When it comes to the ad spend in the first 4 months ofthe total amount reached Bt
This Web portal http: Retailers which are able to offer consumer goods at lower prices i. This market situation provides marketers the business opportunity to identify and develop alternative consumer goods to continue attracting consumers to their stores.
Other micro- and macro-economic factors that are fueling the demand for store brands also known as private labels, retailer brands or house brands as alternatives to manufacturer brands are: Global economic slowdown, escalating costs and rising inflation Global or regional expansion of large retailers e.
Who succeeds in becoming the lowest cost leader will depend on its value chain being the most efficient and lowest cost. Striving to be the low cost leader can be effective when: The market comprises of many price-sensitive buyers Buyers do not care for differences between brands Many buyers with significant bargaining power exists There are few ways to achieve differentiation Alternatively, Carrefour, Giant or Tesco can adopt a differentiation strategy instead of purely striving to become the lowest cost leader, because a strategy solely aiming to be the lowest cost leader is subject to the following risks: Competitors may imitate, thus driving overall industry profits down Buyer interest may swing to other differentiating features beside price Technological breakthroughs in the industry causing the strategy to become ineffective Moreover, most, if not all cost leadership strategies involve some degree of differentiation.
With their respective well-known hypermarket name that they already enjoy — which typically is synonymous with offering manufacturer brand products at everyday low prices — being able to further lower the prices of everyday goods while maintaining the perception that quality is not compromised, creates a competitive advantage to retaining existing customers and acquiring new customers.
To date, all three foreign-owned hypermarkets have introduced their respective store brands in Malaysia — Carrefour http: The following advertisements Figures,and by the aforementioned hypermarkets appeared in popular dailies to promote their respective store brands and to message the savings.
Up to 30 percent cheaper compared to well known brands. The Star, 11 Junep. The Star, 4 Julyp. Sunday Star, 29 Marchp.
Sunday Star, 24 Augustp. Spend less with Tesco. The Star, 14 Junep. Tesco Brand Electrical Range. The Star, 28 Junep. The Sun, 21 Novemberp. B7; More consumers,p.
This represents a 32 percent increase over the February to September period. As a comparison, branded goods or manufacturer brands grew only 15 percent for the comparative periods. However, for the February to September period, manufacturer brands accounted for RM5.
Thus, there is much room for store brands to grow from its sales of RM million. Sales of Private Label Products vs. Private Label Price vs. Branded Goods Price Source: Competing on price Competing on quality at lower prices Competing using portfolio segmentation Competing on price The key initial attraction of store brands to consumers is the lower price of the alternative product to the market leading manufacturer brands.
In other words, for a lower price, consumers can accept alternative products or products which they perceive as almost the same as the manufacturer brand products. Furthermore, with store brands, the hypermarkets are not only able to offer alternative products at a lower price but also earn a higher margin compared to the manufacturer brands which they sell side-by-side.Company analysis on giant hypermarket Malaysia Essay Sample.
This paper is a company analysis on Giant Hypermarket Malaysia in general, but specifically focusing on Giant Hypermarket Sabah. Giant Hypermarket is a major supermarket and retailer chain in Malaysia. It is a subsidiary of Dairy Farm International Holdings (DFI) and is.
Proposed Development of Saujana Impian Park & Ride, As Described in Project Perimeter for Mass Rapid Transit Corporation Sdn Bhd. Applying Porter’s Five Forces analysis is also a great way.
The Porter’s Five Forces tool is a very powerful tool. It is simple but excellent for judging exactly where power lies. As it helps to understand not only the strength of current competitive position but also the strength of an expected position, it is very useful.
Two future strategic options are suggested in regards to the resources based strategies. This paper is a company analysis on Giant Hypermarket Malaysia in general, but specifically focusing on Giant Hypermarket Sabah.
Giant Hypermarket is a major supermarket and retailer chain in Malaysia. It is a subsidiary of Dairy Farm International Holdings (DFI) and is headquartered in Shah Alam.