Business Strategy Essay Example | Topics and Well Written Essays - 3500 words - 4

Business Strategy - Essay ExampleThis led to the crave for an ombudsman to provide a non-partisan view on retailer and supplier disputes. A code of conduct is think to be introduced into the contract agreement between retailers and suppliers. Employee compensation must satisfy the requirements of the National Minimum engross Law. Labour laws atomic number 18 stringently implemented.Supermarkets take up 73% of the food retailing industry in UK. Food and drink account for 65% of total retail sales (including non-food items). The economic system of the UK is capitalist in nature. The liberal economic policies foster competition. The stagnating growth and reduced profits of the retailing industry ar facing the spectre of a 5% increase in doing business with effect from April 1, 2009. The decision has been decelerate for the moment. The economy has seen recessionary trends in recent times. This has affected the willingness of customers to spend on discretionary items though the o verstep on food continues. The food retail industry has matured in the country and profit margins are pinched (2-6%) as the fight for market share heats up. Inflation has been high though and retailers bewilder had to skip over prices and offer higher quality to drive sales. The big players in the food retail industry have seen pay hikes at an average of 3.7% while other retailers have limited the outgo to 3%. Retailers are under intense pricing pressure due to customer demand for high quality humble priced goods.The customer demographics have undergone a change. Single and dual member families with smaller purchase requirements have taken the place of the larger families of the past. Increase in the number of working women. The customers are growing older with iodin pensioners forming a large part of the customer population. The customers are not limited to a retail electric outlet and are likely to search for good buying options. They are aware of the price and quality that they contribute