Delhaize America SWOT Analysis

Introduction

Delhaize America is subdivision of Delhaize groups based in America. Delhaize groups have several subsidiaries in Asia, Europe and North America. Its subsidiary in North America includes is formally known as Delhaize America, which was initiated in July, 1986 and is successfully running till now. The company’s headquarter is maintained in Salisbury, North California. Delhaize America is heading the food retail companies in America including Bloom, Bloom Dollar food, Food Lion, Hannaford Supermarkets, Harvey Supermarkets, Reid’s and Sweetbay Super market.

Strengths

• Delhaize America is the most earning subsidiary of Delhaize America earring approximately 69% of the revenues for the parent company.

• The company is enjoying its vast presence with food lions operating its 1, 148 outlets, Hannaford Bros with 167, 108 stores of Sweetbay supermarkets, Harvey Super markets operating at 69 locations, 61 stores operated by Bloom units and 28 stores being held by bottom Dollar food.

• The company has employed around 138,000 skillful personals in its chains of stores withheld by different names.The employees percentage increases by 2.1 percent each year.

• Sales per year by the company are approximated as 28,575.1 million dollars with annual growth of 6.6 %. The income growth rate increases by 10.4 %. The net income generated by the company is almost $745.3 million.

• The company being a subsidiary of Delhaize groups is enriched with capital availability for the new projects beside the income generated by the existing stores corporation.

• The management team is moving forward with well defined policies as well as mission statements.

• The company’s back bone is its Hannaford leadership and the original company

• Markets are in a plan to be reviewed with the introduction of new demographic locations.

Weaknesses

• The demographic locations or the real estate of the company is not that charming as that Wall mart stores.

• Older stores are kept as it is, despite being renovated.

• Brands produced by Food lion are very cherish able.

• The acquired victory stores are not performing according to the expectations.

• Lack of interment emergence, because of which the well esrtablished we marketing of competitor takes an edge.

• Inflexibility for the attractive offers like discounted rates, seasonal discounts, and regular customer membership as given by Wal-Mart.

Opportunities

• Changing attitudes towards introduction of safer, nutritious and healthy food.

• Initiation of sustainable seafood sourcing program is very well worked and emphasized by the formulators and the researchers.

• Customer’s analysis being given the required importance and stores are segmented.

• Renewal models especially for Bloom Dollar supermarkets would be a positive sign for attracting the consumers.

• Innovation in price transferring among the brands.

Threats

• Growing competition not only with the food retailer but also with established supermarkets like Wal-Mart, Carrefour, and Royal Ahold along with traditional competitors like Harris Teeter and Wegmans

• Sudden shift of the public towards discount and bundle offers.

• High operating cost requirements for the introduction of new models, procedures and renovation of existing outlets.

 

References

• Official Website. Http/www. Delhaizegroup.com. retrieved online on March 27, 2011.

• BILLA  will double its market share, sales, number of supermarkets and employees)( june 1, 2007). Press release.

• The Slow Blooming Of Food Lion’s Technology Experiment". Phil Lempert’s Xtreme Retail. http://xtremeretail.com/page.cfm/75. Retrieved  on March 27, 2011.2007-07-10.

• Lisa van der Pool (Feb 23, 2009). "There’s new appetite for peddlers of cheap eats". Boston Business Journal.

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