Formulation of Strategy for Spar Zambia

4229 Words17 Pages
EBU 4008

Module: Supply Chain Strategy

Assignment: Strategy Development Report

Student No.: 1110434
Submitted in partial fulfillment of the requirement for the degree of MSc in Logistics and Supply Chain Management.

University of Bolton

Contents

1. Introduction 4 2. Structure of the report 4 3. Organization and supply chain background 5 4. Review of Business Strategy 5 4.1 Market Penetration 5 4.2 Strategic alliances 6 4.3 SPAR: expansion and growth. 6 4.4 System. 7 4.5 Market Research 7 4.6 Supply Chain 7 5. PESTEL ANALYSIS and SWOT analysis 8 5.1 PESTLE ANALYSIS 8 5.2 SWOT Analysis 11 5. Porters five forces 13 5.1 Barriers to entry 13 5.2 Threat of substitutes 14 5.3 Bargaining
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(Source: Spar Zambia.com) 4.2 Strategic alliances SPAR Zambia has entered into strategic partnerships with its wholesalers, retailers and farmers. This unique partnership allows SPAR Zambia to operate locally offering customers a personal service supported by all the benefits of global business. SPAR partners are carefully selected by a panel looking at various variables of the product(s) being offered such as: 1. Pricing 2. Quality. Does it meet the minimum required standards? 3. Capacity of the supplier to meet the demands of the corporate stores 4. Packaging. Does it meet the standards stipulated by the government of Zambia?” Source: Interview with Dux Bhaga, 4.3 SPAR: expansion and growth. Expansion is a key component to SPAR’s business strategy. That is why spar continues to invest in the redevelopment and expansion of their store portfolios and the SPAR chains worldwide. SPAR Zambia is planning to open 30 stores by 2015. ( source: spar-stategy2sustain.com) 4.4 System. The electronic system that supports stock control, pricing and supply chains of SPAR Zambia is RMS (Retail Management System). RMS was recently interfaced with the centralized Finance operations. The system offers SPAR a complete point of sale (POS) solution that can be adapted to meet unique requirements. RMS automates POS processes and store operations and provides centralized control for SPAR

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