The Impact of Key External Environmental Factors Assignment

The Impact of Key External Environmental Factors - Assignment Example This paper gives a critical analysis and discussion of the interaction of the Morrison’s Supermarkets with its environment and its implication on the performance of the firm. In addition, the stakeholders of the firm are analyzed in terms of the potential conflict of interest. Wm. Morrison’s Supermarkets Plc Morrison’s Supermarket is a grocery retailer in the United Kingdom and is one of the largest retail business which has a large share of the food market. The supermarkets supply food ingredients to its customer base and it aims at providing fresh supplies as its selling point. This has greatly has contributed to its immense success. The supermarket has skilled and experienced food specialists who have enabled fresh food ingredients are provided to the customers. The interaction of the firm with its environment gives it a competitive edge over its competitors. Supply chain The Morison’s has its own supply chain which has enabled it to have a competitive advantage over businesses which supply the same products. In addition, Morrison’s has its own production plants for its food products which means they manufacture, pack and grade their own products before they are supplied to the customers. ... The Political and Social Environment Needle The consciousness of the society on healthy living has increased tremendously and this has impacted on the strategies used by retailers in promotion and marketing of their products. There is an increased prevalence of obesity in the United Kingdom which has led to the involvement of the government in attempting to reduce the obese cases in the country. According to Wm. Morrison’s Supermarkets Plc (2009), 23% of adults within the United Kingdom are classified as being obese. Pressure groups in the UK have attacked the retail market arguing that misleading labeling on foodstuffs by supermarkets are to blame for the unhealthy lifestyles in the country. Many families have therefore found it hard to balance their diet through proper food lifestyles. The regulation of the government on the food products of the Morrison’s include the determination of the sugar, salt and fat content of the food which is produced and sold to the public . This is due to the increased campaigns on the benefits of a balanced diet that have caused the public to be conscious of the number of nutrients in the foods sold in supermarkets. Because supermarkets act as the major source of food supply to the public, they are blamed for the poor health among the majority of the UK citizens. Some segments of the UK food market are unable to access and supply healthy food to the public. As a result, the Morrisson’s have utilized this opportunity by providing the healthy and fresh ingredients at a reasonable cost to its customer which has made the firm to be among the top suppliers of food ingredients in the United Kingdom.