Waitrose Case Study Analysis
Introduction
Waitrose & Partners is a famous British supermarket chain. This company operates as part of
John Lewis Partnership which is one the largest business owned by employees in the UK.
Waitrose & Partners was founded in 1904 by Wallace Waite, Arthur Rose, and David Taylor.
Since then the company has grown from a single store operating in London, into a very premium
retailer. At the present the Company has more than 300 stores operating throughout the UK. In
addition, they export their products to 52 different countries. Waitrose & Partners is known for
its specialization on high-quality food products. Also, the company is well renowned for its
exceptional customer service, innovation as well as its commitment to sustainability. The
company has been awarded severally for its retail services. However, it operates in a very
competitive grocery and retail industry. Hence, to differentiate from its competitors, the
company focuses more on fresh and responsibly sourced produce including luxury goods. Also
the company has established partnerships with both the global and local suppliers which
differentiate itself in a competitive industry.
The aim of this case study analysis is to provide a strategic position of Waitrose in comparison to
its competitors. To evaluate how Waitrose is influenced by external macro external factors using
PESTEL analysis method and to assess industry analysis using Porter’s five forces. The report
also, provides an internal analysis of Waitrose which includes company’s financial, human, and
physical resources and capabilities. In addition, the report provides analysis of the potential
strategic options for growth of Waitrose in the retail industry.
, Macro External Analysis
Macro External analysis helps to identify external factors that could influence their businesses.
This section will evaluate impact of macro environment on Waitrose operations focusing on
political, economic, social, technological, environmental and legal (PESTEL) factors.
Political factors
Waitrose operates in UK retail sector. Just like any other companies it’s susceptible to
government regulations and policies including tax and trade policies. Brexit had great impact on
exportation and importation of goods. Freshly produced goods from the EU were most affected
due to the new custom tariffs and regulations. In addition, Waitrose is well known for focus on
environmental compliance as well as sustainability. This has prompted the company to align its
operation with government initiatives like anti-plastic campaigns.
Economic factors
Waitrose is a premium brand in retail industry. Due to its position it’s susceptible to economic
factors including rising cost, customer’s spending and inflation which can influence its
profitability. For instance, economic downfalls may influence customers to shift their preference
to products which are more budget friendly from rivals like Aldi. Post-Brexit currency
fluctuations had significant impact on the cost of imported goods. Consequently, this affects the
company’s operational cost. However, Waitrose has a pool of affluent target customers that
allow the company to remain resilient during the times of economic uncertainty.
Social factors
Introduction
Waitrose & Partners is a famous British supermarket chain. This company operates as part of
John Lewis Partnership which is one the largest business owned by employees in the UK.
Waitrose & Partners was founded in 1904 by Wallace Waite, Arthur Rose, and David Taylor.
Since then the company has grown from a single store operating in London, into a very premium
retailer. At the present the Company has more than 300 stores operating throughout the UK. In
addition, they export their products to 52 different countries. Waitrose & Partners is known for
its specialization on high-quality food products. Also, the company is well renowned for its
exceptional customer service, innovation as well as its commitment to sustainability. The
company has been awarded severally for its retail services. However, it operates in a very
competitive grocery and retail industry. Hence, to differentiate from its competitors, the
company focuses more on fresh and responsibly sourced produce including luxury goods. Also
the company has established partnerships with both the global and local suppliers which
differentiate itself in a competitive industry.
The aim of this case study analysis is to provide a strategic position of Waitrose in comparison to
its competitors. To evaluate how Waitrose is influenced by external macro external factors using
PESTEL analysis method and to assess industry analysis using Porter’s five forces. The report
also, provides an internal analysis of Waitrose which includes company’s financial, human, and
physical resources and capabilities. In addition, the report provides analysis of the potential
strategic options for growth of Waitrose in the retail industry.
, Macro External Analysis
Macro External analysis helps to identify external factors that could influence their businesses.
This section will evaluate impact of macro environment on Waitrose operations focusing on
political, economic, social, technological, environmental and legal (PESTEL) factors.
Political factors
Waitrose operates in UK retail sector. Just like any other companies it’s susceptible to
government regulations and policies including tax and trade policies. Brexit had great impact on
exportation and importation of goods. Freshly produced goods from the EU were most affected
due to the new custom tariffs and regulations. In addition, Waitrose is well known for focus on
environmental compliance as well as sustainability. This has prompted the company to align its
operation with government initiatives like anti-plastic campaigns.
Economic factors
Waitrose is a premium brand in retail industry. Due to its position it’s susceptible to economic
factors including rising cost, customer’s spending and inflation which can influence its
profitability. For instance, economic downfalls may influence customers to shift their preference
to products which are more budget friendly from rivals like Aldi. Post-Brexit currency
fluctuations had significant impact on the cost of imported goods. Consequently, this affects the
company’s operational cost. However, Waitrose has a pool of affluent target customers that
allow the company to remain resilient during the times of economic uncertainty.
Social factors
