Management Report For Woolworths Uk

Introduction
Woolworths was a company that was started in the year 1879 in the City of New York. Its founder Frank Woolworth was interested in offering a one stop shop for a wide range of commodities at an affordable price. He transferred this same concept to the United Kingdom thirty years after establishing the same stores in the United States. He was well received in Liverpool with enthusiastic shoppers thronging the premises.

However, the retail chain store industry has undergone numerous dynamics and Woolworths seems to be a victim of these circumstances. The report shall highlight some of the internal and external challenges that have affected the company. Additionally, an analysis of the company will be done with reference to the theme of globalisation and recommendations for improvement given as a result.

Description and analysis of the internal and external factor to which Woolworths UK is subject

1)Internal factors
Woolworths is affected by some human resource based issues plaguing the retail industry. For instance, some clients have asserted that before purchasing items in any retail store, they usually consider behaviours of the stores employees. Woolworths has received numerous reviews about this aspect. Consumer surveys have indicated that a half of retail purchasers are happy with Woolworths consumer service while the other halves have asserted that their employees are rude. Consequently, the company has to work on the latter percentage. (Hammer and Champy, 1993)

Marketing strategies are crucial in running any business. For companies to dwell in the retail sector today, they need to portray a clear theme in their advertisement and marketing strategies. Woolworths marketing manager asserts that the companys marketing strategy is largely centred on three major categories and these are;
Family
Entertainment
Home

These three themes are what make Woolworths stand out. However, other critics assert that Woolworths is severely lacking in this area. They claim that while other retail chain stores are distinct and stand out depending on specific themes; Woolworths has nothing special that makes it unique. Consequently, this is a marketing or branding issue that will affect future decisions made by Woolworths.

Demand determinants are also instrumental in determining how Woolworths performs in the UK market. There are a number of things that UK consumers look for when shopping in retail chain stores and some of them include
Convenience
Quality of items
Price
Brand recognition (Chopra and Meindl, 2000)

When one talks about convenience, they are referring to the ease of reach with which one can find commodities in retail stores. This is usually depicted by the manner of arrangement. When commodities are arranged haphazardly, then customers may not be enticed to come back there. Woolworths seems to have failed in this regard because many consumers complain of its haphazard nature. For instance, when one steps into a Woolworth store, they are likely to find childrens costumes placed together with table mats and the table mats may be placed alongside video games or other kinds of things. Consequently, it can be argued that Woolworths sense of appeal in terms of convenience is quite wanting. However, it can also be argued that this haphazard arrangement is what contributes to Woolworths uniqueness. This is because it is kind of a spur of the moment alternative rather than a distinct kind of arrangement. (Price Waterhouse, 1995)

On the other hand, convenience can also be assessed through a stores location, when stores are located in busy streets or in accessible places, then demand for ones items may increase. Woolworths may receive a plus for this aspect because their stores are conveniently located and one does not have to look for parking to get into their stores.

Brand recognition and quality of items are an important demand determinant. Once a company fails to deliver in terms of these parameters then there is fertile ground for failure. Woolworths have been praised by some consumers for their high quality items. However, there are still other buyers who have not been satisfied with their commodities claiming that they are a jack of all trades but a master of none.

Lastly, demand for commodities in this industry is affected by the price of its commodities. In analysing whether Woolworths is doing well, it is essential to look at what other companies in the industry are doing. Most of the commodities offered by Woolworths are sold by other competitors such as Asda and Tesco at cheaper prices. This means that Woolworths decisions need to be changed to respond to these challenges.

2)External factors
One of the major external factors affecting Woolworths is closely associated to its operating aspect. The retail chain industry is quite a huge industry since the numbers of stores located in the UK are numerous and this means increased competition for Woolworths. Additionally, the industry is not export oriented. Most products are sourced from outside and then bought into the region thus making players here to become susceptible to international forces that may sometimes be difficult to predict.

