Executive summary
The report below provides an insight into the supermarket company, Sheng Siong Supermarket, a supermarket chain born and bred in Singapore with an analysis and evaluation emphasizing on its external environment.
The report will also look into the analysis of its competitors and steps taken to attain an advantage over its competitions. A brief overview of the organisation will be identified, following its environment analysis using the PEST Analysis to state its key opportunities and threats as well as Porter’s Five Forces analysis on factors that impacts Sheng Siong.
Resources and competencies that Sheng Siong possesses to attain a competitive advantage among its strong competition in the food retailing industry will also …show more content…
Since it is primarily a knowledge-based economy due to the high level of education, Singapore has the professionally qualified and educated labour force which is required in a productive work force. Hence, Sheng Siong is able to easily expand at such a quick pace over the years with its skilled labour force and business friendly tax systems.
2.1.2 Economic
A recent article from Channel News Asia has stated the increase in Singapore’s economy in the second quarter of this year as compared to the first quarter (Channel News Asia, 2014). Moreover, Singapore’s economy grew by 4.1% in the year 2013 alone (Chan, 2014). This steady increase in the economy is an ideal environment for Sheng Siong as the higher the economy of Singapore is equivalent to higher GDP and as a result a higher spending power of Singaporeans which is the major target of Sheng Siong.
2.1.3 …show more content…
The Singapore market is dominated by four major retailers including Cold Storage, Giant, NTUC Fairprice and Sheng Siong (Sheng Siong Group Ltd, 2013). Sheng Siong Group has climbed its way to being the top three supermarket operators in Singapore (Singapore Business Review, 2012). It has been established that Sheng Siong has 18% of the market share after NTUC FairPrice and Dairy Farm International (which manages Cold Storage & Shop’N’Save) (Yeow, 2013)
For a new market entrant to penetrate the Singapore market, it would be difficult to catch up with Sheng Siong due to its status as one of the largest supermarket operator in Singapore. Moreover, due to its distribution center located in Mandai, it further hinders newly established competitors as there is already a relationship built within Sheng Siong and its suppliers, establishing a loyal supply chain, therefore, the successful entry of new threats is minimal.
2.2.2 Threat of
The report below provides an insight into the supermarket company, Sheng Siong Supermarket, a supermarket chain born and bred in Singapore with an analysis and evaluation emphasizing on its external environment.
The report will also look into the analysis of its competitors and steps taken to attain an advantage over its competitions. A brief overview of the organisation will be identified, following its environment analysis using the PEST Analysis to state its key opportunities and threats as well as Porter’s Five Forces analysis on factors that impacts Sheng Siong.
Resources and competencies that Sheng Siong possesses to attain a competitive advantage among its strong competition in the food retailing industry will also …show more content…
Since it is primarily a knowledge-based economy due to the high level of education, Singapore has the professionally qualified and educated labour force which is required in a productive work force. Hence, Sheng Siong is able to easily expand at such a quick pace over the years with its skilled labour force and business friendly tax systems.
2.1.2 Economic
A recent article from Channel News Asia has stated the increase in Singapore’s economy in the second quarter of this year as compared to the first quarter (Channel News Asia, 2014). Moreover, Singapore’s economy grew by 4.1% in the year 2013 alone (Chan, 2014). This steady increase in the economy is an ideal environment for Sheng Siong as the higher the economy of Singapore is equivalent to higher GDP and as a result a higher spending power of Singaporeans which is the major target of Sheng Siong.
2.1.3 …show more content…
The Singapore market is dominated by four major retailers including Cold Storage, Giant, NTUC Fairprice and Sheng Siong (Sheng Siong Group Ltd, 2013). Sheng Siong Group has climbed its way to being the top three supermarket operators in Singapore (Singapore Business Review, 2012). It has been established that Sheng Siong has 18% of the market share after NTUC FairPrice and Dairy Farm International (which manages Cold Storage & Shop’N’Save) (Yeow, 2013)
For a new market entrant to penetrate the Singapore market, it would be difficult to catch up with Sheng Siong due to its status as one of the largest supermarket operator in Singapore. Moreover, due to its distribution center located in Mandai, it further hinders newly established competitors as there is already a relationship built within Sheng Siong and its suppliers, establishing a loyal supply chain, therefore, the successful entry of new threats is minimal.
2.2.2 Threat of