Pnp Situational Analysis
By
Agency
Situational Analysis, Key Issues & SMART Objectives
19 March 2013
Andrea Seegers - 12018037
Phumelele Msomi – 12018099
Sbongiseni Skweyiya - 12007206
INDEX
i. Introduction – Pick n Pay Page 2 ii. Situational Analysis Page 2 * Macro Page 2 * Micro Page 4 * Internal Page 7 iii. SWOT Analysis Page 9 iv. Key Issues Page 10 v. SMART Objectives Page 10 vi. Conclusion Page 10 vii. Bibliography Page 11
Introduction – Pick n Pay
Pick n Pay is one of Africa’s largest and most successful retailers of food, general merchandise and clothing. Pick n Pay was founded by visionary retailer Raymond Ackerman in 1967, he started out with four stores in the Western Cape and he says it took “10% capital and 90% guts”. The company was listed on the JSE Limited Securities Exchange in 1968 and grew into the leading retail group that it is today. Pick n Pay currently consists of 795 Hypermarkets, Supermarkets & Family Stores, employs 42 000 people and generates an annual turnover of R55.3 billion. Pick n Pay aspires to satisfy customer’s needs by selling quality products at competitive prices and providing courteous service in stores that are well located and pleasing to shop in. Pick n Pay has been struggling for the last two years, in the last year their profits declined by 39% and they have lost market leadership to Shoprite.
Situational Analysis
MACRO
Economic Factors
Petrol price increase on the 6th of February 2013 was a new record high of R12.27 for 95 octane petrol in Gauteng and it was due to higher crude oil prices which contributed to the deterioration of the rand/dollar exchange rate. Every increase in the fuel price affects the fuel of the transport of retailer’s goods which in turn increases the RSP (retail selling price) of their products.
Agency
Situational Analysis, Key Issues & SMART Objectives
19 March 2013
Andrea Seegers - 12018037
Phumelele Msomi – 12018099
Sbongiseni Skweyiya - 12007206
INDEX
i. Introduction – Pick n Pay Page 2 ii. Situational Analysis Page 2 * Macro Page 2 * Micro Page 4 * Internal Page 7 iii. SWOT Analysis Page 9 iv. Key Issues Page 10 v. SMART Objectives Page 10 vi. Conclusion Page 10 vii. Bibliography Page 11
Introduction – Pick n Pay
Pick n Pay is one of Africa’s largest and most successful retailers of food, general merchandise and clothing. Pick n Pay was founded by visionary retailer Raymond Ackerman in 1967, he started out with four stores in the Western Cape and he says it took “10% capital and 90% guts”. The company was listed on the JSE Limited Securities Exchange in 1968 and grew into the leading retail group that it is today. Pick n Pay currently consists of 795 Hypermarkets, Supermarkets & Family Stores, employs 42 000 people and generates an annual turnover of R55.3 billion. Pick n Pay aspires to satisfy customer’s needs by selling quality products at competitive prices and providing courteous service in stores that are well located and pleasing to shop in. Pick n Pay has been struggling for the last two years, in the last year their profits declined by 39% and they have lost market leadership to Shoprite.
Situational Analysis
MACRO
Economic Factors
Petrol price increase on the 6th of February 2013 was a new record high of R12.27 for 95 octane petrol in Gauteng and it was due to higher crude oil prices which contributed to the deterioration of the rand/dollar exchange rate. Every increase in the fuel price affects the fuel of the transport of retailer’s goods which in turn increases the RSP (retail selling price) of their products.
Bibliography: (http://www.mckinseyquarterly.com/A_seismic_shift_in_South_Africas_consumer_landscape_2592) MICRO