key and Czaplewski, 2017).
New Venture Proposal
The company can expand its business in the market of UK with the coffee beans. UK has great
demand of coffee. The people are keen for the coffee that will pro ide an opportunity to the
Woolworth to diversify its business in the new market with the new product in an effective and
efficient manner.
Such opportunity will help in enhancing its overall revenue zone as well as can able to diversify
its business in the demanded area that will support them to grow in the competitive market.
Conclusion
From the above analysis it can be concluded that marketing strategy play a vital role for the
company. One of the leading company Woolworth can expand its business in the UK market
with the new product due to the reason the external environment represent as the positive sign for
the company that will support them to grow in the competitive market in an effective manner.

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References
Acker, D., Orujov, A. and Simpson, H. (2018) Political donations and political risk in the UK:
Evidence from a closely-fought election. Journal of Banking & Finance, 92, pp.146-167.
Chen, Q., Hammond, G.P. and Norman, J.B. (2016) Energy efficiency potentials: contrasting
thermodynamic, technical and economic limits for organic Rankine cycles within UK
industry. Applied energy, 164, pp.984-990.
Gutierrez, A., Boukrami, E. and Lumsden, R. (2015) Technological, organisational and
environmental factors influencing managers’ decision to adopt cloud computing in the
UK. Journal of Enterprise Information Management, 28(6), pp.788-807.
Handorf, W.C. (2016) Bank holding company dividend policy, regulatory guidance and the
Great Recession. Journal of Banking Regulation, 17(3), pp.149-158.
Holland, J., Morris, D., Cosgrove, D., Harold, D., Mothershill, O.D., Corvin, A. and Donohoe,
G. (2019) THE IMMUNE 8: IMPAIRED COGNITION IN SCHIZOPHRENIA RELATED TO
GENETIC, ENVIRONMENTAL, AND IMMUNE INTERACTIONS IN IRISH AND UK
COHORTS. European Neuropsychopharmacology, 29, pp.S879-S880.
Key, T.M. and Czaplewski, A.J. (2017) Upstream social marketing strategy: An integrated
marketing communications approach. Business Horizons, 60(3), pp.325-333.
Morrison, K. (2016) Woolworth: adding character to the British high street, 1909–1939. History
of Retailing and Consumption, 2(2), pp.85-96.
Owen, N., Fox, A. and Bird, T. (2016) The development of a small-scale survey instrument of
UK teachers to study professional use (and non-use) of and attitudes to social
media. International Journal of Research & Method in Education, 39(2), pp.170-193.
Sultan, P., Wong, H.Y. and Sigala, M. (2018) Segmenting the Australian organic food consumer
market. Asia Pacific Journal of Marketing and Logistics, 30(1), pp.163-181.