Swot Analysis on Publix Supermarkets Essay
Public is known for its philosophy of pleasing the customer; the Public guarantee to never knowingly disappoint their customers is legendary in the industry (Public 2013). SOOT Analysis Strengths Public has a strong market position and a reputation for its serviceability and the quality of their products. The brand is known and recognized by a lot of people in the United States. It’s ranking in several local and international lists makes it highly competitive with reference to its brand equality. It operates more than fifteen hundred stores. It is currently operating in five US states (Public, 2013).
The strong The company has a history of law suits against it. There was a law suit in 1997 for discriminating among the employees. It paid around eighty five million dollars as compensation to the damages to its female employees and made policy changes in its workplaces as a result (EEOC, 1997). There were a few lawsuits for the employee related issues like failure to comply with the fair labor rules act (Hodges, 2010). 2 Public has a slow expansion rate as compared to its competition. It should seek geographic expansion in order to get ahead of its competitors. For the most part the
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Sometimes strict polices of a company lead them to rebel and act negative against the company. The company is currently listed as number seventy seven in the Fortune 100 best companies to work for (Fortune, 2013). Opportunities There are several opportunities available to Public to help them obtain the maximum number of benefits in the markets. One of them is the geographical expansion and entrance in the existing markets. It could even expand over seas to developing markets of Asia like China and India. The existing markets can devise eateries related to the prices of the products.
Keeping the prices low will lead to the large number of customers to attract towards the company. The company sells a variety of merchandise to generate revenue. The merchandise includes grocery, health and beauty care, general merchandise, and other products and services (Public, 2013). The company has private label brands that play an important role behind the success of the company. The prices would vary by demographics. Threats The biggest threat faced by Public is the threat of fierce competition. Its main interiors are Wall-Mart Stores, Inc, Bi-Lo Holding, LLC, Sweaty Supermarkets (Hoovers, 2013).
The expansion of Wall-mart and the low pricing strategies used by these stores impose a certain level of threat to a company. Customers seek products that are high in quality and are priced low. The low strategy of Wall-Mart can steal a large amount of its revenues and market shares. 3 The recent governmental changes to the minimum labor wage rate could increase the costs associated with the labor of the company. These costs can impact the business operations of the company by increasing the costs involved in doing the equines and conducting its operations.