It is also interesting to note the fact that the retail chain industry is slowly being outcompeted by supermarkets. Times have changed over the past few years and the sale of non household items within the retail industry is no longer a reserve for companies such as Woolworths alone. Supermarkets which were once associated with the sale of food alone now offer almost all household items under one room. This increased competition from other categories of business has affected the overall productivity and performance of the company. (Porter, 1985)

Market size is an important factor that affects the any kind of business. This is largely because the rate of growth of the market largely reflects the amount of consumers available to purchase ones time. Statistics indicate that the UK retail chain sector is slowly reaching saturated levels. There are stores for almost every type of product under the sun. For instance, when one is looking for old suits then they may choose the option of going for Argos, when they require music CDs, then they have the option of going to Zavvi. Consequently, Woolworths is placed at a position where they are competing for a stagnating market i.e. one that is growing at very low rates yet the number of industry players is on the rise.

Other external factors affecting Woolworths decision making processes are also linked to the way they go about making their personal decisions. For instance, the issue of taxation is quite important in determining whether Woolworths succeeds or not. Since it depends on exports for most of their commodities, then the company is affected adversely by international tariffs in trade. However, it should be noted that the retail chain store sector is not highly regulated by the UK government and this is a plus on the part of Woolworths.

Globalisation
1)How globalisation influences policies and decision making at Woolworths UK
Enterprises and corporations alike are highly influenced by the concept of globalisation and Woolworths is not an exception. Before critically analysing this issue, it is essential to clarify its meaning; globalisation is defined as the increased level of contact between a certain entity and the rest of the world, through globalisation, mutual understandings, personal friendships and world citizenry is created. However, in terms of business entities, globalisation may not be a positive. This is largely because it causes increased competition which may be difficult to out manoeuvre especially when one lacks the capacity for change.

Woolworths UK was a brainchild of the US based subsidiary. Consequently, it had transferred knowledge and business structures from that part of the world to the United Kingdom. This meant that the company ought to have created a local solution to the local UK environment. Local marketing appeal for international companies such as Woolworths is crucial in succeeding in their market. This can only be done by incorporating all the external and internal factors. The United Kingdom was not the original company base for Woolworths; consequently, they needed to look for ways in which they could adopt to the local culture in the UK.

The UK consumer culture has changed dramatically over the past few years. This is as a result of increased levels of exposure brought on by information technology. Consequently, consumers are well aware of their rights and they also know where to find cheap bargains. This is actually the reason why Woolworths has not been performing very well; most consumers want a retail store with preset themes or one with cheap products.

Since so many other retail stores are available, then Woolworths has been pushed to the periphery in light of this competition. It should be noted that globalisation has played a large role in promoting this information driven consumer culture. Through interaction with other parts of the world, the UKs technological status has dramatically improved. People can get important retail information at the touch of a button and this makes them very choosy. In other words, globalisation has boosted information technology which has heightened consumer awareness and thus diminished demand for Woolworths products which do not represent the best value for money.

Globalisation has highly affected shopping behaviour among a series of consumers owing to the fact that it has promoted more job opportunities. Many UK consumers are constantly moving form country to country while conducting business, getting educated or working for a certain multinational. This therefore means that globalisation has created situations in which the UK consumer has very little time in his or her hands. People are now working for more hours and most of them have very little spare time for themselves. What this means for Woolworths is consumers also have little time to spend in their retail outlets. When going for shopping, buyers may be interested in spending as little time as possible in such outlets so that thy can get back to their busy schedules. Decision making in Woolworths must be such that it centres on meeting this need to save time when purchasing. (Kubeck, 1995)

Globalisation highly affects the productivity levels at Woolworths through its supply section. This is because now Woolworths and other retail chain stores have a wider supply base to choose from. They can source their commodities at a cheaper price from other countries of the world or they can locate high quality goods from suppliers in continents. Depending on how Woolworths reacts to this, global supply sourcing can either be a positive or a negative. It can be positive when good suppliers are chosen. However, it can be negative when Woolworths has been outcompeted by other retails who manage to get cheaper goods at lower prices.

Globalisation has also raised the level of competition among various industry players in the retail chain store sector. This is because globalisation favours growth of multinationals. The UK is plagued with a series of multinationals such as Tesco, Wal-Mart, Asda and many more. These multinationals create greater competition because of their diffused processes and also because of greater network structures, greater flows of information and hence greater productivity.

