Australia's Leading Retailer Woolworths' Retail Operations
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Case Details:
Case Code : OPER072
Case Length : 22 Pages
Period : 2000-2008
Organization : Woolworths Limited
Pub Date : 2009
Teaching Note :Not Available
Countries : Australia
Retail
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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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Excerpts
Background Note
Woolworths was founded in 1924 . The first store was opened in the basement of Imperial Arcade in Sydney on December 5, 1924.
The advertisement for the store opening, which appeared in several newspapers read
"Every city needs a Woolworths: Sydney has it now. Every man, woman, and child needs a handy place where good things are cheap." It was the first such store in Australia to provide printed receipts to customers. The store was a success and in its first year itself, the company paid a dividend of five percent to its shareholders...
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Operating Divisions
Woolworths was one of the most recognizable and trusted
retailers in the Australian retail market. As part of its growth strategy, the
company continually invested in new stores and refurbished existing stores in
order to provide quality service to its customers. It re-invested a significant
share of its cash flow into its businesses and focused on improving store
operations, range, stock availability, and customer service...
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Supply Chain Management
Procurement
A critical aspect of Woolworths' supply chain management was its
relationship with suppliers. Woolworths believed that increased
efficiency in procurement would benefit consumers in the form of reduced
prices...
EDLP Strategy
As food retailers sold similar goods, consumers had the option of
switching easily between retailers to obtain the best deal. Intense
competition forced the retailers to remain flexible and responsive by
providing a competitive offer to changing consumer expectations... |
Excerpts Contd...>>
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