Lidl Supply Chain Analysis

Great Essays
3. Ethical and Sustainable Supply Chain Management
3.1 Increased Consumer Power
Previously supply chains practices were decided almost solely by management within companies. Today, the consumer plays a massive role in deciding what happens in the supply chain. The consumer has the power to change elements of the supply chain that they do not like. This power has been achieved through avenues such as social media, where even one concerned consumer can reach millions of people and alter brand images, which could destroy companies if they refuse to respond and adapt (Rezabakhsh, Bornemann, Hansen and Schrader, 2006). For example, when Lidl received a comment, that appears to be from Facebook or Twitter, from a customer stating “I want sprouts to be fresh and British. Not budget Brussels from Lidl”, Lidl responding excellently with a television/youtube advertisement showing a British farmer harvesting late into the night to ensure the sprouts are as fresh as possible and stating that in the run up to Christmas they supply about 17 billion sprouts to Britain (Lidl UK, 2016). Even in this short video, it shows that consumers are concerned about the quality and sustainability of products. So we can conclude that social media can have effects on a brand’s image if they do not adapt and elements
…show more content…
They want to know that the products they are purchasing have not harmed the environment through the methods used to get these products to the consumer. One of the main issues of concern, within distribution channels, is the carbon footprint produced, other issues can include the level of recycled materials used in production and the recyclability of the final product, energy efficiency, use of harmful chemicals in production or sometimes within other intermediaries and ensuring natural resources are not eliminated because of excessive mass production (Martin,

Related Documents

  • Superior Essays

    Entering the first decision of the simulation we were already one of the most well-known, and consumer-trusted brands in the marketplace. However, at this point in time we have not yet introduced any other products so our sole product of focus is Allround. For our first decision, we focused on increasing our price (from $5.75 to $5.95), as well as increasing our salesforce in response to retailer suggestions of increasing sales support. Staying aligned to market trends, we also increased our advertising spend by two million dollars, as well as slightly upping our spend on consumer promotions. Our objective for decision one was to increase product awareness by increasing advertising and promotional spend, as well as to test the price elasticity…

    • 1166 Words
    • 5 Pages
    Superior Essays
  • Improved Essays

    Jane, the author, states, “Their promotional activities –for example, categorizing and advertising certain foods as ‘fresh produce’ and ‘home-meal replacement’- influence the way that consumers think about food commodities..” (102). This means that how super markets market there produce can make their sales more popular and get people to buy their food. Her main argument in this research is that retailers and consumers have changed the market for how food is perceived, produced, and bought. For example they made meat easier to make by chilling it and not putting it in the freezer. This is easier for producers to make, and consumers to buy and make, which is all around cheaper and easier.…

    • 846 Words
    • 4 Pages
    Improved Essays
  • Decent Essays

    Each person has the power to influence the world. David Brodwin (2015) in the article “Unsustainable America” describes the situation of American consumers toward sustainability compared with other consumers from other countries who are interested in this issue. Thus, Brodwin explains people’s reactions in some countries about the sustainably processed products. In fact, the article had essential points with stimulate and objective tones, but the author is biased towards America’s benefit. Consumers have ability to support environmental sustainability.…

    • 517 Words
    • 3 Pages
    Decent Essays
  • Great Essays

    Greenwashing It seems everyone wants to live a sustainable lifestyle nowadays. Consumers heavily rely on companies to tell them, whether or not, something will help them better the environment; however, this might not be the best idea because of greenwashing. Greenwashing is companies claiming they are environmental in order to sell their products. Some argue companies are responsible for greenwashing while others say it is the consumer's fault.…

    • 1259 Words
    • 6 Pages
    Great Essays
  • Improved Essays

    Sustainable supply chain management is somewhat overlooked when looking at how the company can improve right now but is arguably just as important. Defined as “the management of environmental, social and economic impacts, and the encouragement of good government practices, throughout the lifecycles of goods and services” (BSR). Proven to show that there is a correlation between sustainable supply chain management and positive economic performance (Kirchoff, Omar, Fugate 2016) building a successful supply chain must not only take into consideration of the companies present needs but also take into account the future requirements of the business. There are many factors that play a part in the sustainability of a supply chain system. Some of which are the quality of suppliers, strong supplier partnerships, monitoring these relationships and supplier evaluation and…

    • 1424 Words
    • 6 Pages
    Improved Essays
  • Improved Essays

    Modern times offer a very diverse way of expressing oneself. The expression of a single person who consumes more than they need may not be enough to hurt the environment; however, the overproduction of harmful waste from big business is big enough to impact the environment. Critically acclaimed author Anna Lappé describes the climate crisis through the food production industry in a sector of industry where people rarely scrutinize in her article “The Climate Crisis at the End of Our Fork.” In a very different, yet scarily similar way Carolyn Merchant metaphorically describes the problems with modern human tendency and desires through the image of a shopping mall in “Eden Commodified.”…