Lastly, globalisation has created fertile ground for outsourcing of jobs. The new buzz word was largely associated with the manufacturing sector where most businesses chose to outsource their manufacturing function to Asian based countries such as China and Taiwan. The retail sector is also involved in this buzz word because a number of their suppliers come from the Asian continent. They have chosen to outsource this aspect to other parts of the world so as to promote their level of competitiveness.

2)Critical evaluation of the effectiveness of the organisations response
Globalisation has promoted greater adoption of information technology and thus a more informed consumer. This kind of consumer is less loyal to particular brand unless that brand offers good quality or value for money. Woolworths has also been slow in responding to this aspect of globalisation. Since the consumer is more informed, the company should have worked on their prices and it should also have taken the time to check the quality of their commodities so that they can increase their client base. Woolworths still has a long way to go in handling these challenges.

It can be argued that Woolworths has not responded as strongly as it should to forces of globalisation. As it has been asserted earlier, many consumers are now engaging in more work and have less time to shop. Consequently, Woolworths store formats should have been changed to meet this need. Compared to other retail outlets in the United Kingdom, Woolworth is yet to catch up with the rest in terms of in-store organisation. More often than not, consumers may not be able to find what they are looking for in a Woolworths store unless assisted by one of the employees. Consequently, this takes a lot of time and may prompt some of them to choose other stores. (Scheer, 1999)

In terms of sourcing for suppliers from other parts of the world, it is imperative for Woolworths to awaken to the possibility that other retail chain stores in the UK are doing much better than they are. This is largely as a result of the lower prices that some of their commodities are grouping for and also because of a result of greater investment in dependant supplier who offer high quality.

Woolworths may have been overwhelmed by the increased competition facing the retail chain industry from multinationals. Globalisation has created sound operating structures for facilitating better productivity and this has given greater precedence to these large multinationals. Woolworths is supposed to be competing with the multinationals by offering products or services that whether they meet or exceed the offerings in these multinationals. However, Woolworths has not responded as quickly and assertively as it should. The company therefore needs to look for other ways in which they can promote this development through sound service delivery. (Sterman, 2000)

Woolworths has responded to the need to outsource by getting some of their goods from the Asian continent. However, compared to their competitors, this company still has along way to go in terms of being at per with its competitors. Most of the time, the company relies on European based manufacturers for their commodities or their in store brands.

Conclusion – Areas for improvement in the response of the organisation
Globalisation is eminent in almost all spheres of the UK economy. Consequently, companies that fail to react swiftly to this phenomenon are bound to be left behind. Woolworths has debts of three hundred and eighty five million pounds as of mid 2008. This poor performance is further illustrated by the figure below depicts its performance over the past few months. Its shares have been on the decline.

Source; (Eriksson and Penker, 2000)

In order to boost its performance in the global arena, then Woolworths needs to change a number of things. First of all, the company needs to respond to the need to save time this can be done by more orderly arrangements of their commodities in their stores. Secondly, the company needs to take greater care in terms of sourcing better quality items. Consequently, the company will do much better in the retail industry by placing greater precedence on this matter. (Eriksson and Penker, 2000)

On top of the latter, there should be greater emphasis on the adoption of information technology especially with regard to the use online sales. Also, they need to embrace the fact that their brand is barely recognised among future market segments. The company has to work on adding value to their name and making their services easily recognised.

References
Hammer, M. and Champy, P. (1993): Reengineering the Corporation – A Manifesto for Business Revolution; Harper Business Book
Porter, M. (1985): Competitive Advantage – Creating and Sustaining Superior Performance; Free Press
Price Waterhouse (1995): Change Integration Team – Best Practices for Transforming Your Organization; Irwin
Scheer, A. (1999): ARIS – Business Process Frameworks; Springer
Sterman, J. (2000): Business Dynamics: Systems Thinking and Modelling for a Complex World; McGraw-Hill
Kubeck, L. (1995): Techniques for Business Process Redesign – Tying It All Together; Wiley-QED Publication
Chopra, S. and Meindl, P. (2000): Supply Chain Management – Strategy, Planning and Operations; Prentice Hall College Division
Eriksson, H. and Penker. H. (2000): Business Modelling with UML – Business Patterns that Work; Wiley

Tips to Remember with Online Classified Advertising

If you believe that online classified advertising is ineffective, you might be mistaken. The proof lies in the success of classified advertising sites such as Craigslist and GumTree that have shown how efficient this medium can be on the Internet. Placing a classified ad is an excellent way to promote your products online in a cost effective manner that receives great exposure. This article will look at some simple online classified advertising tips you can put to use in your own Internet business.

