Company Analysis : Wm Morrison Supermarkets Plc

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1. Company Summary
Company Name: Wm Morrison Supermarkets plc
Industry: Retail
Owners: Morrison Family (10%) Threadneedle Asset Management (5%) Silchester Investors (5% Investors Asset Management (5%)
Brandes Investment (5%) Other Minor Shareholders (70%)
Head Office: Bradford (Gain Lane)
Number of Supermarkets: 618
Number of Employees: 127,403

1.1 Background
Morrisons is now one of the market leaders in the retail industry in the UK, they were founded by William Morrison in 1889, starting off as an egg and butter stall in Bradford. It was not until his son Ken, took over in 1952 that the company started to progress, the first shop opened in 1958 and first supermarket in 1961, Over the years Morrisons has expanded
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The CC also investigate disputes between suppliers and retails and issues with unfair competition (Competition Commission, 2013). In 1999, The Food Standards Act was created to establish the Food Standards Agency, which, to ensure food production and the supply chain is set to a standard that protects public health. (Food standards agency, 2014). Representing over 90% of companies within the retail industry, the British Retail Consortium is the major trade body (BRC, 2014). The Environmental Health Department monitors food hygiene within the industry.

Economic factors are always changing, and as a result are unpredictable, from the global recession which reportedly affected all companies in the UK. Rising daily costs, such as; travel and energy costs have affected the price of raw materials which in turn has created a great impact on the cost of sales which also affects profit margins (Lynch, 2012).
The table below shows how economic factors have changed over the years and the forecast table is inserted in Appendix A.
Figure 1. Economic Factors Source: KeyNote 2013
The recent ‘horse meat’ scandal affected the Industry as sales in frozen foods decreased; this is a clear observation of a fall in consumer confidence (Guardian, 2013). As consumers are becoming more educated they are looking for healthier options and new healthier eating habits. Morrisons now offers food recipes on
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