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OSU BA 495 - Safeway

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Slide 1Store HistoryFinancial ClassificationCompetitorsBrandsStrengthsWeaknessesOpportunitiesThreatsSafeway’s FutureSourcesMichelle BeckLindsey ThompsonDanielle WittStore History1915 M.B. Skaggs purchased first grocery store from fatherBusiness strategy- give customers value and to expand by keeping a narrow profit margin1928- 428 stores in 10 states (with the name Skaggs)1928- merged with Merrill Lynch doubling store count1930- Safeway listed on NYSEFinancial Classification10th largest retailer in the nationStore count- 1775 across U.S and Canada2006 revenue- $38.4 Billion (up 7.2% from 2004)2006 profit- $561.1 millionFortune 500 ranking – 4th Stock Price- $36.32CompetitorsGlobalKrogerWalgreenAlbertsonsCBSPublix Super MarketsLocalWincoAlbertsonsRichey'sFred MeyerBrandsSafeway- Ribbon Leaf logo products, general usage and standard itemsSafeway Select- privately label, upscale range of productsLucerne and Empress- DairyPrimo Taglio- Deli O Organics- organically grown and processedStrengthsGlobalStrong brand imageCustomer serviceExtended services- Club card- Fuel- ATM- Car wash- Online ShoppingLocal3 store locationsNew or remodeledStarbucksFloral DepartmentWeaknesses GlobalNarrow consumer marketWest coast dominantLocalOnline shopping not offeredRecent remodelsOpportunities GlobalSell private lines in competitor storesIncrease locationsAcquisition Community involvementLocalContinue with “Lifestyle” brandingSouth town locationThreatsGlobalGrowth of competitorsCompetitors extending servicesLocalNot located near campusPopulation limitsSafeway’s FutureExpand efforts for community involvement and environmental leadershipHave consistent growth Continue to thrive off of original business


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OSU BA 495 - Safeway

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