First of all, putting together a good classified ad is a matter of focusing on your core marketing message. You have to figure out what response you can expect from your target market to your offers as well as what they find appealing. An ad is the channel through which your targeted marketing message will end up in front of your potential customers. Once you completely understand this idea, you will find it simple to create an ad that is attractive and also generates a high response rate. Formatting your ad correctly is important because ultimately, the performance of your ad depends on how well your ad is being presented. You have to stick to the site’s guidelines as well as making sure that your formatting is done properly. The first factor that will influence your prospective clients is the presentation of your ad, whether or not it looks professional, despite the fact that there are many other issues that will play a role in the type of response you get. You will find that your rate of conversion will go up.

For excellent results, focus on the title of your ad. Effective headlines are the key to creating ads that generate results. The goal is for your prospects to be drawn to your ad as well as to understand what it is about as soon as they see it. The goal is to inspire curiosity in your prospects while also attracting their attention. Don’t make the headline too long; keep it short and to the point. Just make sure you include your ad’s biggest USP in the headline itself, so that the prospect knows what to expect. You can clearly see from this article that online classified advertising will continue to be successful. In the coming years, there will be more people accessing the web through various devices, which means traffic to classified sites is going to shoot up. The aforementioned tips will help you make online classified advertising work for your business and enjoy increased targeted exposure so to get the most out of it make sure you employ these tips. Due to a high level of competition you will have to act consistently to make sure you are a step ahead.

How To Choose Custom Car Paint Urethane Vs. Acrylic Automotive Paint

There are many factors to consider when choosing the best automotive paint for your everyday vehicle or classic car restoration project. To most car collectors, the look and color of a car paint is the most important factor. Other things to keep in mind include cost, application difficulty level, length of drying time, possible health hazards, and base-coat and finishing options. For simplicity’s sake, I’ll narrow them down to the top four most important differences: cost, difficulty level, durability and purpose. Acrylic and urethane are two of the most common automotive paints, yet they have very important distinctions. This article will help you choose the right car paint for your car project.

Cost

Cost is the only practical area in which acrylic enamel car paint has the clear advantage over urethane car paint, which costs more than twice as much. Acrylic lacquer paints cost up to $250 a gallon, and acrylic enamel costs only $100-$150 per gallon.

Difficulty Level

Application: If properly cut and polished, the finished appearance of acrylic car paint is unbeatable. Urethane paint will give your car a “fresh look,” and is easier to apply than acrylic enamel, which can only be applied with high-pressure spray guns. Urethane car paint can be applied with low-pressure, high-volume spray guns, which are easier to control and spray larger drops for better surface coverage, but are more prone to runs. Acrylic enamel automotive paint does not completely cover the primer, thus the primer color matters more when using it. On the other han, urethane paint covers the primer completely, so it does not require a similarly tinted primer. Acrylic paints can be done in a home garage, and applied in a slightly cooler ambient temperature, but no colder than 18’C (65’F).

Drying Time: Acrylic car paint has a much longer drying time, 1-2 days, as opposed to the short 2-3 hours required for most urethane paints, cutting down on time between coat applications accumulation of dust. For urethane car paint, most follow a base-coat with a clear coat. NOTE: some clear coats tint the color, especially if it is black or white. In this instance, one may prefer to use a single-stage urethane, and forgo the clear coat for the sake of the color. With urethane paint, wet-sand is also an option before applying a clear coat. Acrylic car paints require more coats (6-8), and must always be cut and polished, after letting it harden for several weeks. Single pack acrylic primers and fillers tend to shrink and sink back on repairs, so only use them on a final, even prime coat, and give it as long as possible to harden before wet sanding. Both acetone, thinners and fuel spillage damage acrylic paints, and they require more maintenance to keep your car finish shiny. In contrast, if a urethane paint job goes well, it needs no buffing, and un-buffed paint is the longest lasting and easiest to keep clean. If it is baked on, the car can be assembled the next day.

