NPD exam notes Essay Example | Topics and Well Written Essays - 1000 words

NPD exam notes - Essay Example Woolworths registered a profit of 7.5 million pounds, equity of 287.4 million pounds, total assets of 442.9 million pounds and net assets of 287.4 million pounds based on the Annual Report of 2008. Second, the company has a strong corporate social responsibility program. Woolworths was a finalist in Retail Bulletin’s People in Retail Award 2007 for its Potential Group programme.The company gave training for emloyees in Woolworths Group Asia on personal development, and communication. Third, consumer spending in the UK has increased consistently thereby increasing Woolworths’ market share. Fourth, the worlwide recession makes British consumers price-sensitive favors Woolworths store operations. Weaknesses –The called up share capital is only 182.4 million pounds. There is a need for foreign investors to come in and pump fresh capital. The company faces heavy debt servicing at 126.8 million pounds. The company needs to retire a huge portion of its debt so as not to affect operations. First, Woolworths need to link up with more British food producers in regional areas in order to assure a 100% British food supply for the consumers. Second, Woolworths need to refurbish its stores in order to have a stronger local presence. Third, Woolworths need to link with international suppliers to offer a wider variety of food and grocery items. Opportunities Woolworths has a strong cash flow at 40.1 million pounds for February 2008. This high figure means that the company will meet its obligations. First, the technology solutions offered by many companies will allow Woolworths to be sensitive in meeting their customers daily shopping needs. Woolworth can create merchandise plans that optimize the range and inventory at the store level and fit it to the exact space available. Second, Woolworths has more store outlets which translates to higher revenues. Third, Woolworth has close relations with