Picard Executive Summary

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CONTENTS PAGE 1. EXECUTIVE SUMMARY 2 2. INTRODUCTION 2 2.1 Picard overview 4 2.2 Picard´s corporate strategy 5 2.3 SWOT analysis 6 3. PEST ANALYSIS 6 4. PORTER´S FIVE FORCES Analysis of entering the UK Market 7 5. CONCLUSION 11 6. BIBLIOGRAPHY 12 7. APPENDICES 13 1. EXECUTIVE SUMMARY The aim of this report is to analyse Picard´s market performance as well as challenges in its operating market using the PEST analysis tool, in order to identify if the company has prospects of entering and succeeding in the UK based on Porter´s five forces model. Picard is a French frozen food retailer focusing exclusively on its own brand product lines. The company has grown to be France´s leading frozen food …show more content…

In addition to this supermarkets are increasingly developing their own label range and investing further in the convenience format. On the other hand Picard´s vertically integrated supply chain and close geographical location to the current distribution network is considered a significant advantage. Furthermore UK consumers are the one of the largest frozen food buyers globally and Picard has a leading home delivery channel already established in 6 countries from online and telephone orders. It is therefore concluded that the UK is an attractive proposition for Picard. 2. INTRODUCTION In these straitened economic times, frozen food is a sector that is growing as consumers recognise two main factors. Firstly it offers value for money, and secondly it helps to reduce food waste. The UK frozen food market is worth around £5.1 billion a year and accounts for 8% of the UK Grocery Industry (Kantar Worldpanel, 2010). Although in 2010 the market remained flat, it has shown 11.3% value growth between 2007-2010, with indication that the market will continue to grow this year. [pic] Souce: Kantar Worldpanel, September 2010 Convenience is driving the frozen market sales globally as consumers are looking for healthy and less time-consuming meals (Seth and Randall, 2011). Private label is performing extremely

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