CAUTION: Urethane paints are toxic, as they contain isocyanate, airborne compounds that enter the body through the lungs and skin. Always use safety gear (goggles, mask and gloves) and proper ventilation when working with urethane paint. Acrylic automotive paints are less toxic because they are water-based, so the resin adheres using water as its primary agent, whereas urethane depends on a solvent.

Durability

Urethane finishes are much more durable than acrylic enamel finishes. There are many factors that vary the exact length of time a finish lasts, but urethane finishes, when properly maintained, generally last 5-10 years longer than acrylic enamel finishes. Urethane paints are activated by hardeners, so after they are mixed, they must be used promptly or the product is wasted. Acrylic enamel paint is prone to more chipping, cracking and general wear and tear, since it does not feature the hardeners.

Purpose

Acrylic enamel car paint is typically used by professional car restorers who want to paint a classic car to exactly the original specifications, which requires acrylic enamel paint on many antique cars. For example, acrylic enamel automotive paint is better for replicating factory orange-peel paint jobs, a bumpy surface finish. Both auto manufacturers and car restoration professionals have now switched to urethane paint for most auto body work, due to it’s practical advantages over acrylic enamel. It has become the standard in the auto industry because urethane car paint provides a quicker and better looking finish.

Web Advertising In India Best Option For Online Digital Advertising In India

The dawn of the internet era opened up amazing new possibilities for Web Advertising in India which is part of Digital Advertising in India or also famous as Online Advertising in India. Thus with its rising urban and educated population there is a tremendous opportunity for Online Advertising and Web Advertising in India.

Indians are rapidly adopting internet as a means for entertainment and education, not only on their computers but also on mobile devices. Even Mobile internet figures are rising at breakneck speed, which augurs well for the growth of Web Advertising in India. Growth and new business opportunities exists for the online advertising industry in India, due to a large youth population, popularity of social networking sites, growing e-commerce trade, increase in educated population and broadband connectivity, as well as decreasing internet and telecom costs. Moreover, entry of foreign e-commerce companies is also expected to drive the market for Online Advertising in India. Digital Advertising in India is also predicted to grow with the popularity of online services, thereby driving the demand for digital advertising services.

Web advertising will also be the fastest form of advertising in the coming years, but will still be a small portion of the Online Advertising in India. Search Engine Promotions, Banner Advertising, Website Promotion, Email Campaigns and Reciprocal Linking are the most popular methods of promoting your site due to the efficiency, reach, and effectiveness they offer. Among the various Online Ad categories, Digital Advertising in India has always been the leading segment. Sectors such as travel, Banking, Real Estate, Tourism Industry, Telecom, Auto and Online publishers dominated the Digital Advertising segment.

The main aim to advertise is to hike the consumption of the concerned company’s product/service and to create a brand name of their products and service in the minds of the audience. The right agency can help you use numerous methods to promote your business online and generate targeted leads. It should not be typical advertising organization. Rather it should employ a wider choice of disciplines that approach the advertising challenge from many different fronts: Branding tactics, Internet Marketing, Internet Advertising, Promotions, Marketing Collateral, Website promotion, Internet Media, Search Engine Optimization, Event Marketing, Corporate Branding, Social Media Promotion, and anything else that helps move the sales curve in the right way.

NriGujarati is one such pioneer Web Advertising and Digital Advertising Company in India which provides the complete pin to plane solution of all kinds of advertising and marketing such as Web Advertising, Online Advertising, Digital Advertising in India, Internet Marketing, Display Advertising and all.

Now-a-days as the number of Internet and phone users in Gujarat is increasing rapidly, online medium is set to play a bigger role in advertising, enabling marketers to reach out to a bigger number of target customers even in Gujarat. Online advertising and marketing techniques have become the buzz words for creating brand awareness and building credibility, among business initiatives online. The Online Advertising services of NriGujarati web portal helps their clients to get closer to their target audience, strike a good rapport with them, increase their site traffic and generate leads.