    • 1123 Words
    • 4 Pages
    Improved Essays
  • Great Essays

    The Doritos Crash Campaign

    • 1239 Words
    • 5 Pages

    In order to stay first in the business competition, businesses need to properly control and manage their image. Personal branding is simply a way to positively promote and sell your company. For a business to be successful, they need to create and maintain a positive image all while communicating with their audience. With the growing power of the Internet and social media, we are finding new ways to build and maintain relationships. “Social media can be defined as online applications, platforms and media, which aim to facilitate interactions, collaborations and the sharing of content.”…

    • 1239 Words
    • 5 Pages
    Great Essays
  • Improved Essays

    The United States was founded on the principle that everyone deserves the right to life, liberty, and the pursuit of happiness. In order for this to occur, there is a certain ethical code that everyone must abide by. Further than that, businesses have a responsibility to enrich the community where they are located. The first group of people that a business owner has an obligation to is its consumers.…

    • 562 Words
    • 3 Pages
    Improved Essays
  • Improved Essays

    The distribution is imperative to the firm because it wants to ensure that there is as much in-stock availability as possible. The first and main distribution center for Wal-Mart is located in Bentonville, Arkansas. A benefit Wal-Mart has is that the company has great power over its 40,000 suppliers (out of these 40,000, 200 are key suppliers), and soon after the opening of the distribution center in Bentonville, suppliers located nearby to support the company. Each store that was opened was directly because of the distribution strategy—the criteria for stores’ locations were that it should be low rent, suburban area, and on or very close to a highway.…

    • 1848 Words
    • 8 Pages
    Improved Essays
  • Improved Essays

    Farm Boy Case Analysis

    • 294 Words
    • 2 Pages

    Current analysis of Farm Boy reveals the considerations facing the company in providing direction to future marketing decisions. In their microenvironment, Farm Boy faces a high-level of reliance on their produce suppliers. Anticipation of environmental disasters like floods or droughts may impact FB’s margins or force higher prices; however, FB’s efforts to consistently maintain strong relations with their local suppliers may mitigate the effects of this. Furthermore, a positive public perception of FB is critical to uphold, and validates continuous efforts to create an unmatched customer experience with their brand. In addition, factors facing FB in their macroenvironment include a shift in the size of Canadian households, more working mothers, and urban migration indicating the need for larger food retailers in urban areas.…

    • 294 Words
    • 2 Pages
    Improved Essays
  • Improved Essays

    Tim Hortons supply chain consists of six levels of production that is mandatory for every coffee restaurant; Farmers, organizations, intermediary, exporters, importers, and the roasting process. The farmers are placed into one of two categories, one of which being “small holders”, meaning farmers can hold land that is less than five acres. The other type is large private estates; these can hold 50 acres or more. The farmers are then organized into cooperatives, associations and various organizations by an intermediary who is inevitably the “middleman" working at origin. The intermediary not only gives farmers administrations but also helps with getting their coffee to market.…

    • 630 Words
    • 3 Pages
    Improved Essays
  • Improved Essays

    Starbucks - Futuring Analysis Industry Definition The industry segment that is the most meaningful to analyze is the coffee shop industry. This industry consists of companies that serve coffee and other hand crafted typical morning related beverages, such as coffee, tea, and smoothies. These companies typically offer light refreshments such as pastries, breakfast sandwiches, and other baked goods to accompany your drink.…

    • 1481 Words
    • 6 Pages
    Improved Essays
  • Great Essays

    It should be sustainable to stay with quality and proper existence in the business world. Here in this study, I will discuss about UK’s Supply Chain TESCO Plc’s sustainable management policy and its approaches. I also tried to analyze Corporate Social Responsibility and Utilitarian Approaches of Tesco Plc. As we know, Tesco is one the big supply chain in the world having throughout fourteen (14) countries. Currently, they have 5380 stores globally.…

    • 2073 Words
    • 9 Pages
    Great Essays
  • Decent Essays

    Introduction: Cadbury with an annual revenue of approximately $50 billion and is fully possessed sponsorship of Kraft Foods Inc. hence both the companies create inspiration globally in snacks, chocolates, confectionary, gums, beverages and quick meal. Some of the key brands of Cadbury are Cadbury dairy milk, 5 star, perk, Éclair, Bubbly and many more. It is world second largest food company making delicious products for billions of consumers in more than 160 countries. It has approximately 140,000 employees and operates in more than 70 countries. Cadbury began its operation in 1948 by importing chocolates.…

    • 808 Words
    • 4 Pages
    Decent Essays
  • Decent Essays

    Not only will customers believe that the company cares for them, but will also associate the brand with pleasant feelings and experiences and spread the word. • Competitive edge - Identifying your product and business practices as being founded on strong ethical principles makes your product or service more attractive to consumers. • Post-Purchase Dissonance - When the customers are provided lower quality than what is promised, it creates dissatisfaction among consumers which costs the company its brand loyalty. • Using Ethics as a Marketing Tactic - Marketers have been quick to observe the markets preference for ethical companies and are quick to adapt to this new consumer taste.…

    • 777 Words
    • 4 Pages
    Decent Essays