In conclusion, this paper has addressed the current strategies adopted by ALDI. This enables the enterprise to offer high quality products at low costs.
This paper examines in brief the concepts of strategic management and strategic competitiveness in relation to ALDA Australia. The bargaining power of customers for ALDI can be said to be moderate. However, ALDI Australia currently sources its products from local suppliers, which are more expensive than imported products.
Also, the limited range of products offered by the enterprise can also be deemed as a weakness since it limits consumer Aldi business case study Haberer, The company focuses on core operations only in locations that are deemed to be profitable; limits the number of personnel in each store; their store layouts are designed in a simple manner; and adheres to restricted opening and closing hours Haberer, Besides, in Germany, shopping at discount retailers was not restricted to the lower income groups Recommendations and Conclusion Based on the above analysis, various recommendations can be made.
Journal of Management Development.
As mentioned earlier, the level of competitive rivalry in Australian food and grocery industry is high as there are numerous global and local retailers offering similar products and services to those that are provided by ALDI.
As noted in the paper, it is necessary for ALDI to reconsider its strategies and take into account the recommendations stated above in order to gain and maintain competitive edge over competitors in the long—run. International Expansion lAldi made its first foray into overseas markets inwhen it purchased the Hofer chain of supermarkets in Austria.
On this note, ALDI Australia has adopted unique strategic management principles that have helped it to gain and maintain competitiveness amidst various challenges faced in the industry.
As well, this company should maintain its strategy that focuses on offering high quality products at lower prices. First, ALDI needs to focus more on product diversification in order to add more choices for customers.
Consumers can easily switch from one retailer to another. However, the reliance on a small number of trained workers can be considered a weakness.
Secondly, they should focus on expanding its operations within Australia through a store rollout program. Another suggestion is to increase percentage of imported supplies and hence, raise profits.
There seemed to have been an agreement between the two Aldi companies as to how the international markets would be divided up between them. ALDI has different options and goes for suppliers with cheapest prices.
As — noted, the level of competitive rivalry in Australian food and grocery industry is high due to high level of similarity in the products offered by different players.
This strategy can be considered as a sustainable source of competitive advantage for this enterprise. Finally, a conclusion and several recommendations to the current strategies of this company are made.
The enterprise produces its own products and brands, making it to have a high control over them. It is essential for this firm to catch up with the developing technology by developing an online system that includes a platform for transaction and delivery.An Aldi case study Below is a list of Business Case Studies case studies organised alphabetically by company.
To view more companies, please choose a letter from the list below. Aldi’s International Strategic Management | Analysis.
Print Reference this. Disclaimer: After making analysis of Aldi case in terms of its business strategies and external and internal environment, two recommendations are made as to Aldi’s development in Australia: FREE APA Referencing Tool FREE Harvard Referencing Tool FREE.
The Aldi Group (which comprised of two companies - Aldi Nord and Aldi Sud), was known for its low prices and no-frills business model. The case describes the various elements of Aldi's business model, and how they allowed the company to adhere to its low price philosophy.
ALDI Strategy Case Study Analysis discusses about ALDI Australia Strategy, Strategic management and strategic competitiveness of ALDI, Internal and external Environment Of ALDI, Business Level Strategy (BLS) of ALDI and recommendations. Aldi is a leading retailer with over 8, stores worldwide.
Since opening its first store inAldi has successfully established itself as one of the most reputable retailers in the international business market. This case study will demonstrate how Aldi uses a lean profits back into the business. They can then be used to further approach to its business operations to offer its customers quality meet its business objectives for growth.Download