As Online Marketing in India is a bit trickier than the regular advertising methods, it is of great advantage if you choose a qualified marketing company to handle your online advertising. For more detail about online advertising and internet marketing in Gujarat India you can contact us on “[emailprotected]” or call on +91 93741 28353.

Skills Of A Successful Sales Person

Brevity in client conversations:

In Hamlet, Shakespeare said it best: “Brevity is soul of wit.” When marketing a particular product, a buyer will lose interest if the benefits of the solution are not expressed in a clear and concise manner. Psychologically, buyers usually have a lot on their minds (as they have their own jobs and goals too) and want to get to the point. Too much information or elaboration on a certain topic can put a sales person in a position where the client purposely avoids them due to their conversations’ perceived length. If you want an example, call one of my family’s pet sitters (name confidential).

Question and Benefit Selling:

Either speaking in-person or over the phone, a good sales person asks the proper questions and uncovers the client’s needs in a timely, friendly and professional manner. They also always write down the client’s concerns in order to address them one by one. Knowing these requirements allows the sales representative to work with the buyer bit-by-bit to solve their problem via a tailored offering. In a meeting, it is the buyer, not the seller, who should control the situation.

Accessible Language with Supporting Evidence:

In nearly any complex sale, a sales person will deal with all different types of decision makers within a company. This can range from that stereotypical reserved CFO to the boisterous VP of Sales. No matter who they are, they will all understand catch phrases such as ‘hit it out of the ballpark’ or ‘we can give you a better price, however, as we all know, at that price, I feel that the resources we can allocate may be a swing and miss.’ These are aspects of everyday life, and to bring them to the negotiation/sales table can put everyone on the same page.

Efficient phone technique:

Nothing grabs the undivided attention of somebody purchasing a product better than a sales representative who speaks with a tone of voice that not only shows confidence in himself, but confidence in the product he or she is selling. Typically, I can tell a good salesperson within thirty seconds, due mainly to voice projection and confidence. Also, before a strong bond is formed with the client, intelligence and proper grammar are significant steps to becoming a respected part of that client’s business day and decision making process. Most importantly, good phone technique follows the old proverb straight and to the point.

Next time you make a cold or warm-call try saying, “Mr. Smith, my name is Bob Salesman; I’m calling from ________ (maybe even add in what your company does). I do truly understand you are very busy, however could you give 30 seconds of your time? About a week ago, you came to my firm inquiring about x, y or z, and I’m hoping to set up a five minute phone conversation in the next few weeks to elaborate on our organization and better introduce myself.” Ink in the appointment and, prior to that next phone call, refer to the “Question and Benefit Selling” part of the article.

Industry Contacts:

In any industry, the easiest way to get in the door is to know the decision makers within your target market. These days, being able to sell to “C” level executives (the new Lexus of resume listings) is a skill in great demand. These contacts are formed over time through trust, careful relationship building and delivery of a product that the executive and her company perceive to be beneficial. The effective sales person realizes that these people are busy and that account manager must be on-call to see them whenever a free moment arises. If you want to know how to find out who these people are, websites such as Linkedin.com, Hoovers and Selectory.com can get you the right names. Now, with the right wit and an ability to get past the gate keeper (sales term for assistant), you can build your own black book of important contacts.

Friendliness and Professionalism:

Good sales people represent their organization in a professional manner while reaping the benefits of establishing good relationships with their valuable client base. However, some of these aspects can backfire when making a sale or laying the groundwork for a “cross-sell” or future business. How can this go wrong? Occasionally, Account Representatives tend to have a very outgoing personality and can easily cross the bounds between a good working relationship and an outside friendship. The best friend tactic sometimes will work with occasional clients as they want to establish both a strong working and personal relationship with their sales representative. Other clients have their own interests and think of a sales person as only a minute (and possibly annoying) part of their work day. Unless the product and service is great, a professional faux pas can kiss just about any account goodbye.